The next phase of Indonesia’s digital economy is being shaped by a different set of priorities. Scale alone is no longer enough; artificial intelligence, cyber resilience, and digital infrastructure are increasingly treated as the elements that will determine whether growth can continue in a durable way.
That shift matters most for small businesses. Indonesia has around 65 million UMKM, contributing 60.5% to GDP and employing 96.5% of the national workforce, yet many of them still face major gaps in financing and in access to technology that fits day-to-day business needs.
Why the digital economy needs a new foundation
MDI Ventures sees the country’s digital expansion as moving into a more mature stage. The firm argues that long-term growth will be difficult if it continues to rely only on rising usage of digital services without strengthening the systems that support them.
The concern is not limited to market size. The outlook from e-Conomy SEA 2025 projects Indonesia’s digital economy GMV could reach US$180 billion to US$340 billion by 2030, but financing constraints remain one of the biggest obstacles to unlocking that potential.
For that reason, the focus is shifting toward infrastructure that can expand access, protect users, and make digital tools more useful for micro, small, and medium enterprises. In this view, technology is not only a growth engine, but also a means to widen economic participation.
AI is starting to close the credit gap
One of the clearest use cases for AI is in SME financing. In 2023, only about 2.2% of micro and small business owners were recorded as accessing formal bank loans, showing how large the financing gap still is.
MDI Ventures’ white paper highlights alternative-data-based credit scoring as one response to that problem. By reading businessworthiness more broadly, lenders may be able to assess borrowers who remain outside the reach of conventional credit systems.
The example highlighted in this area is Ascore.ai from Amartha. The approach reflects a broader view that AI is not only about automation or efficiency, but also about creating practical access to capital for businesses that have struggled to enter formal lending channels.
Roby Roediyanto, Director at MDI Ventures, said technology should be seen as an instrument that creates not only economic value, but also measurable social and environmental impact. He added that the company’s portfolio in AI, cybersecurity, and digital infrastructure is designed to address real needs in society.
Security is becoming a basic requirement, not an afterthought
As digital adoption spreads, the risk environment is also becoming more complex. MDI Ventures’ white paper notes 56.1 million exposed data records and 5,780 defacement incidents throughout 2024, underscoring how quickly security issues can escalate.
Those numbers reinforce a simple point: cyber resilience can no longer be treated as a technical issue on the sidelines. For a digital economy to maintain trust, data protection and system security must be part of the core foundation.
MDI Ventures points to CYFIRMA, an AI-based cybersecurity portfolio company from Singapore, as part of that response. The company is being used to support threat intelligence and early warning systems for enterprises and strategic institutions.
Capital is also being judged by impact
The investment strategy behind this shift is not limited to sector selection. The white paper also places impact capital at the center of digital development, reflecting a broader movement in how funding is evaluated.
Globally, impact investing is said to have reached US$1.571 trillion in assets under management, with average annual growth of 21% since 2019. In Indonesia, the financing need to close the SDG gap by 2030 is still estimated at around US$1.7 trillion.
That is why corporate venture capital is viewed as having a strategic role. It can connect capital with solutions that deliver high social value while still remaining commercially viable.
MDI Ventures says investment decisions should not be judged only by financial return. Capital also needs to support inclusion, widen access, and strengthen long-term development outcomes.
The clearest results are already visible in the ecosystem
Several portfolio companies are used as examples of what this model looks like in practice. Amartha has disbursed more than Rp28 trillion to 2.8 million UMKM, while Qoala has recorded 445 million microinsurance policies and Privy has served more than 57 million verified users.
From those results, MDI Ventures identifies four building blocks for an inclusive digital economy. They are alternative-data credit infrastructure, embedded financial protection, digital identity and trust, and AI-based enterprise tools linked to Telkom Group distribution networks and the broader BUMN ecosystem.
Alvin Evander, VP Strategy & Sustainability at MDI Ventures, said the company applies a dual-lens approach to every investment. The framework assesses both business viability and the scale of impact on Sustainable Development Goals.
That direction leaves AI, cyber security, and blockchain as the main focus areas ahead. In Indonesia’s fast-moving digital economy, those three sectors are increasingly viewed as the systems that can make growth not only larger, but also safer, more inclusive, and more resilient.
Source: mediaindonesia.com
