The Investment Coordinating Board (BKPM) recorded foreign investment of US$4.8 billion in the digital economy last year.
“The realization, however, may take place over several years,” said BPKM head Thomas Lembong during a press conference in Jakarta on Tuesday as reported by kontan.co.id.
The figure indicates an annual growth of 30 to 50 percent in start-up firms, he added.
He said start-ups had become the target of foreign investment.
Thomas further said total foreign investment reached Rp 692.8 trillion ($51.75 billion), last year, higher than the target of Rp 678.8 trillion stated in the 2017 state budget.
He said the figure excluded investment in the digital economy as the BKPM had yet to determine the types of businesses that could be included in the digital economy category.
One of the well known investment is from Google to Go-jek. The move is part of Google's ambition to grow Indonesia's digital economy and start-up scene
Reports of the internet titan pouring cash into the firm first surfaced earlier this month. Reuters and TechCrunch reported that the investment was part of a $1.2 billion fundraising for the company, with participation from Singapore's sovereign wealth fund Temasek Holdings and Chinese internet firm Meituan-Dianping.
Last month, Go-Jek acquired three financial technology (Fin-Tech) start-ups for undisclosed amounts in a bid to dominate Indonesia's digital payments industry.