B20 INDONESIA 2022 | DIGITALIZATION TASK FORCETABLE OF CONTENTS
Foreword by the Task Force Chair

02

Task Force Composition

03

Executive Summary

06

Introduction

08

Recommendation 1

11

Drive universal connectivity:
Ensure future proof connectivity for all, fostering universal accessto participate in the digital economy and government services,
ensuring inclusion and eliminating the digital divide

Recommendation 2

31

Build foundation for sustainable and resilient digital economy:
Accelerate development of digital infrastructure

Recommendation 3

53

Ensure a digital ready mindset for individuals and Micro,
Small, and Medium Enterprises (MSMEs), and enabling
MSMEs through access to digital platforms:
Fostering tech-enabled workforce and companies

Recommendation 4
Promote risk and evidence-based, interoperable, andtechnology-neutral cybersecurity standards and bestpractices that support companies’ efforts to protect their
networks:

74

Define cybersecurity protocols, promoting enhancement ofcybersecurity practice and education to private users andcompanies, including MSMEs

Annex

83

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEFOREWORD BY THE TASKFORCE CHAIR
B20’s objectives represent the interest of the business community of theG20 members, support the G20 with impactful and actionable policy
recommendations, and foster dialogue between public and private sectors at
the G20 level and with an international institution.
As chair of the Digitalization task force, Telkom Indonesia will actively
promote digitalization for economic health and national resiliency throughcollaborative recovery and growth among B20 members.
The Digitalization task force’s role is to encourage policies in the field ofdigitization; therefore, we are pushing for digitalization to be a major factor in driving the global economy
forward.
In order to enhance the role of digital as a key driver of nation building and economic development, countries
need to reinforce digital infrastructure and literacy to unlock potential, emphasize fundamental supportsof small medium enterprises in digital transformation, and build up the importance of cybersecurity andbasic rights in the digital era.
Why is digitalization pivotal in accelerating socio-economic growth? Digitalization serves as a crucial
factor for economic growth and resiliency.
Digitalization has become critical in accelerating and fostering economic growth for countries worldwide.
We believe that digitalization can make developing countries leap to pursue equality with developed
countries but key challenges hindering inclusivity in digitalization persist.
The pandemic accentuated the value that digitalization brings to society, it also highlighted the correlation
between digital maturity and economic resiliency.
B20 is an avenue to reshape the future of post-pandemic digitalization. The business community has beenplaying and continues to play an essential role in shaping digitalization across the world. The B20 has also
been actively voicing the need to strengthen multilateral governance on digitalization to address today’spressing challenges. We hope our final policy paper could help identify practical measures, including
driving forward global digitalization and nurturing the tech ecosystem.

Sincerely,

Ririek Adriansyah
Chair of the B20 Digitalization Task Force
President Director of PT Telkom Indonesia (Persero) Tbk
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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEFOREWORDS BY THE TASK FORCE CO-CHAIRSCO-CHAIRFOREWORD

Börje Ekholm

Digitalization ushers in more sustainable economies with new
possibilities for us to earn, learn, socialize, and experience
the world together. Connectivity is a prerequisite for
digitalization, and governments must prioritize the rollout ofaffordable, high-performing networks, whilst ensuring people
have the skills and tools to safely engage online.

Cem Dener

GovTech has great potential to deliver improvements inquality, efficiency, and transparency of government systems
and administrative services. To realize this potential,
Governments need to create the enabling environment tofacilitate digital transformation, provide incentives for private
sector to participate in public sector digitization, and adapt
to changing societal demands.

President & CEO, Ericsson
Group

Lead Governance Specialist
in the Governance Global
Practice, the World Bank

Hans-Paul Bürkner
Managing Director &Global Chair Emeritus,
Boston Consulting Group

Andre Soelistyo
CEO, GoTo Group

Digitization will be a big enabler for all sectors in theeconomy, for individuals and therefore for the whole ofsociety. Unleashing the power of digital transformation should
be at the top of public and private companies’ agenda, byensuring access to connectivity, infrastructure development
and open markets for all.

MSMEs are the backbone of many emerging economies in
the world. With MSMEs being one of the most impacted bydeclining economies, digital platforms play a paramount rolein supporting MSMEs transition into the digital ecosystemand helping them thrive. Focusing on the growth of the
MSMEs will expedite the economic recovery as well as foster
economic resilience.

3

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEFOREWORDS BY THE TASK FORCE CO-CHAIRSCO-CHAIRFOREWORD

Founder, Alibaba Cloud

Economic development used to be measured in increaseof electricity consumption. Now, it is being replaced byincreasing usage of computing power. This marks a transition
from industrial to digital economy, which ushers in an eraof unprecedented opportunity. In the last decade, while
the fundamental transformation of IT infrastructure fueled
the development of cloud computing, cloud computing has
transformed the landscape of information technology. Today,
we see the same dynamics playing out between cloudcomputing and computing power. In another 3-5 years,
economic development will be measured in dramaticallydifferent ways, and computing power will likely be a key
indicator for future economy.

Christian Gebara

Societal impact of digital transformation is huge. Therefore,
it is crucial a prompt and coordinated action between the
public and the private sector is aimed at ensuring we reap thehuge benefits it brings to everyone. A human-centric approachon this digital revolution is the only way to guarantee an
inclusive and sustainable future for coming generations.

