Cleaning up to accommodate the 2030 demographic bonus

Jakarta, VIVAWhen his term ends on October 20, 2024, President Joko Widodo (Jokowi) will leave a significant footprint in infrastructure development and digital transformation in Indonesia.

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The President also said that Indonesia must be able to take advantage of all existing instruments and opportunities to continue to develop.

Jokowi highlighted the enormous potential of Indonesia's digital economy, which is expected to quadruple by 2030.

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Not to mention, President Joko Widodo also emphasized his support for the demographic bonus which will peak in 2030 with 68 percent of Indonesia's population of productive age, including generations Y, Z and Alpha.

Currently, the number of active cell phones in Indonesia reaches 354 million, surpassing the population of 280 million.

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The Ministry of Communication and Information (Kemenkominfo) promotes the importance of increasing the capacity of digital talents to respond to dynamic technological developments.

Increased knowledge and skills (improvement) as well as the redevelopment of skills and expertise (recycling) must be implemented to meet human resources (HR) needs in a constantly growing industry.

According to the 2023 Harvard Business Review report, implementing improvement And recycling can narrow the gap between demand and availability of human resources with technological expertise.

This means that today's digital talents must, among other things, master digital entrepreneurial skills, cybersecurity, programming, cloud computing, artificial intelligence (AI) and big data.

Meanwhile, a report by the World Bank and McKinsey indicates that from 2015 to 2030, Indonesia will need at least 9 million digital talents to develop the digital economy.

Similarly, a study by Google, Temasek and Bain & Company carried out in 2022 indicates that Indonesia will contribute approximately 40% of the value of US$1 trillion to the digital economic landscape.

The report estimates that Indonesia can achieve this provided it provides 9 million digital talents over the next 5 years.

For information, currently, Indonesia has only produced 2 million digital talents. A significant effort is therefore needed to add 7 million digital talents by 2030.

That's not all. Strengthening digital talent to accommodate the demographic bonus must also be accompanied by equitable distribution of the internet. The Ministry of Communication and Information said that Indonesia's Internet speed has increased 10 times faster.

In 2014, the average internet speed reached 2.5 Mbps. A decade later, or this year, the average speed has increased to 25 Mbps, with Internet equality in Indonesia reaching 98%.

Indeed, the presence of 4G LTE technology on the 1,800 MHz frequency inaugurated by President Jokowi in 2015 constitutes a crucial step and an important step in the evolution of digital technology in the country.

The results were visible during the Covid-19 pandemic: between 2020 and 2022, the digital sector grew significantly and played an essential role in maintaining the continuity of the national economy.

“Access to connectivity is crucial and all digital ecosystems play an important role in providing this access to the public. This achievement is the basis on which the government can continue to encourage digital transformation, strengthen the economy and prepare Indonesia to become a developed nation in 2045,” said Minister of Communication and Information Budi Arie Setiadi.

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According to a 2023 Harvard Business Review report, implementing upskilling and reskilling can narrow the gap between demand and availability of human resources with technology skills.

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