JAKARTA, Aug 24 (Bernama) — The Indonesian government has set a target that the country’s digital economic growth may account for around 40 percent of the digital economy market in ASEAN by 2025.
Trade Minister Muhammad Lutfi made the remark during a meeting with the Commission VI of the House of Representatives of Indonesia on Monday, Vietnam news agency reported.
In 2021, it is estimated that the value of e-commerce transactions will reach IDR354.3 trillion (US$24.6 billion), an increase of 33.11 percent compared to 2020, which stood at IDR266.2 trillion.
Meanwhile, the transaction volume is likely to reach 1.35 billion, a year-on-year surge of 38.17 percent, it added.
The minister said that the development of the digital economy can no longer be contained. The flow of digital transactions has begun to enter the second and third waves with the emergence of players in new sectors.
Not only in Indonesia, e-commerce also has an increasing role in regional economic growth. At present, e-commerce trade’s contribution is recorded at seven percent of the total gross domestic product of ASEAN. The value of e-commerce trade is expected to hit US$200 billion by 2025.
E-commerce in ASEAN grew seven-fold to US$38 billion in 2019 from just US$5.5 billion four years earlier.
— BERNAMA