Wang Jian

CEO, Telefónica Brazil

Michael Punke

Vice President for Global
Public Policy, Amazon
Web Services

Digitalization has the power to accelerate innovation andeconomic growth in an inclusive and sustainable way. The
digital economy is everyone’s economy; it is up to us tobuild the policy foundations to unlock a cloud-enabled anddata-driven digital economy, and empower our societies toprovide solutions to the most pressing issues we face today,and for years to come4

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCETASKFORCE COORDINATION GROUPDEPUTY CHAIR

POLICY MANAGER

Muhamad Fajrin
RasyidHans Lukiman

Director of Digital Business,
PT Telkom Indonesia(Persero) Tbk

President Commissioner,
Ascend GroupKNOWLEDGE PARTNER

NETWORK PARTNERS

5

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCERECOMMENDATIONS:EXECUTIVE SUMMARY
Recommendation 1 – Drive universal connectivity:
Ensure future proof connectivity for all, fostering universal access to participate in the digital
economy and government services, ensuring inclusion and eliminating the digital divide
Policy action 1.1: Ensure access to high-speed, high-capacity digital infrastructure for digital inclusionand support private efforts to bring inclusive connectivity for all, especially for developing countries
Policy action 1.2: Accelerate network buildout through multiple initiatives, utilizing Fixed, Mobile,and Satellite Broadband systems to expand network coverage and increase capacity. Promote faircompetition, global standards, and act to remove deployment barriers
Policy action 1.3: Ensure higher usage of internet by making internet relevant for users by providing
meaningful local content to citizens, and accessible to all by ensuring that the cost of devices, internet
services and other value chain components do not limit adoption

Recommendation 2 – Build foundation for sustainable and resilient digital economy:
Accelerate development of digital infrastructure
Policy action 2.1: Unlock digital opportunities across the economy at large that prioritize ESG, toenhance competitiveness and drive inclusive growth
Policy action 2.2: Encourage open, innovative, and coordinated digitalization of governing institutions
to enhance public service delivery, through modern innovative business models and regulations
Policy action 2.3: Promote adoption of digital infrastructure (cloud, digital identification, digital
payment systems, digital signatures, amongst others) and facilitate the importance of data free flow
with trust and cross-border data flows on the premise of respecting the domestic legal frameworks ofeach country

Recommendation 3 – Ensure a digital ready mindset for individuals and Micro, Small, and Medium
Enterprises (MSMEs), and enabling MSMEs through access to digital platforms:
Fostering tech-enabled workforce and companies
Policy Action 3.1: Define specific desired practical outcomes in mindset by level of education (Primary,secondary, tertiary) to individuals, while promoting the use of digital equipment and solutions toenhance learning experience
Policy Action 3.2: Improve individuals’ technical digital skills through continuous education, involving
multistakeholder cooperation, to increase their propension to use digital products and services and6B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

their ability to navigate the cyberspace safely and mindfully especially for MSMEs, however applicable
across all companies at large
Policy Action 3.3: Accelerate responsible innovation and digital adoption especially by MSMEs, however
applicable across all companies at large, by promoting policies to provide access to digital platforms
that can help build competitive markets
Policy Action 3.4: Increase efforts to provide sustainable and fair financing for MSMEs to adopt digitaltechnologies

Recommendation 4 – Promote risk and evidence-based, interoperable, and technology-neutral
cybersecurity standards and best practices that support companies’ efforts to protect their
networks:
Define cybersecurity protocols, promoting enhancement of cybersecurity practice and education
to private users and companies, including MSMEs
Policy Action 4.1: Define cybersecurity and cyber resilience interoperable standards and best practiceusing a risk and evidence-based, technology-neutral approach to all levels of supply chain
Policy Action 4.2: Promote enhancement of cybersecurity practice through increasing awareness of
security threats, bridging cybersecurity skill gaps, requiring government vendors to meet self-regulating
cybersecurity standards, increasing cross-border cooperation, and championing the implementationof universally recognized norms, rules, and principles

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEINTRODUCTION
The criticality of digitalization can be seen similarly to electrification 100 years ago, implied by thefact that digitalization continues to heavily transform the way we live, work, and interact with eachother as well as with our environments. There was a strong global growth in internet use due to a
‘COVID connectivity boost’, with the estimated number of people who have used the internet surging
to 4.9 billion in 2021, from an estimated 4.1 billion in 20191. Meanwhile, the connection quality of
those that are connected is moving in the right direction, with 1.38% GDP increase per 10% increasein broadband penetration2 which unlocks ways to address global challenges of stagnant productivity
impacting economy, climate change pressures, inequality in access to work, healthcare, markets, andeducation. Benefits that digitalization brings will be inclusive towards all parts of society, it will notmake disadvantaged groups obsolete.
Digital infrastructures (defined in this paper as digital technologies that provide the foundation for
an organization’s information technology and operations), promise to have a significantly productive
impact on our societies and have a positive impact on companies’ ESG commitments. It is expected
to extensively transform global economies, by as early as 2030 delivering USD 8 trillion3 in value
around the world. In the short-medium term, future-proof technologies such as big data, Artificial
Intelligence (AI), Internet of Things (IoT), and Machine-to-Machine (M2M) technologies are boosting
efficiency and unlocking values delivered by organizations like never before, with big data and AI
contributing around USD 4.5 trillion and IoT and M2M contributing around USD 15 trillion revenue by
20254. Identity, privacy, and cybersecurity is also increasingly important, as seen from the estimatedcost of cybercrime of USD 2 trillion in 2021, significantly increasing from USD 400 billion in 2015.
Digitalization is essential to achieving firms’ ESG commitments. For example, digitalization has thepotential to reduce global carbon emissions by up to 15%5, making a significant contribution tomeeting the overall 40% reduction target set by many countries in reference to the United Nations
Framework Convention on Climate Change (UNFCCC) and the Paris Agreement by 2030 (compared
to 1990 levels). Furthermore, the Global e-Sustainability Initiative estimated that 11 out 176 of SDG
targets can be directly influenced by digital technologies such as digital access, faster Internet,
cloud services, IoT, cognitive technologies, digital reality, and blockchain.
However, digitalization can also bring challenges to the overall sustainability agenda. As an example,
the digital infrastructure’s environmental imprint poses a challenge to our world and future generations.
If we want digitalization to help combat climate change and reduce our environmental impact on
the earth, we must address the demand for precious/rare metals required for production and themassive consumption of energy required to power the infrastructure. There are opportunities to be
had, and many businesses are making investments in greening their operations. Additional efforts
are required, particularly in the transition to 100% renewable energy, enhanced data center coolingsystems, and the re-use of produced heat as well as spent materials7.
1
2
3
4
5
6
7

