Indonesian Political, Business & Finance News

Luhut Claims Data Integration Could Save Rp1,200 Trillion

| | Source: MEDIA_INDONESIA Translated from Indonesian | Economy
Luhut Claims Data Integration Could Save Rp1,200 Trillion
Image: MEDIA_INDONESIA

Luhut Binsar Pandjaitan, Chairman of the Committee for the Acceleration of Government Digital Transformation and Chairman of the National Economic Council (DEN), has stated that the government could save Rp1,200 trillion through digital transformation. “I think the savings generated from what already exists, we calculate could be Rp1,200 trillion. We have not yet calculated other state-owned enterprises and so forth, and beyond that, matters such as birth certificates,” Luhut said in Jakarta on Tuesday (11/8). He explained that data integration makes data-based decision planning highly efficient and effective. He noted that government systems are now 94 per cent integrated. Additionally, artificial intelligence (AI) is required to perform data cleansing. “For example, Pertamina, BPJS, all of them. Because that will generate extraordinary savings. For instance, if the state-owned enterprise Pertamina fully adopts AI-based digitalisation, I do not know how many billion dollars we could save,” he said. The former Coordinating Minister for Maritime Affairs and Investment revealed that data integration has already been implemented in 243 regencies, assisting various sectors including healthcare and the distribution of social assistance. “Before the President rolls it out nationally in October-November 2026. And then we hope by the end of the year we will know who will receive incentives from the government,” he disclosed. “And in the first quarter of next year, we will immediately conduct a trial. Distributing this social assistance. This social assistance will also become fairer, reaching those who are entitled,” he concluded.

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