Indonesian Political, Business & Finance News

SMU Establishes Subsidiary in Indonesia to Accelerate Talent Development and Employability in AI-Driven Economy

| Source: ANTARA_EN | Education
SMU Establishes Subsidiary in Indonesia to Accelerate Talent Development and Employability in AI-Driven Economy
Image: ANTARA_EN

Positioned as a bridge between academia, industry and government, SMU Indonesia will work with Indonesian partners to co-develop executive development and future-ready skills courses across sectors undergoing structural transformation. These include banking and finance, natural resources, mining, energy, telecommunications and infrastructure, logistics, and transportation.

The move reflects SMU’s conviction that talent development in ASEAN’s largest economy is both an economic imperative and a shared regional priority. Having an enlarged presence in Indonesia will also enable SMU to work more closely with local partners and collaborators.

Aligning with Indonesia’s “triple readiness” workforce agenda

Indonesia’s Ministry of Manpower has identified the need for “triple readiness” in the workforce, where technical, digital and core human skills must evolve in tandem by 2030. This comes as the country accelerates efforts to embed digital literacy within higher education, recognising the importance of equipping future workers with AI and digital skills.

Recent data from Statistics Indonesia (BPS) underscores the urgency. One-third of young workers are currently employed in roles that do not match their level of education, while youth unemployment remains more than twice the national average. Each year, around 3.5 million graduates enter the workforce, intensifying pressure on job-market alignment.

SMU Indonesia is designed to directly respond to this gap by aiming to scale collaborative programmes that connect education outcomes to real industry demand across both Indonesia and Singapore.

Against this backdrop, President Lily Kong, President, Singapore Management University noted:

“Indonesia stands at a defining moment in its development, where the strength of its human capital will determine the trajectory of its economic transformation. At SMU, we believe universities must evolve beyond their traditional roles to become active partners in shaping workforce outcomes.

The establishment of SMU Indonesia as a subsidiary reflects our deep and long-term commitment to this vision. By working closely with government, industry and academic partners, we are not only responding to immediate human capital needs, but co-creating an ecosystem where talent can continuously adapt, move and thrive across borders.

In doing so, we hope to contribute meaningfully to Indonesia’s ‘triple readiness’ agenda, supporting the development of a workforce across Indonesia that is technically proficient, digitally fluent and grounded in the human capabilities that will remain indispensable in an AI-driven world.”

From academic institution to workforce partner

SMU Indonesia’s transition into a subsidiary underscores SMU’s confidence in Indonesia’s long-term growth trajectory and enables deeper engagement in market-relevant training, applied research and executive education.

It also expands partnerships with government agencies and leading institutions, including Indonesia’s Ministries of Education and Manpower, Bank Indonesia, and Universitas Indonesia, University of Gajah Mada and Institute of Technology Bandung.

Flagship initiatives driving workforce relevance

SMU Indonesia’s applied model is reflected in several flagship initiatives:

  • AI-inclusive workforce transformation

Programmes led by SMU’s Resilience and Workforce Transformation (ResWORK) initiative examine how AI disruption is reshaping youth employment and industry skills demand. - Urban innovation capability building

Collaboration with Jakarta Smart City supports talent development in digital urban solutions and sustainable city planning. - Industry-embedded learning

Partnerships with banking, energy, and natural resources sectors co-design curricula aligned with evolving job roles and leadership development. - Bilateral talent mobility

Exchange and experiential learning programmes, including the Global Ready Talent initiative and Global Summer Programme, enhance graduate employability across Indonesia and Singapore.

“Indonesia faces a skill gap in areas such as data science, AI, cybersecurity and cloud computing, which makes it difficult to support the demand driven by high growth companies in the digital economy. I hope that the reinvigorated SMU Indonesia can work even closer with Indonesian academia, private and public sectors and support our talent challenges and build an even stronger future economy.”

As Indonesia accelerates digitalisation and industrial upgrading, SMU Indonesia aims to provide a platform to better align education with emerging job markets. The initiative also strengthens Singapore–Indonesia talent integration, positioning universities as active workforce partners rather than traditional education providers.

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About SMU Indonesia

SMU Indonesia, registered as PT SMU International Indonesia in 2025, is a subsidiary company of Singapore Management University (SMU). It builds on the foundation of SMU’s Overseas Centre representative office in Jakarta, the University’s first representative office overseas that was launched in December 2022. SMU Indonesia seeks to deepen SMU’s engagement with/in Indonesia and contribute further to Indonesia’s social and economic development. This strategic move signals SMU’s long-term commitment to Indonesia’s growth and talent development. SMU Indonesia will independently deliver non-degree executive leadership programmes and customised training in Indonesia. It also serves as a contact node to support student mobility (including internships and study visits), alumni engagement, knowledge exchange, student outreach, and research collaborations with partners across academia, industry, and government agencies across Indonesia.

SMU Indonesia complements SMU’s Representative Offices in Bangkok and Ho Chi Minh City, which focus on partnership development and engagement, and student mobility support in their respective markets. Together, SMU’s overseas offices facilitate collaboration and connections within a

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