International Telecommunication Union (ITU)
ITU, Economic Impact of Broadband, Digitization, and ICT Regulation, 2020
Nokia’s 5G Readiness Report, 2020
Gartner, Magic Quadrant for Data Science and Machine Learning Platforms, 2021
WEF, Digital technology can cut global emissions by 15%, here’s how, 2019
Digital Access Index, 2021
UN, Growing Footprint of Digitalization, 2021

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

With the pandemic coming into play, digital adoption around the world has also risen significantly.
The World Bank Business Pulse Survey, a survey conducted of businesses of various scales (small,medium, and large) across 79 countries and more than 100,000 firms, indicated that amidst decreasing
sales and high turnover rate during the pandemic, one silver lining of the crisis was the accelerationof digital technology diffusion. The survey indicated that 44% of businesses increased their adoptionof digital technologies and 29% of businesses invested in new digital technologies, resulting inacceleration towards pre-pandemic sales performance and productivity8.
Smartphone penetration rates are also seeing significant progress, with projections of all regions
having more than 80% of its population owning a smartphone by 2025, except for the Africa region
which is predicted to have around 64% of its population owning a smartphone9.
Furthermore, as the world adapted to digital disruption during the pandemic, businesses had to deal
with two types of disruption: changing consumer behaviors and changing staff needs. To maintainproductivity, the private sector relied heavily on distant digital access, and e-commerce became
one of the only viable sales channels. Subsequently, internal challenges such as changing working
practices, with remote work becoming the norm, quickly became important. Similarly, government
agencies were forced to transfer most of their services to digital apps to assure service continuity
and support citizens during the pandemic.
Businesses, governments, and individual levels of preparedness in navigating the digital era quickly
became important for survival. The pandemic highlighted the ‘digital divide’ as a real and growing
problem, with those enjoying inclusion in the digital economy and ecosystems reaping their benefits,
while those who fall outside of the digital realm continue to fall further and further behind. To closethe digital divide, collectively we need to advance moving beyond fragmented e-government solutions
both domestically and regionally to key digital building blocks and digital infrastructures that will
stimulate pervasive inclusion across all socioeconomic levels.
Two of the objectives of Indonesia’s presidency at the G20 are to bridge the digital divide and foster
inclusive digital transformation – to radically accelerate the integration of underprivileged citizens
into the digital economy. To do so, the business leaders and government leaders across the G20 must
agree on a common vision and understanding on what constitutes digital inclusion – with building
blocks acting as a springboard for each person to tap into global digital networks.
Indonesia is among the first to recognize the power of digital transformation in sectoral economics.
As the leading producer of decacorns in ASEAN, the country proudly participates in and fosters athriving tech scene – yet at the same time Indonesia would also be the first to admit that much more
can and needs to be done in involving those at the bottom of the pyramid. In Indonesia, examplesof that would be citizens in Daerah 3T (Daerah Tertinggal, Terdepan dan Terluar; or disadvantaged,
outermost, and frontier regions).
Foundational digital infrastructures serving both the private and the public sector will need to use
e-government for holistic economic and social development. The private sector needs to take the leadon development of fundamental digital infrastructure, supported by a friendly regulatory environment.
8
9World Bank, World Bank Business Pulse Survey
Statista, Number of 5G connections worldwide by region, 2021-2025, 2021

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

The governments of G20 economies should act not only as policy makers, but also as leaders indigital inclusion. Public policy actions can support system-wide transformations which ensure thatno one is left behind. The B20 Digitalization Task Force is ready to support G20 governments aspotential funders, participants, technology partners, as well as with other modes of collaboration.
The Digitalization Task Force identifies 4 main obstacles that contribute to the digital divide andprevent inclusive digital transformation.
•

Different levels of readiness hamper the ability of countries and businesses to utilize digitalization
as a key driver for national building and economic development•

The lack of digital infrastructure and literacy•

Insufficient support for MSME’s digital transformation•

Issues of cybersecurity and basic rights in digital era

Considering all the cases mentioned above, we believe that digitalization is one of the world’s mostpressing issues to tackle. Hence, we make a strong case for the following 4 policy recommendations:•

Drive universal connectivity•

Build foundations for sustainable and resilient digital economy•

Ensure a digital ready mindset for individuals and MSMEs, and enabling MSMEs through accessto digital platforms•

Promote risk based, interoperable, and technology-neutral cybersecurity standards and bestpractices that support companies’ efforts to protect their network

10

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCERECOMMENDATION 1
Drive universal connectivity:
Ensure future proof connectivity for all, fostering universal access toparticipate in the digital economy and government services, ensuring
inclusion and eliminating the digital divide

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEPOLICY ACTIONSPolicy Action 1.1 – Ensure access to high-speed, high-capacity digital infrastructure for digital
inclusion and support private efforts to bring inclusive connectivity for all, especially for developing
countries
Policy Action 1.2 – Accelerate network buildout through multiple initiatives, utilizing Fixed, Mobile,and Satellite Broadband systems to expand network coverage and increase capacity. Promote faircompetition, global standards and act to remove deployment barriers
Policy Action 1.3 – Ensure higher usage of internet by making internet relevant for users by providing
meaningful local content to citizens, and accessible to all by ensuring that the cost of devices,internet services and other value chain components do not limit adoption
LEADING MONITORING KPI				OWNER: G20 COUNTRIES% of People Connected to the Internet
Source: International Telecommunication Union(ITU)

Baseline
63%(2021)

