Observing the Ease of Investment in the E-commerce Sector

   

The Negative Investment List (DNI) 2016 is like a breath of fresh air for investors who want to make investments in Indonesia. Not only is it easier for conventional industries to make an investment, even the e-commerce sector is affected positively through the DNI 2016. The Investment Coordinating Board (BKPM), is helping the government in the field of investment, they can see that the interest of foreign investors investing in the e-commerce sector is quite high. For this reason, through the DNI in 2016, the government focused their attention on e-commerce partnerships between overseas and local entrepreneurs. This will provide protection and a strong legal basis for businesses in the e-commerce sector.

As presented by the Ministry of Communications and Information Technology, Rudiantara, the government’s commitment in the Indonesian e-commerce world aims to the advancement of the digital industry in the country. Additionally, to provide ease for UMKM within the country that will enter the digital world. Through the official website, the Ministry of Communications and Information Technology (Kominfo) explains that Indonesia is actually ready to develop e-commerce through a variety of policies and regulations that are continually refined by the government.

Through a roadmap being developed by Kominfo, there are currently more than thirty initiatives that have been set up to encourage the progress and development of e-commerce and other digital businesses in the country. Rudiantara also stated that building communication infrastructure is crucial in supporting the development of e-commerce. The government has even initiated the construction of the Palapa Ring so that Internet connection can cover the entire archipelago in the western and eastern region of Indonesia.

No individuals are at fault for pushing the government to answer to all the e-commerce sector’s needs. The e-commerce sector has shown a significant growth in recent years. Just imagine, there is always e-commerce start-up growth which reaches up to 200 startups annually. In fact, in 2015, the Indonesian e-commerce sector received a lot of attention from foreign investors. Although, indeed the world of e-commerce in Indonesia is still not in line with many activities that are still fragmented.

Therefore, Rudianatara underlines the importance of having further action from the government. This should not only be an issue of Internet network installed, the government also needs to think about the supply and delivery so that there will not be a hiccup in the Indonesian e-commerce growth. Hopefully, it will continue to grow especially in terms of increased investment.

It is not only BKPM and Kominfo who are optimistic about e-commerce sector in Indonesia, the Indonesian Chamber of Commerce and Industry (Kadin) shares the same optimism too. In fact, Kadin is convinced that the realization of investment in the e-commerce sector will penetrate the value of US$ 1 billion this year. This prediction will increase by 20% compared to the previous year with an actual e-commerce investment realization value of US$ 800 million.

This prediction by Kadin is not without basis, according to Rosan Perkasa Roeslani, Chairman of Kadin Indonesia, the potentiality of Indonesian e-commerce will continue to be considered by entrepreneurs who are members of the US Chamber of Commerce. One of the indicators is that Gojek was recently injected with funds amounting to US$ 57 million by American businessmen.

The echoes of the rise in Indonesian e-commerce is not only present within the country, foreign media is also aware of this and often is shared in the news. For the most part, foreign media feels that Indonesia has tremendous potential for e-commerce businesses. Techncrunch.com stated that Indonesia is currently becoming an emerging market for the e-commerce industry. With an e-market value of US$ 130 million by 2020, Indonesia is predicted to be the third largest market after China and India.


Source : BKPM