Indonesia’s Great Digital Divide: A Looming Talent Crisis of Epic Proportions

Minister of Tourism and Creative Economy Sandiaga Uno at the Barekraf Developer Day event in Yogyakarta. (MI/Ardi Teristi)

MINISTER of Tourism and Creative Economy, Sandiaga Uno. said Indonesia still lacks human resources (HR) or digital talent. In fact, Indonesia needs at least 9 million digital talents.

“We need around 600 thousand new digital talents per year (to achieve these needs),” he said at Baparekraf (Tourism and Creative Economy Agency) Developer Day (BDD) 2024 at the Tentrem Hotel, Yogyakarta City, DI Yogyakarta, Sunday (6 /10).

However, he believes, this need can later be met seeing that young people are very interested in filling the shortage of digital talent.

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Deputy for Digital Economy and Creative Products, Ministry of Tourism and Creative Economy, Muhammad Neil El Himam, explained that his party was holding BDD 2024 in Yogyakarta City with the aim of having a positive impact on the development of the digital ecosystem in Indonesia. A total of one thousand selected developers had the opportunity to attend directly from a total of 4,000 registrants.

“BDD 2024 also opens up opportunities for participants to network with technology industry players, startups and investors who have a great interest in developing digital technology,” he explained.

This event is a strategic platform for developers to showcase their creative ideas and open up further collaboration opportunities.

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Currently, Indonesia is known as one of the countries with the largest digital economic potential in the world, with an estimated digital economic value reaching hundreds of billions of dollars in the next few years. However, on this journey towards growth, Indonesia is still faced with one of the main challenges, namely the digital skills gap.

“The difference between demand for labor in the digital sector and the availability of human resources who have the right competencies is a challenge that must be overcome immediately,” he explained.

On that occasion, he also conveyed Government Regulation number 24 of 2022 concerning the Creative Economy. One of the important aspects regulated in the PP is the recognition of intellectual property (Intellectual Property or IP) as an asset that can be used as collateral for financing for creative business actors.

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BDD is a collaboration between the Ministry of Tourism and Creative Economy/Baparekraf and Dicoding as Google Developers Authorized Training Partner and Google Cloud Partner in Indonesia.

By carrying a theme Bridging the Digital Skills Gap: Paving the Way for Digital IndonesiaBDD aims to provide inspiration, education and facilitation to developers, especially developers in the application, web and Android fields, so that they can improve their skills and the quality of their work in accordance with global industry standards.

Apart from that, through BDD Yogyakarta, participants will be given insight into the importance of collaboration, innovation and sustainability in building an inclusive and competitive digital ecosystem. So they are expected to be better prepared to face challenges in the technology industry which is growing rapidly at national and global levels.

This time BDD also made an agreement between Bank Hijra and a production house 13 Nadi Music and Entertainment and witnessed by the Minister of Tourism and Creative Economy/Tourism and Creative Economy Agency Sandiaga Salahuddin Uno.

It is hoped that the initiation carried out by Hijra Bank can also be followed by other banks so that creative business actors can utilize their intellectual property as collateral to obtain financing, expanding access to capital that was previously difficult to reach. (AT/J-3)

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