Target70%(2024)SDG IMPACT

Recommendation 1 contributes to the achievement of UN’s SDG for the goals: 8: Decent Work andEconomic Growth, 9: Industry Innovation and Infrastructure, 10: Reduced inequalities, 17: Partnershipfor the goal
Policy action 1.1 - Contributes to better work standards and economic growth by solving connectivity
issues across geographies. Increasing connection quality has a positive impact on GDP contributing
to target 8.1 (Sustain per capita economic growth in accordance with national circumstances and, inparticular, at least 7 percent gross domestic product growth per annum in the least developed countries)
and 8.2 (Achieve higher levels of economic productivity through diversification, technological upgrading
and innovation, including through a focus on high-value added and labor-intensive sectors).
In addition, increasing connection reach would benefit indicator 17.6.2 (Fixed internet broadband
subscriptions over 100 Inhabitants by speed) as well as indicator 17.8.1 (Proportion of individuals
using internet)
Policy action 1.2 - By focusing on accelerating network buildout through multiple initiatives, PA 1.2
impact target 9b (Support domestic technology development, research, and innovation in developing12

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

countries, including by ensuring a conducive policy environment for, inter alia, industrial diversificationand value addition to commodities).
In addition, PA 1.2 also contributes to target 9c (Significantly increase access to information andcommunications technology and strive to provide universal and affordable access to the internet in least
developed countries) in which affordable and universal access is the key target.
By granting the same level of connectivity and reducing inequalities in technology access, it would
also benefit target 10.1 (By 2030, progressively achieve and sustain income growth of the bottom
40 percent of the population at a rate higher than the national average).
Policy action 1.3 - By making sure that cost of devices, internet access and other value chain
components do not limit adoption, this policy action impact target 9c (Significantly increase accessto information and communications technology and strive to provide universal and affordable accessto the internet in least developed countries)
As well as target 10.3 (Ensure equal opportunity and reduce inequalities of outcome, including by
eliminating discriminatory laws, policies and practices and promoting appropriate legislation, policies
and action in this regard)

G20 INDONESIA PRIORITY IMPACT

Recommendation 1 commits towards the achievement of one of G20 Indonesia 2022’s key priorities,
which is Digital Transformation, by striving to see a world that is better connected and eliminating
digital divide.
Policy Action 1.1 aims at granting equal access to everyone in accessing the internet, which would
help pave the way for a more inclusive digitalization for all.
Policy Action 1.2 aims to accelerate network buildout through multiple initiatives, including promoting
fair competition, global standards, and act to remove deployment barriers. By doing so, this policy
action also contributes to the digital transformation.
Furthermore, as Policy Action 1.3 sought to ensure higher usage of internet by providing meaningful
local content and making internet accessible for all. By doing so, this policy action also contributes
to the Digital Transformation.

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCECONTEXTIn recent years, connectivity has been a pillar of economic growth and a key enabler of digitaltransformation. The number of people who are connected is expanding, and internet penetration isincreasing in all parts of the world, as seen from the share of population using the internet. However,
only half of the world’s households have access to internet connectivity at sufficient speeds today10.

Exhibit 1 | Share of population using the internet, 2019

North America

Middle East & North Africa

Europe & Central Asia

East Asia & Pacific

Latin America & Caribbean

South Asia

Sub-Saharan Africa

Source: Our World in Data

Exhibit 2 | Access to Internet Connectivity Worldwide & Goal for the Future
Only half the world’s households have access to		internet connectivity at sufficient speeds today		The goal is to exceed the ITU’s target of providing 75% ofhouseholds with access by 2025

Households with internet access at sufficient speeds in 2020 (%)

Households with internet access at sufficient speeds by 2025 (%)

1

1. If China is excluded, only 53% of people in MICs are connected at sufficient speeds-18% by fiber, and 35% by mobile

Source: Ovum WBIS; GSMA; Ookla; World Bank; BCG analysis

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BCG, A $2 Trillion Plan to Bring Two Billion More People into the Digital Age, 202014

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

Mobile internet is the dominant mode of internet connection for the majority of the world’s population;according to Ericsson Mobility Report 202111, we currently have a thriving global ecosystem with
8.1 billion mobile connections in 2021, which encourages new waves of innovation, such as the
App economy12. Except for fixed wireless access (FWA), mobile networks handle about 300 times
more traffic in 2021 than they did in 2011, network speeds have increased hundreds of times, andthere are currently nearly 20,000 different 4G device models on the market. Without the industry’s
ability to grow and the never-ending advances in network efficiency, none of this would have beenfeasible. This has been achieved through global standards, which have allowed mobile technologies
to compete, succeed, and scale globally, driving up affordability for consumers in all countries.
The faster connection speed on both fixed and mobile broadband infrastructures is unlocking morevaluable use cases, resulting in economic impact, with one example being job creation. Historically,
analysis shows, with US data, a 10-percentage-point increase in broadband penetration would
have resulted in more than 806,000 additional jobs, or an average annual increase of 269,000 jobs
(increment of 11%). Second, there is also a great correlation between broadband availability, jobs,
and GDP growth. A 10-percentage-point increase in broadband access would have resulted in morethan 875,000 additional jobs and USD 186 billion more in economic output (increment of 7%). Lastly,
this same analysis showed that adoption of higher speeds drives noticeable improvements in job
growth. Adding 10 Mbps to average download speeds would have resulted in 139,400 additionaljobs or 46,500 additional jobs per year (increment of 2%)13.

Exhibit 3 | Economic Impact of Digital Divide
Incremental jobs per years (thousands)

Percent of average yearly job growth

Source: Deloitte analysis of broadband, economic, and population data (e.g., FCC, US Census Bureau of Labor Statistics, etc.)

