Indonesia Has Strong Foundation to Develop Advanced AI, Deputy Minister Says

Indonesia

Jakarta, The Gulf Observer: Indonesia has the fundamental elements required to develop advanced digital technologies, particularly artificial intelligence (AI), Deputy Minister of Communication and Digital Affairs Nezar Patria has said.

Speaking at a public discussion in West Jakarta on September 10, Nezar identified robust digital infrastructure and connectivity, a growing pool of digital talent, and forward-looking regulations as key foundations for the country’s AI development.

He noted that internet penetration in Indonesia has reached 80.6 percent, equivalent to approximately 234 million people, while 4G LTE coverage currently extends to 97 percent of the country’s territory. According to the deputy minister, these conditions provide a strong basis for expanding AI and other digital technologies.

Nezar, however, stressed the need to improve the quality of digital infrastructure, particularly through the expansion of fiber-optic networks and 5G technology, to support the low-latency requirements of advanced AI applications.

He said national 5G coverage currently stands at around 10 percent, with the government targeting an increase to 50 percent over the next two to three years.

The deputy minister also emphasized the importance of developing human capital, urging greater efforts to equip younger generations with the skills needed to become AI developers and innovators and participate in the global technology supply chain.

He said Indonesia must develop a deeper understanding of AI and its evolving ecosystem rather than merely using existing AI applications.

On regulation, Nezar said the government is preparing a comprehensive framework aimed at ensuring responsible technological development. Existing measures include the Electronic Information and Transactions Law, the Personal Data Protection Law and an official circular on AI ethics, while work is underway on a National AI Roadmap and formal AI ethical guidelines.

He assured businesses and innovators that the forthcoming regulations are intended to support, rather than hinder, technological development, while ensuring that potential risks are managed and the benefits of AI are widely shared.

According to economic projections cited by the deputy minister, AI adoption could contribute approximately US$366 billion to Indonesia’s gross domestic product by 2030.

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