The impact of embracing technology could have profound effects on Indonesia's economy and the traditional way people do business. The big question for the real estate industry is not when things will change, but by how much.
Indonesia is waking up. And it's embracing all things digital. There has been a lot of reporting recently around how the country is positioning itself to become Southeast Asia's digital leader - a role that will fundamentally change conventional industries, including tourism and real estate, in a very short space of time.
Southeast Asia's Internet economy reached USD 72 billion in 2018 with Indonesia ranking #1 for e-Commerce transactions. The report goes on to suggest the Indonesian “digital archipelago” is firing on all cylinders.
Supported by the largest Internet user base in the region (150 million users in 2018), Indonesia has the largest (USD 27 billion in 2018) and fastest growing (49% CAGR 2015-2018) internet economy in the region. With huge headroom across all sectors, it is poised to grow to USD 100 billion by 2025, accounting for USD 4 of every USD 10 spent in the region.
This is no mean feat and it is certainly not by accident. There have been missions to lure investors, particularly digital investors into Indonesia, two of the most recent being in Singapore and the United States.
Indonesia's Internet economy is poised to grow to USD 100 billion by 2025, accounting for USD 4 of every USD 10 spent in the region.
(Sources: Forbes and the Jakarta Post)