The COVID-19 crisis has impacted people in many countries, significantly influencing their daily
lives. Indeed, connectivity has proven to be a major driver in enabling a global response to the
COVID-19 pandemic. With many activities forced to move to digital channels, internet access has
played a pivotal role in work, education, and social life. During lockdowns, internet data traffic
surged up to 60%14, the use of virtual communication tools rose 10 times, and online streaming
11
12
13
14

Ericsson, Mobility Report, 2021
The App Economy refers to the smartphone and tablet revolution whereby a mobile application is available for just about everything.
Deloitte, Broadband for All. Charting a Path To Economic GrowthNielsen COVID-19 Tracking the Impact on Media Consumption, 202015

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

increased by more than 50% all around the globe15. The pandemic has accelerated the focus on digitaltransformation and according to Gartner’s 2021 CEO and Business Executive Survey, 36% of CEOs
placed a technology-related priority as their second most important priority after growth with 20%
specifically mentioning “digital” priorities16. Of the IT purchasing decision-makers Nokia surveyed
in eight markets, 45% said they had accelerated their digital transformation programs because of
COVID-19, compared to just 18% who have not17.
However, universal connectivity has yet to be achieved. According to the latest ITU data, 87% of
people are using the internet in developed countries, compared with 44% in developing countries18.
Nearly half of the world remains unconnected19, particularly in developing countries.
According to a survey by the GSMA there are five main barriers to internet adoption and use. These
are lack of digital literacy and skills, affordability, content relevance, safety and security, and accessto networks and other enablers20.

Exhibit 4 | Key Barriers to Mobile Internet Adoption and Use

Source: GSMA, The State of Mobile Internet Connectivity, 2021

Based on a survey conducted by the World Bank to African, Asian and Latin America countries, themost common reasons for not using the internet are “do not know what the internet is” (58.9%)
and “do not know how to use the internet” (10.1%). Another barrier to internet usage is a lack ofaccess to a device (computer or mobile phone) (11.5%). Lack of material in the local language ordata privacy concerns remain secondary factors compared to literacy and affordability.

15
16
17
18
19
20

Nielsen COVID-19 Tracking the Impact on Media Consumption, 2020
Gartner, CEO Survey, 2021
Nokia, 5G readiness report, 2020
ITU, Digital Inclusion of All, 2021
UNESCO, New report on global broadband access underscores need to reach the half of the world still unconnected, 2019
GSMA, The State of Mobile Internet Connectivity, 2021

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Exhibit 5 | Main reason for not using the internet across the population
Main reason for not using the internet across the population as a whole (in percentage points)

Total

Argentina

EcuadorParaguay

Peru

Columbia

Sri Lanka

Cambodia

Latin Amerina

Pakistan

Bangladesh

India

Nepal

South Africa

RwandaAsia

Tanzania

Mozambique

Uganda

Kenya

Ghana

Nigeria

SenegalLesothoAfricaGuatemalaPercentage points (% of those who do not use internet)

Source: World Bank, A Demand-Side View of Mobile Internet Adoption in the Global South, 2021

The impact of a digital divide between people with and without internet access grows in parallelwith increasingly visible consequences. Children have been cut off from educational possibilities
because they are compelled to attend class from home without a dependable connection or anadequate device. Gaps in global connectivity are not restricted to rural areas; even within cities,
certain zones receive less service than others.
Impact of a digital divide also correlates directly with a country’s resiliency in tackling the COVID-19
pandemic. As defined by the World Bank, ‘resilience’ is the ability of a system and its component
parts to anticipate, absorb, accommodate, or recover from the effects of a hazardous event in a timely
and efficient manner, including through ensuring the preservation, restoration or improvement of its
essential basic structures and functions21.
As seen in Exhibit 3, we note that countries with higher digital readiness scores were better prepared
to respond to the pandemic. In addition, countries with higher COVID-19 resiliency scores also had
a better e-government index.

21

World Bank, Building Resilience, 201317

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Exhibit 6 | Covid-19 Resilience Score vs Digital Readiness Index

Source: Study with comparation from; IMD World Digital Competitiveness Ranking 2021; Bloomberg Covid Resiliency Ranking as of Dec 2021

In the effort to guide the G20 towards a tangible and impactful change, the B20 Digital Task Forceseeks to draw attention to three key priority actions to ensure a strong reduction of connection
inequalities:•

Ensure access to high-speed, high-capacity digital infrastructure for digital inclusion and support
private efforts to bring inclusive connectivity for all, especially for developing countries•

Accelerate network buildout through multiple initiatives, utilizing Fixed, Mobile and Satellite
Broadband systems to expand network coverage and increase capacity. Promote fair competition,
global standards, and act to remove deployment barriers•

Ensure higher usage of internet by making it relevant for users by providing meaningful local
content to citizens, and accessibility for all by ensuring that the cost of devices, internet services,and other value chain components do not limit adoption

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

Policy Action 1.1: Ensure access to high-speed, high-capacity digital infrastructure for digital
inclusion and support private efforts to bring inclusive connectivity for all, especially fordeveloping countries

The G20 should ensure that connectivity is ‘fit for purpose’, that defines adequate coverage for
their national needs, today, and tomorrow
When discussing network capillarity22 and inequality, the G20 members need to go back to thebasic infrastructure needs to promote digital inclusivity; as an example, G20 members need to check
whether countries already have power access for the consumer to charge their mobile devices or toconnect with the telecom networks/mobile antennas. In the case of network quality, G20 members
need to consider whether the government is already rewarding the correct spectrums for specificinternet quality needs and at fair prices that do not compromise network deployment investments.
Without these basic needs fulfilled first, it will be challenging for nations to continue with the digital
inclusion agenda.
In addition, the speed at which technologies and services evolve is unprecedented. Hence, what
today might be considered a good level of connectivity to enjoy a service may become obsolete
within one year . Additionally, the digitalization usage levels across regions and countries varies
significantly and what is a minimum adequate level of connectivity in a highly developed place might
be unrealistic and impossible to achieve in a less developed country. On the contrary, acceptable levels
in a developing country might be insufficient for a highly developed country. Levels of connectivity
should provide an achievable target for each country and thus cannot be extrapolated to otherplaces. Nonetheless, all countries should aim for qualitative levels of connectivity in the long-termto help reduce the existing digital divide.
The G20 should perform heatmapping of geographic population versus the coverage of various
terrestrial and satellite internet connectivity to provide a common picture of global coverage
and a base for concerted action
22
A capillary network is a local network that uses short-range radio-access technologies to provide local connectivity to things and devices.
Source: Ericsson

