Building Future UK-Indonesia Digital Trade
United Kingdom-Indonesia trade relations are getting stronger. The agreed UK-Indonesia roadmap is committed to further forge the two countries' £3 billion (US$3.57 billion) trade relationship.
From batik designed by artificial intelligence to digital wallets and telemedicine services, the technology sector in Indonesia has been growing rapidly.
Indonesia is the largest and fastest-growing digital economy in Southeast Asia and the center of ASEAN's economic power, which is predicted to reach US$1 trillion by 2030.
The United Kingdom, with its technology sector already worth $1 trillion, can keep pace with Indonesia's dynamic development. The UK is a science and technology superpower and home to 120 unicorns (companies worth $1 billion or more). It is currently ranked third in the world after the United States and China.
The agreed UK-Indonesia roadmap is committed to further forge the two countries' £3 billion (US$3.57 billion) trade relationship, seeking to help finance Indonesia's infrastructure development and create future jobs, trade opportunities and new businesses.
The roadmap that we will launch at the Group of Twenty (G20) Summit in Bali will celebrate the many things that the two countries can do together. At last month's London Tech Week, we welcomed the largest delegation from Asia Pacific.
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We brought in 21 delegates from Indonesia, including representatives of the largest technology companies, such as Telkom, and leaders of the Association of Financial Technology (AFTECH) to develop networks and share ideas among technology leaders, global entrepreneurs, investors and policymakers. We are thrilled to see the response from London Tech Week participants and we look forward to more companies coming next year!
Shaping the future
Our growing technology sector and strong trade relations are a solid foundation for future relations between the two countries. The Indonesia collaboration and the G20 presidency help us take this relationship to the next level. We fully support the G20 Digital Economy Working Group's top priorities on digital capacity and data connectivity, as well as establishing the principles of future digital commerce.
At the first working group meeting, the UK showed support for a digital education platform that sought to increase digital literacy around the world. Leading universities in the UK are collaborating with Indonesia’s in developing digital talents.
Last February, we hosted the UK-Indonesia Joint Economic and Trade Committee (JETCO). UK Secretary of State for International Trade Anne-Mare Trevelyan and Indonesia’s trade minister agreed to work together to boost the digital trade between the UK and Indonesia.
UK Secretary of State for International Trade Anne-Marie Trevelyan met with Indonesian Trade Minister Muhammad Lutfi in an effort to increase Indonesia-UK trade cooperation at the Ministry of Trade Office, Jakarta, Wednesday (23/2/2022).
Minister Trevelyan also visited the Association of Southeast Asian Nations (ASEAN) Secretariat to emphasize the UK's status as an ASEAN dialogue partner -- the first country to have this status in 25 years. The UK is proud to support Indonesia's programs to foster inclusive digital industry, cybersecurity and capacity building. Last year, the Digital Access Program helped more than 50,000 people from marginalized groups and less-developed areas to improve their digital capabilities.
During the pandemic, we helped provide telemedicine in Indonesia with technical assistance in the field of cybersecurity. Our Digital Health Program has helped the Health Ministry improve accessibility to the doctor-patient platform, SehatPedia.
Digital trade
The economic relations between the two countries are getting stronger thanks to the dynamic cooperation between our entrepreneurs. Financial-technology unicorn Wise has been launched in Indonesia and is expected to make everyday life easier through fast, safe and convenient financial services.
We look forward to more success stories, some of them from geolocation-technology company What3words and semiconductor-company Graphcore, which are planning to enter the Indonesian market. We give our full support and want to provide more assistance to anyone looking to follow in their footsteps via the UK-Asia Pacific Digital Trade Network.
This unique tech nation-led program has helped develop 67 companies with an estimated US$2.36 billion in expansion efforts into the Asia Pacific.
The UK is always ready to welcome Indonesian businessmen. The UK technology sector ranks fourth in the world with technology investment hovering at $40.8 billion. Some of the start-ups with the most potential in the world are thriving in the UK. Our technology companies have raised £12.4 billion in venture capital in the first five months of 2022.
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We are ready to welcome Indonesia's high-potential companies and visionary investors. The UK is home to the world’s third-largest decacorns (tech companies worth $10 billion or more), 80 percent of which are founded by foreign nationals.
The tech nation visa provides best talents with the opportunity to come and work in the UK for up to five years. They can also get permanent residency in the UK and become part of the UK tech world.
Now is the perfect time for emerging Indonesian technology companies, investors or entrepreneurs to enter and join the UK market, facilitated by our Global Entrepreneur Program. We are always ready to become a mentor and provide business-related information to founders of international companies.
The UK recently published three reports highlighting Indonesia's growing strength in the digital sector, the value of which is predicted to triple to $124 billion by 2025. These reports highlight opportunities for UK collaboration in key areas, such as financial technology, smart city and cybersecurity.
Natalie Black
Natalie Black, United Kingdom Trade Commissioner
This article was translated by Musthofid.
