Digital Competitiveness Index 2026 Report: Infrastructure and Governance Key to Regional Digital Competitiveness
Digital infrastructure has now become the primary driver of digital competitiveness in Indonesia. However, physical development alone is not enough. The latest East Ventures – Digital Competitiveness Index (EV-DCI) 2026 report reveals that the surge in competitiveness occurs optimally when infrastructure development goes hand in hand with strengthening digital government governance and increasing technology utilisation by the public and businesses.
Improvements in digital infrastructure have opened broader access to economic activity. Nationally, the Entrepreneurship and Productivity pillar recorded the largest increase in this year’s index. This was driven by high technology adoption among businesses, which triggered a significant rise in the volume of digital economic activity.
From the bureaucratic side, the Regulation and Local Government Capacity pillar also showed a positive trend. Many regions have begun integrating digital-based public services, strengthening the implementation of the Electronic-Based Government System (SPBE), and expanding electronic transactions at the local government level.
The increase in the EV-DCI 2026 score shows varied patterns across provinces. Some regions stand out thanks to infrastructure development, while others excel through strengthening governance and developing digital talent.
Southwest Papua became the main highlight as the province with the most striking improvement. Indonesia’s youngest province jumped 15 places to 18th nationally. This success was triggered by the expansion of 4G signals in villages and the presence of Hyper 5G services in Sorong. As a result, QRIS transaction volume in the region grew fantastically by 280.6% year-on-year (YoY).
In other eastern regions, South Sulawesi re-entered the national top 10. This improvement was driven by a surge in the Regulation and Local Government Capacity pillar, which rose by more than 20 points, thanks to strengthened cybersecurity and accelerated digital government transactions.
Meanwhile, East Kalimantan made history as the only province outside Java to enter the national top six. The Free Village Internet Programme, which reaches 802 villages, was key to expanding access to public services and marketing for MSMEs in the region.
On Java, East Java and Central Java continued to strengthen their positions through the integration of digital public services and the expansion of internet access to blank spot areas and regions with extreme poverty levels.
These achievements confirm that the synergy between providing connectivity infrastructure and strengthening digital governance is an effective formula for accelerating economic transformation across all corners of Indonesia.