19

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEOver 1 billion new internet users have joined the global network in the last five years. Despite this,just under half of the world’s population (2.9 billion) do not have access to the internet. They are
primarily found in the least developed nations (LDCs), landlocked developing countries (LLDCs), andsmall island developing states (SIDS)23. According to the most recent data from the International
Telecommunication Union, 87% of people in developed countries use the internet, compared to 44%
in developing ones.
Hence, to prevent further digital divide, the G20 members should perform heatmapping of geographic
population versus the coverage of terrestrial internet connectivity (3G, 4G, 5G) to ensure that we haveappropriate mapping of the connectivity gaps to be bridged, allowing for a more targeted approach.
As seen on the exhibit below, ITU has created a share of the population using the internet on acountry basis. The G20 may expand this approach in two ways: i) to go beyond country penetrationassessment to assess regions within the country, and ii) to assess not only internet penetration, butalso internet quality, enabling a more targeted approach on how to increase network broadband
quality.
To ensure progress toward reducing the digital divide, the G20 can create a heatmap of geographic
population compared with the coverage of different internet connectivity (3G, 4G, 5G). This would
allow for a targeted prioritized approach toward development plans and the tracking of progress.

Exhibit 7 | Share of population using the internet, 2019

Source: ITU, World BankThe G20 needs to create a targeted approach and prioritize initiatives based on the heatmap
to aim for maximum impact on ensuring digital inclusiveness for all
Based on the heatmap of geographic population against the coverage of various terrestrial internet
connectivity, the G20 should create a more targeted approach on how to tackle the lack of internet
23

ITU, Measuring Digital Development, 2021

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

access and quality by understanding the root causes of lower network coverage. If a country has
lower network coverage due to lower affordability of internet access, the government can create atailored approach to reduce internet costs for end users such as offering a discounted spectrum inreturn for obligations to cover rural and remote areas.
The G20 can also prioritize which countries to assist immediately based on lowest number of internet
users and the biggest potential to narrow the digital divide.
To truly address the digital divide, the G20 should consider disadvantaged groups in prioritizing
initiatives. Women, elderly people, people with disabilities, individuals on the move, and indigenous
peoples, among other disadvantaged and marginalized groups, require specific and varied efforts toachieve digital inclusion. These include identifying and changing discriminatory policies and practices,raising awareness of the digital divide, and countering stereotypes in the digital domain by using
more empowering images of women, older people, and other oppressed groups24.

24

ITU, Leveraging digital technologies for social inclusion, 2021

21

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

Policy Action 1.2: Accelerate network buildout through multiple initiatives, utilizing Fixed,
Mobile and Satellite Broadband systems to expand network coverage and increase capacity.
Promote fair competition, global standards and act to remove deployment barriers

High-capacity and robust connectivity networks, intended as infrastructure and technology capableof delivering gigabyte speeds, allow businesses and communities to grow their competitiveness,quality of life, education level, and economic prosperity. One example would be the use of subsea
cables connecting countries across the world. As an example, in August 2021, Google and Facebook
announced that they would develop a subsea cable system, dubbed “Apricot”, for 2024 to improve
internet connectivity, and serve growing demand for broadband access, and 5G wireless connectivity
across the Asia-Pacific region, including Japan, Singapore, Taiwan, Guam, the Philippines andIndonesia25.
The deployment of new generations of broadband networks, expanding their reach and upgrading
their performance, is crucial to accomplishing economic recovery and growth. Moreover, existingsocial imbalances risk further widening if technologies and connectivity continue to spread
heterogeneously. There is a very real risk for this. For example, by 2027, it is estimated that 90% of all
mobile subscriptions in North America will be 5G, whilst in Sub-Saharan Africa, it will be only 10%.
The development of cutting-edge networks may be facilitated through public and private cooperation
aimed at stimulating innovation and enabling favorable financial conditions to promote new investments.
This could be achieved by ensuring an investment-friendly environment, free of unnecessary barriers
to network deployment, where technology or vendor neutrality prevails and where markets, rather
than governments, decide which technologies will succeed through fair and transparent competition.
Hence, it is important to support network expansion for internet service providers through multiple
initiatives, as per below:•

Facilitating business operations under competition rules•

Encouraging new viable business models, where there is no competitive solution

25

Bloomberg, 2021

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE•

Promoting technology neutrality•

Support in driving network expansion costs down partly through fostering transparent and efficientpermit granting procedures•

Facilitating broadband network deployment by minimizing components of regulatory charges•

Promoting related policies aimed at providing non-discriminatory access at fair prices totelecommunication companies•

Encouraging private sector network expansion by fostering return on investment•

Leveraging mechanisms such as public-private partnerships•

Development of policies to bridge physical and digital infrastructures•

Promoting global standards and interoperability

The G20 should facilitate fair competition, including facilitating existing business operations
under competitive rules and encouraging new viable business models
The G20 should encourage markets to develop by enabling fair competition to increase innovation andcooperation, as well as adopting governmental measures to support network investments, leveraging
both new and existing business models (which expand network coverage and speed-up roll-out).
The G20 should support network deployment by fostering transparent and efficient permit
granting procedures and facilitating broadband network deployment by minimizing componentsof regulatory charges
Tax incentives, pricing regulations, and long-term technology-neutral licensing have a significant
impact on network coverage. To overcome roadblocks of affordability for end consumers, it isnecessary to lower network deployment costs by giving access to spectrum at fair prices, simplifying
licenses and permits, and minimizing components of regulatory charges (for example, reduce sector
specific taxation). Global open standards compliant with WTO/TBT principles for international
standards development26, such as 3GPP, should also be encouraged. Open standards will enable
technologies and services to scale and become increasingly affordable, resulting in expansion ofmobile communication technology coverage to regions not previously covered. All these efforts willease upgrades and expansion of networks while at the same time lowering consumer prices.
When it comes to promoting private investments in high-capacity, future-proof digital infrastructures,
the G20 should limit the use of direct government interventions to market failures alone. Furthermore,
it is critical to make the overall network deployment process easier. It could mean overcoming
roadblocks like permitting delays or harmonizing radio frequency exposure values, which could
lead to an uneven network deployment. This would simplify and lower artificial entrance barriers,
promoting competitiveness.
The G20 should maximize spectrum availability, by ensuring its timely and affordable release, in
accordance with domestic laws and legal framework
26

