Jakarta, INTI - Bambang Soesatyo (Bamsoet) is encouraging increased investment from China to accelerate the development of Indonesia’s national data center ecosystem. He emphasized that strengthening the digital sector must go hand in hand with improving national trade governance and logistics systems.
Bamsoet explained that Indonesia has a rapidly growing digital market and increasing demand for artificial intelligence (AI) infrastructure. At the same time, the country still faces long-standing issues in the shipping line sector, which has contributed to foreign exchange leakage and high economic costs for decades.
According to him, the current momentum for data center development in Indonesia is highly strategic. With a continuously expanding digital population and more than 350 million internet-connected devices, demand for cloud services, data storage, AI services, and digital infrastructure is rising significantly.
Bamsoet added that Indonesia’s data center market is projected to reach USD 9.43 billion by 2030, driven by growing needs in cloud computing, AI, and cross-sector digital transformation.
“Chinese investors possess the technological capabilities, financing strength, and experience in building large-scale digital ecosystems that can be combined with Indonesia’s domestic potential. Indonesia must become a primary destination for such investments by offering regulatory certainty, energy availability, fiscal incentives, and simplified licensing,” Bamsoet stated.
He delivered the statement after accompanying Hebei Province Vice Governor Zhao Chenxin and Chinese business representatives in a meeting with Coordinating Minister for Economic Affairs Airlangga Hartarto in Jakarta on Tuesday, May 26, 2026.
The 20th Speaker of the Indonesian House of Representatives explained that Indonesia holds strong appeal for international investors. Supported by a massive digital population and rising internet penetration, the government has also introduced more competitive investment opportunities through fiscal incentives, special economic zones, and flexible foreign ownership policies in the digital infrastructure sector.
Regions Across Indonesia Positioned for Global Data Center Development
Bamsoet noted that several regions have strong potential for international-scale data center development. For example, Batam offers strategic advantages due to its close connectivity with Singapore, while industrial corridors in Java such as Cikarang benefit from strong energy supply and network infrastructure.
In eastern Indonesia, he added, Manado is increasingly gaining attention because of its connection to international submarine cable networks that provide direct access to the United States market.
“Indonesia possesses all the prerequisites to become a new powerhouse in Asia’s data center industry. We have the largest digital market in Southeast Asia, a strategic geographic position, surging computing demand driven by artificial intelligence growth, and increasingly competitive government policies,” Bamsoet explained.
Shipping Line Reform Considered Crucial for Economic Efficiency
During the same occasion, Bamsoet also highlighted the shipping line sector as one of Indonesia’s long-standing economic weaknesses. He argued that dependence on foreign vessels for export-import transportation has contributed to high logistics costs and continuous foreign exchange outflows.
According to Bamsoet, Indonesia’s logistics costs remain above 14 percent of GDP, creating major challenges for national trade efficiency. The issue is worsened by lengthy port waiting times, weak supply chain integration, and low utilization of domestic shipyards.
“As long as export-import sea transportation remains dominated by foreign parties and trade governance lacks transparency, national economic benefits will continue to leak abroad. We need comprehensive reforms covering ports, customs, export systems, and strengthening the national fleet,” he said.
The former Chairman of the People’s Consultative Assembly also expressed full support for President Prabowo Subianto’s efforts to improve trade governance and tighten supervision of strategic commodity exports. According to him, practices such as export document manipulation, under-invoicing, transfer pricing, and offshore profit placement have long contributed to national economic leakage.
He believes stronger oversight through more integrated export systems and mandatory domestic placement of export earnings are important steps toward ensuring trade benefits contribute directly to the national economy.
“Every dollar generated from natural resource exports must contribute to national development. The country cannot afford to lose fiscal space because of trade manipulation or weak supervision. Reforming shipping lines, strengthening the maritime industry, and developing data centers must become part of one integrated economic transformation toward a sovereign industrial and digital economy,” Bamsoet concluded.
Conclusion
Bamsoet emphasized that the development of data centers, digital infrastructure, and logistics reform must move together as part of Indonesia’s broader economic transformation. By attracting foreign investment, strengthening maritime governance, and improving digital infrastructure, Indonesia aims to position itself as a leading digital economy and data center hub in Asia.
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