Indonesia’s government service delivery faces logistical challenges and information asymmetry problems reaching populations across 17,000 islands. Digital platforms, however, can generate real-time, hyperlocal data that government agencies can use to identify the issues and target solutions more quickly and cost-effectively than traditional systems. This enables them to track kelurahan-level (sub-district) growth patterns in Jakarta and assess business conditions in outer-Java (regions beyond the Java island) markets.
Collaboration between the government and platforms typically occurs after technology development and policy formulation are complete. However, workshop participants identified significant opportunities in alternative approaches where joint development becomes more fundamental, especially during the initial planning stages.
Against this backdrop and in response to the need for such a collaborative model, TFGI convened this session in partnership with Indonesia’s Ministry of Communication and Digital (Komdigi). The session was part of TFGI’s workshop series in the Philippines, Indonesia, and Malaysia, which aims to explore how digital platforms can enhance government policy implementation, improve public service delivery, and foster collaboration between public and private sectors to advance inclusive and sustainable development.
Opening Remarks:
Sonny Hendra Sudaryana, Acting Director of Digital Ecosystem Development, Ministry of Communication and Digital (Komdigi)
Moderator and Panellists:
- Citra Nasruddin, Programme Director, Tech for Good Institute (TFGI)
- Muhammad Faisal, Head of Partnerships & Investment Ecosystems, Directorate of Digital Ecosystems Development, MCD
- Budi Primawan, Secretary General, Indonesian E-Commerce Association (idEA)
- Hafiz Noer, Head of Public Policy and Government Relations, Centre for Digital Society (CfDS)
Workshop Participants:
- Romora Edward Sitorus, Ph.D., Policy Advisor, Asian Development Bank (ADB)
- Nada Haroen, Head of Product, INA Digital Edu/Gov Tech Edu
- Excel Putra Waliliong, Associate, Tony Blair Institute of Global Change
- Raisha Safira, Public Policy and Government Relations Officer, Indonesian E-Commerce Association (idEA)
- Reancy Triashri, Business Venture Manager, DANA Indonesia
- Andra Alfarisz, Marketing Communication & Partnership Lead, Instellar
- Toto Rianto Wahyu, Partnership Executive, Jakarta Smart City
- Ary Muadz, Tenaga Ahli (Expert Staff), Jakarta Smart City
- Gita Sidabutar, Partnership Lead, Jakarta Smart City
- Keshya Diva Yohannisa, Business Development Manager, Impactto
- Amira Putri, Business Development, Impactto
- Arryo Harman, Head, Public Affairs Strategic Projects, Grab Indonesia
- Alva Lazuardi, Associate Consultant, APCO
- Kristin Budiyarti, Assistant Manager, Grab Indonesia
Key takeaways:
1. Platform Data Reveals What Government Systems Miss
Muhammad Faisal from the Directorate of Digital Ecosystems Development explained during the panel discussion, which over 30 participants attended, that digital platforms often see activity that government systems miss. They track real-time patterns from on-demand workers, very small and small businesses, and individuals new to the internet. This extra visibility helps target support for MSMEs (micro, small, and medium enterprises), especially in communities that are usually overlooked.
Growth maps, for example, can zoom in to the kelurahan (neighbourhoods or sub-districts) level, allowing infrastructure, such as feeder routes into TransJabodetabek, Greater Jakarta’s integrated transport network, to be directed to areas where demand is rising. Operational signals also shed light on packaging needs through delivery success rates, and on cold-chain readiness through reliance on quick-commerce services. At the same time, trust and safety signals, such as chargebacks and fraud patterns, can help the government build safer cash-transfer and grant systems by using tiered e-KYC (electronic know-your-customer) checks. These checks start light to support inclusion but escalate when higher security is needed, balancing access and protection for Indonesia’s large informal economy.
However, effective delivery depends on secure APIs for disbursements and anonymised insights, an inclusive design that works on low-spec devices and accommodates Bahasa Daerah “local language”, and interoperability through Satu Data Indonesia and SPBE, which connect more than 838 local government units. To extend reach, offline-capable, lightweight apps are also needed, particularly for outer-island connectivity.
2. Strategic Partnership Areas Address Geographic Challenges
Digital platforms and government collaboration can address several of Indonesia’s everyday challenges, particularly in payments, logistics, and MSME market access. Three practical areas where platforms and the government can collaborate were highlighted.
Firstly, e-wallets and local agent networks can integrate informal workers and MSMEs more effectively than traditional banks, which are often spread across multiple islands. Large-scale initiatives such as the Kartu Prakerja programme on how social assistance can embed spending controls and outcome tracking, reaching 776,630 users with over 1.5 million enrollments and 999,432 completions by the end of 2023. E-commerce platforms also strengthen trust by linking registration through OSS RBA (Online Single Submission, Risk-Based Approach) with metrics such as reliability, retention, and participation among women and low-income users.
Secondly, on-demand couriers, small “micro-hubs,” and standardised pick-up and drop-off rules turn congestion into predictable delivery windows. This enables same-day service and expands the sales radius for MSMEs, including producers outside Java who want access to national markets. An innovation from Grab illustrates how telematics data (vehicle and rider information, such as routes and speed) can enhance safety through SOS buttons that connect to local services and through government partnerships that facilitate the delivery of social protection.
Lastly, integrated payment, fulfilment, and escrow systems reduce barriers for small sellers. By linking these platforms with Indonesia’s OSS RBA system, which has issued more than 10 million business identification numbers (mostly to micro-enterprises), platforms help turn formal registration into real sales opportunities, contributing to balanced regional development.
Realising and strengthening such partnerships such as the above, also require a more agile and progressive regulatory approach. At the panel discussion for example, Hafiz Noer of CfDS and Sonny Hendra Sudaryana shared the utility of outcomes-based, sandboxed partnerships that enable the government to test platform solutions through short learning cycles while maintaining oversight.
As TFGI’s Programme Director, Citra Nasruddin, noted at the end of the panel discussion, public-private partnership-first design is essential in the initial phases of policy design, and the effective delivery of public goods and services in Indonesia is dependent on the robustness and quality of these partnerships.
