Indonesian Political, Business & Finance News

Luhut: Digitalisation Systems Could Save Government Thousands of Trillions of Rupiah

| Source: VIVA Translated from Indonesian | Economy
Luhut: Digitalisation Systems Could Save Government Thousands of Trillions of Rupiah
Image: VIVA

Chairman of the National Economic Council (DEN), Luhut Binsar Panjaitan, stated that the government’s data digitalisation systems, such as Social Protection (Perlinsos) and the Mineral and Coal Information System (Simbara), could save the government thousands of trillions of rupiah. This is because the data and systems have been integrated and processes can be simplified through the use of digital technology. ‘I estimate the savings could reach thousands of trillions. Perhaps Rp1,500 trillion, maybe Rp2,000 trillion,’ Luhut said at the DEN office in Jakarta on Wednesday, 17 June 2026. ‘As the President mentioned earlier, critical minerals are very controlled, we are trying this with Simbara. This just needs to be developed further, and it will create efficiency,’ he added. Luhut expressed hope that a digital-based system with accurate and transparent data would reduce the potential for misappropriation. ‘We are essentially building an ecosystem where people cannot commit corruption, or it becomes very difficult to do so,’ Luhut said. He noted that the government is currently finalising the progress of digital systems needed by the public, including Digital Perlinsos, which is expected to be implemented gradually and comprehensively nationwide by the end of this year. Luhut added that pilot projects for the Digital Public Infrastructure (DPI) system are already running in several regions of Indonesia. Currently, 42 districts and cities have been recorded as pilot project areas, with residents targeted to register in the system by July. Furthermore, he said the digitalisation system will be expanded to ensure data transparency for various programmes, including data on beneficiaries of the Free Nutritious Meals (MBG) programme. ‘Regarding MBG, I think we will see what the policy is, and later we will provide suggestions based on the data. We will advise the President so that decisions are made based on accurate data,’ he stated.

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