WTO, Principles for the Development of International Standards, Guides and Recommendations, 2000

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To expand network reach even further, G20 members should push for policies that give operators
access to global or regionally standardized 5G pioneer spectrum. Early allocation of suitable amounts ofspectrum has a significant impact on network coverage since it leads to increased network investment.
Only 25.5% of 5G spectrum has been released to Member States27 in Europe for example. The slow
pace is attributed in large part to a concentration on short-term profits above long-term advantages.
Governments should create the best possible conditions for an investment conducive environment
with fiscal policies incentivizing more investments in broadband and making 5G spectrum in low,
mid and high bands available in an affordable way.
In addition, spectrum is key in underpinning for the mobile industry and so high spectrum prices willcompromise the financial capability of operators to roll out networks. This has a negative impact forthe services that customers receive. The G20 can explore efforts to help reduce spectrum prices.
The G20 should make private sector network expansion a priority, also ensuring their neutrality
with respect to technologies and business models
Because of existing limitations of network coverage and shortfalls in infrastructure, significant capital
investments are required to meaningfully connect more people to the internet28. The International
Telecommunication Union (ITU) estimates that nearly USD428 billion is required to connect the remaining
3 billion people aged ten years and above to broadband Internet by 203029. As recommended by
the OECD, it is fundamental to take timely measures to close gaps in unserved and underserved
demographics, while striving to avoid distorting competition, such as through the promotion ofdemand aggregation in rural and remote areas30.
Policy makers should put broadband access at the forefront of economic development efforts, with areconsideration of policies, including fiscal measures, spectrum pricing, technologies, and businessmodels to expand connectivity reach to historically unconnected or underserved populations.
Public involvement in fostering the take-up of high-capacity and robust fixed, mobile, and satellite
broadband connectivity, capable of delivering gigabyte speeds, may be encouraged with voucher
schemes to underserved households and businesses without distorting competition dynamics,
private investments, and existing business models. While respecting the principle of technologicalneutrality, governments might consider granting vouchers to the best available high-capacity androbust fixed mobile and satellite broadband networks capable of delivering gigabyte speeds with aview to foster their take-up.
The G20 should promote the development of policies to bridge the gap between rural and urban
areas, create an entry-point for the excluded to access the digital economy, and mitigate social
imbalances by granting meaningful internet access to everyone
The G20 should accelerate the digital development of rural areas and improve its governance byenhancing digital infrastructure and capacity building to bridge the digital gap with urban areas,
27
28
29
30

Ericsson, Digitalization with 5G enables further acceleration of climate action, 2021
Broadband commission for sustainable development, State of Broadband, 2019
ITU, New ITU sudy estimates US% 428 billion are needed to connect the remaining 3 billion people to the internet by 2030, 2020
OECD, Recommendation of the Council on OECD Legal Instruments Broadband Connectivity, amended 2021

24

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

thereby reducing inequalities. While practically every city on the globe has a mobile-broadband
network, rural areas still have troubling gaps in connectivity and internet access. Globally, according
to ITU, 72% of urban households have access to the internet at home, about twice as many as rural
households (38%). It is critical to improve infrastructure and network coverage and penetration to closethe digital gap. In addition to boosting agricultural productivity, digital technologies can help rural
populations by supporting public services (such as healthcare and education) and their governance.
Developments in satellite technology, particularly constellations in low earth orbit (LEO), can help
bring high speed, high capacity, and low latency broadband connectivity to rural and remote areasthat previously were not covered. Also, the development of Fixed Wireless Access, as well as fiber,can support to increase connectivity access to rural communities.
The G20 should promote global ICT standards to facilitate interoperability and affordability
Global ICT standards eliminate costly market conflicts over preferred technology. Global standards
also create a level playing field for enterprises from emerging nations to enter new markets. Dueto the economies of scale, standards could enable cost reductions for the entire supply chain:manufacturers, operators, and users31.

31

ITU, ITU-T in Brief

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Policy Action 1.3: Ensure higher usage of internet by making internet relevant for users byproviding meaningful local content to citizens and accessible to all by ensuring that the costof devices, internet services and other value chain components do not limit adoption

Digital exclusion is no longer simply about being beyond the reach of infrastructure that makes
internet access possible.
Theoretically, 95% of the world’s population could access mobile broadband internet, given thatthey live within range of a 3G mobile network. Although connectivity growth has been remarkable
over the last decade thanks to mobile broadband networks, today, around 3 billion people aroundthe world remain offline. The UN Broadband Commission defines internet accessibility as ‘one fortwo’: accessible internet is where 1GB of mobile broadband data is priced at 2% or less of theaverage monthly income. Internet connections in low and middle-income countries have become
more accessible, moving from 7.0% of average monthly income in 2015 down to 3.1% in 201932,
but numerous countries are still facing challenges to reach this goal. According to the Alliance for
Affordable Internet (A4AI) 2021 Affordability Report, governments have not taken the required actions
to accelerate internet access worldwide in a way that would help attain the Sustainable Development
Goals, grow the economy, and help people realize their potential.
Unconnected populations should be the focus of not only G20, but all policymakers and government
agendas in the same way that power and water infrastructure were central to development in the20th century. Connecting everyone is a major issue that will necessitate a multi-stakeholder strategy.
This will demand collaboration and cooperation from both the public and private sectors from acrossthe value chain. To bridge the connectivity gap on both the supply and demand sides, a number ofprivate and public sector efforts are needed.
Note: digital literacy, one of the key strategies to ensure technology accessibility, will be covered inrecommendation 3 to prevent duplications.
The G20 should make the internet relevant for users by providing meaningful local content on
32

