Jakarta, The Indonesia Post – Coordinating Minister for Economic Affairs Airlangga Hartarto said that the young generation of quality is the driver of economic growth in the era of society 5.0.
“The young generation of high quality will have an important role in Indonesia’s economic growth in the era of Society 5.0. The development of digital skills is estimated to contribute IDR 4,434 trillion to Indonesia’s GDP in 2030, equivalent to 16 percent of GDP,” said Airlangga in an official statement in Jakarta, Saturday.
The great opportunity for Indonesia’s digital economy, which is worth up to US$70 billion or 40 percent of the total ASEAN digital economy, must be utilized for mutual prosperity.
The value of the digital economy is estimated to continue to grow to reach US$146 billion by 2025.
One of the sectors that will grow significantly up to 200 percent in 2020 is edutech which is also expected to encourage the development of digital talent going forward through various programs such as the National Digital Literacy Movement, Digital Talent Scholarship, and the Digital Leadership Academy.
“However, economic transformation requires coordination and synergy with all parties, including universities. Universities can also encourage digitalization in all student learning programs regardless of field,” said Coordinating Minister Airlangga.
The development of digital talent is also expected to have a positive impact on the digitization growth of Micro, Small and Medium Enterprises (MSMEs) in Indonesia. In this digital era, Indonesia’s young generation must be able to take advantage of their digital talents, so that they do not only act as job seekers, but can also become job creators.
Entrepreneurship and MSMEs are one of the pillars of economic growth during the pandemic, but currently the ratio of entrepreneurship in Indonesia is still low at only 3.47 percent of the total population or below developed countries which are at least 5 percent.
MSMEs themselves are still experiencing various challenges such as innovation and technology that need to be improved, financing, human resources, branding, marketing, legality, as well as standardization and certification.
During this pandemic, the challenges of MSMEs are increasing in terms of adapting to technological developments, so MSMEs need to digitize their business in order to provide services with a wide, fast, effective and efficient network.
“The government continues to support MSMEs as a very crucial digital economic ecosystem, by issuing policy instruments that can provide optimal benefits for MSMEs,” he said. (mhn/bbs)
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