AI Ecosystem Expands Rapidly as Government Prepares Supporting Regulations

Jakarta, CNBC Indonesia – Said Mirza Pahlevi, Director of Artificial Intelligence and New Technology Ecosystems at the Directorate General of the Digital Ecosystem, Ministry of Communication and Digital Affairs, has outlined the development of Indonesia’s artificial intelligence (AI) ecosystem.

He said the AI ecosystem was growing very rapidly in Indonesia. A 2026 survey by APDGI put the number of internet users at 235 million. A 2024 study by Boston Consulting Group also placed Indonesia among the world’s top 10 countries for daily use of generative AI, particularly for creating images, text and videos.

“UNESCO’s 2024 survey of more than 300 institutions found that 75.6% use AI. However, it is still mainly being used for promotional content and customer services,” he said at the Road to CNBC Indonesia Awards 2026, under the theme ‘Best AI Ecosystem’, on Friday (30 October 2026).

In response to the high level of AI use in Indonesia, the government is preparing two draft presidential regulations on AI, Said said. They are considered important to protect digital sovereignty, ensure safety and provide certainty for businesses.

The two regulations will cover an AI roadmap and the ethics of AI use. Both are still awaiting signatures, he said.

“The first is a national AI roadmap, setting out targets and programmes across ministries. The second presidential regulation concerns AI ethics. These will provide safeguards to ensure AI is safe and used responsibly,” he said.

The government recognises public concerns about the impact of AI’s rapid development, including fears that it could have negative effects on employment. It therefore needs to introduce regulations that protect the public while also supporting business growth.

“We may hear concerns that AI will replace people. This is understandable and a global issue. But according to the World Economic Forum’s Future of Jobs Report 2025, by 2030 AI is expected to create 170 million new jobs, while 90 million jobs will shift. That would mean a net increase of 78 million jobs. As jobs change, those most at risk are people who have not had the chance to acquire new skills. It is the state’s responsibility to ensure no one is left behind,” he said.