Southeast Asia’s digital economy is expanding at an extraordinary pace, profoundly transforming societies and economies across the region. With a combined GDP of $3.6 trillion in 2022, ASEAN ranks as the world’s fifth-largest economy and is projected to become the fourth-largest by 2030. The digital economy not only acts as a powerful engine for economic growth but also catalyses job creation, indirectly supporting nearly 30 million jobs across the region. It plays a pivotal role in enabling businesses, with online platforms helping over 20 million merchants and 6 million restaurants grow their operations digitally.

The Tech for Good Institute report explores how this rapid expansion is driven by digital platforms across diverse sectors, each contributing uniquely to economic and social progress. In e-commerce, platforms like Tokopedia and Bukalapak empower small businesses, while ride-hailing services such as Grab and Gojek enhance mobility and create new income sources. Digital healthcare platforms like Doctor Anywhere and Halodoc are improving access to medical services, and financial platforms such as OVO and GCash are enabling digital transactions for millions across Southeast Asia. Collectively, these platforms are shaping a robust digital ecosystem that redefines accessibility and opportunity.

With over 460 million internet users and 125,000 new users coming online every day, Southeast Asia is poised to emerge as a global digital leader. The Boston Consulting Group forecasts that ASEAN’s digital economy could exceed $1 trillion by 2030, with the potential to double to $2 trillion if regional frameworks, such as the ASEAN Digital Economy Framework Agreement (DEFA), drive greater integration. This growth represents a pivotal shift in Southeast Asia’s economic landscape, where digital platforms are interlinking economic progress with social and environmental advancement.

Leveraging Digital Platforms for Social and Environmental Impact

Digital platforms across Southeast Asia are increasingly driving social benefits and resilience that go beyond mere economic growth. These platforms achieve such impacts by harnessing four key features: efficiency, scale, accessibility, and agility. These characteristics enable streamlined processes, larger user networks, reduced entry barriers, and rapid adaptation to emerging challenges, all of which contribute to greater economic inclusion and resilience.

For example, during the COVID-19 pandemic, Grab capitalised on its efficiency and agility to swiftly adapt by expanding services such as GrabMart and GrabAssistant. This not only created new income opportunities but also ensured the continuation of essential services under robust health protocols. Similarly, the scale of platforms like GCash demonstrates the power of mobilising resources quickly and effectively. With a user base of 90 million, GCash’s Tulong Mo I-GCash Mo initiative enabled Overseas Filipinos to send funds directly to families and NGOs affected by Typhoon Carina, showing how a large network can amplify support efforts in times of crisis.

Shopee’s scale and accessibility have similarly empowered local farmers in Vietnam through the Ton Vinh Nong San Viet initiative in collaboration with FoodMap. By connecting farmers directly with consumers on its platform, Shopee is helping to improve livelihoods and support sustainable agricultural practices, turning e-commerce into a tool for rural economic growth.

Furthermore, Ant International’s commitment to sustainability through Programme Sirius highlights how collaboration can drive environmental impact. This programme equips Southeast Asian MSMEs with the tools to adopt sustainable practices, fostering resilience and responsible business practices across the region’s digital ecosystem.

Finally, the combination of efficiency, scale, accessibility, and agility enables digital platforms to respond rapidly to evolving needs. Indonesia’s government-led Kartu Prakerja programme exemplifies this by offering online, offline, and hybrid learning options for skilling, reskilling, and upskilling. By overcoming traditional barriers such as time, distance, and cost, the programme ensures that individuals can access training from any location, supporting lifelong learning amid the triple transitions—green, digital, and demographic—that have caused skill disruptions and shaped the labour market in recent decades.

Together, these features demonstrate how digital platforms can address complex social challenges, support public health, foster resilience, and enhance inclusive access and prosperity across Southeast Asia.

Advancing Digital Platforms Beyond Economic Growth: Challenges and Policy Strategies

Southeast Asia’s digital platforms hold vast potential for driving both economic and social development. However, few governments in the region have managed to ensure that this growth benefits all sectors, with equitable advancement remaining a significant challenge. The rapid advancement of the digital economy has introduced both opportunities and challenges.

There are three primary challenges facing Southeast Asia’s digital platforms in realising their full potential.

First, digital literacy remains a concern. Despite Southeast Asia’s youthful population, with 380 million people under the age of 35, many still lack essential digital skills. A 2021 report by ASEAN and UNICEF found that only 39% of individuals aged 10–24 receive digital skills education in school, limiting the digital readiness of future generations. This skills gap not only affects young individuals but also micro and small enterprises, which constitute between 97.2% and 99.9% of total establishments in ASEAN Member States. Without adequate digital skills, these businesses struggle to adopt digital tools, limiting their ability to compete and thrive in the digital economy.

Second, there is a lack of digital access. Access to digital infrastructure, including reliable internet and affordable devices, remains uneven, particularly between urban and rural areas. Many rural and underserved communities still face limited or inconsistent connectivity, restricting their ability to participate fully in the digital economy. This digital divide hinders individual opportunities and limits the market expansion of digital platforms in these regions.

Third, inconsistent data governance standards and privacy regulations across ASEAN countries present challenges. These discrepancies complicate data sharing, raise security concerns, and disrupt seamless digital integration across the region. As digital economies expand, cross-border data flows become increasingly vital for trade, innovation, and the efficient operations of global businesses. Establishing digital trust is essential, as users and businesses need assurance that their data is protected from misuse and cyber threats.

To realise the full public benefit of digital platforms, Southeast Asian governments must prioritise investments in digital public infrastructure and foundational technologies, such as secure digital payments, identity verification, and data privacy. Regional frameworks like the ASEAN Digital Economy Framework Agreement (DEFA) and the ASEAN Digital Masterplan 2025 provide strategic roadmaps for cross-border integration, enhancing cybersecurity, fostering talent mobility, and ensuring digital inclusion.

As Southeast Asia moves toward a digitally driven future, the digital platform ecosystem will be essential in fostering inclusive growth and resilience across the region. By aligning policies with the Sustainable Development Goals and promoting regional collaboration, Southeast Asia can harness the power of these platforms to drive shared prosperity and establish itself as a global leader in the digital economy.

About the writers

Samsu Sempena is the Director of Technology for the Kartu Prakerja Program. In this role, he leads data and server integration with digital platforms, ensuring system security and operational efficiency. Samsu was also recognised as one of Forbes Indonesia’s 30 Under 30.

Romora Edward Sitorus is the Chief Economist of the Kartu Prakerja Program. He oversees labour market analysis, monitoring and evaluation processes, and advocacy efforts to strengthen the programme’s impact and sustainability. Romora is also the founder of the Hive Intelligence podcast, where he explores topics related to the future of work.

The views and recommendations expressed in this article are solely of the author/s and do not necessarily reflect the views and position of the Tech for Good Institute.