Jakarta, INTI - Minister of Communication and Digital Affairs Meutya Hafid emphasized that the adoption of Artificial Intelligence (AI) in Indonesia must be directed toward strengthening the real economy and improving public welfare.
One of the government’s key priorities is the implementation of AI-based digital social assistance programs and the empowerment of Micro, Small, and Medium Enterprises (MSMEs).
Meutya stated that the digitalization of social assistance is expected to reach around 18 million beneficiary families, equivalent to approximately 50 million aid recipients across Indonesia.
The pilot project in Banyuwangi Regency has delivered promising results, and the government is now preparing to expand its implementation to other regions.
“If the program proceeds as planned, it will become one of the largest digital inclusion initiatives in the region,” she said during the Indonesia Summit 2026 in South Jakarta on Wednesday, June 17, 2026.
Through AI technology, the government can process and analyze beneficiary data more accurately, enabling faster verification, real-time data updates, and more effective decision-making.
“AI enables the government to manage and analyze data more efficiently, ensuring that verification, beneficiary data updates, and policy decisions are more precise and accurate,” Meutya explained.
AI as a Catalyst for MSME Growth
Beyond improving public services, Meutya highlighted AI’s potential to accelerate MSME growth, as small businesses remain the backbone of Indonesia’s economy.
By leveraging digital technologies, MSMEs can gain broader market access, improve operational efficiency, and expand their businesses to regional markets.
This potential is expected to further support Indonesia’s digital economy, which is projected to reach US$360 billion by 2030, driven by the rapid expansion of e-commerce, a large internet user base, and the vital role of MSMEs in national economic growth.
Meutya stressed that digital economic growth must translate into tangible benefits for society.
“Technology must serve as a tool to improve people’s welfare, empower MSMEs, and ensure that digital transformation delivers real impact for all Indonesians,” she concluded.
Conclusion
AI adoption in Indonesia is expected to drive a more inclusive digital transformation by improving public services, strengthening MSMEs, and ensuring that technological advancements deliver tangible benefits to society.
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