A4AI, Affordability Report, 202026

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

the internet to citizens e.g., providing content with local language options and in relation to
the local culture
To get people connected, it is necessary to find innovative ways to provide meaningful local content
to citizens. One way to do this is for content providers to provide content on the internet in relation
to the country’s local culture, or with the country’s language.
Another way to do this is to ensure the process of digitalizing administrations take place and more
specifically digitizing the public sector´s interactions with citizens. Additionally, by increasing thecapacity and efficiency of the public devices will encourage citizen´s adoption and use of eGovernment
services.
The G20 should ensure technology accessibility for all individuals by using public levers such as
promoting clear and transparent National Broadband Plans
One solution to address the affordability concern of internet connection is for the G20 to promote thedevelopment of National Broadband Plans (NBPs) as policy documents, which can help set effective
accessibility targets and target progress periodically, stimulate positive public - private relationships,
provide stability for a competitive market to grow, and increase private sector confidence whencommitting to longer-term structural investment.
Governments should ensure that information and communication campaigns held at national levelon available digital means (devices, services, and networks) are homogeneous and synchronous toensure the same level of awareness, understanding, and support across every layer of the population.
On this topic, it is important to build on the existing work, such as the guidelines provided by theInternational Telecommunication Union (ITU)33. Ensuring that technology is equally accessible does nothave to be limited only to unserved, remote, or in-need populations. The World Health Organization
estimates that 1 billion people live with disabilities34, and the International Telecommunication Union
highlighted the importance of improving their access to ICTs35, especially considering that assistive
technology can be life-changing for disabled individuals36. Access to technology should not be
restricted by our vision, hearing, mobility, mental health, learning disabilities or cognitive differences;hence, information technologies and communication devices should be designed to be accessible
to all.
The G20 should consider public-private partnership initiatives to support broadband development
and demand-supporting initiatives
The G20 should consider public-private partnership initiatives to help support broadband development
and demand-supporting initiatives, to help more people get connected to the internet.
Options to support broadband development and demand-supporting initiatives aimed at securing
affordable connectivity for many could include expanding to all private sector agents benefiting from33
ITU Guidelines on how to ensure that digital information, services and products are accessible by all people, including Persons with Disabilities
during COVID-19, 2020
34
World Health Organization, Disability and Health Report, 2020
35
ITU, Accessibility study group, 202036
Forbes, For Disabled People, Access To Assistive Tech Is A Human Right Not An Employment Perk, 202027

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

digitalization the obligation to contribute to Universal Service Funds (USF) or to contribute to thecosts of delivering the service.
The G20 should ensure that the cost of devices, internet services and other value chain components
do not limit its adoption, including but not limited to strategizing around taxation
The financial cost of internet access (to which multiple cost factors across the value chain contribute)are a major hurdle for the disadvantaged and unconnected populations around the G20. Factors suchas the cost of equipment and devices required to access digital services and run digital applications
are important to consider due to the additional cost of access. Computers, tablets, smartphones,
and the power supply required to run them are fundamental components of digital life and need
to be accessibly priced so that citizens can take advantage of the connectivity available to them.
The G20 must consider the cost for its citizens to tap into the digital economy holistically and not
simply focus on one or a few cost components.
The Broadband Commission’s State of Broadband Report37 notes ‘the cost of devices is critical in
overall total affordability of internet access as mobile internet has become the primary method ofaccessing connectivity. Largely, those who are not using internet are living within the coverage ofa mobile network.
Exhibit 8 | World Population Coverage by Technology

Source: Ericsson Mobility Report, November 2021

As with technology in general, newer devices are more expensive than older ones, and as morecountries expand 4G/LTE networks and pave the way for 5G while concurrently shutting down 2Gand 3G services, legacy low-cost devices will need to be replaced with higher cost smartphones.
Already, over 2 billion people live in countries where the most affordable smartphones cost morethan 25% of average monthly income38.
In many countries, the import duties and other specific taxes levied on devices and ICT equipment
make them less affordable. Hence, governments should bear this in mind when defining theirimport duties and tax policy to make communication services available to all. ICT consumers andconnectivity service providers are increasingly subject to a tax burden which reduces affordability
37
38

Broadband Commission for Sustainable Development, The State of Broadband: People-Centered Approaches for Universal Broadband, 2021
Broadband Commission for Sustainable Development, The State of Broadband: People-Centered Approaches for Universal Broadband, 2021

28

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

and lowers investment, widening the digital divide39, mainly driven by sector-specific taxes. As an
example, in the exhibit below, increase in tax generally correlates with negative effects on mobileinternet penetration.
Exhibit 9 | Correlation Between Consumer Taxes and Mobile Internet Penetration
How consumer taxes increase the cost of mobile ownership and restrict mobile internet penetration
Total cost of mobile ownership for 1 GB (as a proportion of income) and mobile internet penetration (2017)

Source: GSMA, Rethinking Mobile Taxation to Improve Connectivity

Some examples of best practice strategies that governments can consider doing, according to
GSMA’s report Rethinking Mobile Specific Taxation:•

Taxes should be as broad based as possible: The uptake and use of mobile services grows whenthese sector-specific taxes are reduced. Reductions in taxation have a favorable influence
on government revenues in the medium to long term by expanding the user and tax base.
Governments can express their support for the digital connectivity agenda and benefit from
economic development as a result of the savings by phasing out sector-specific taxes and levies.
This will have a limited negative impact on public finances in the medium term.

•

Tax systems should be simple and certain: Uncertainty about future taxation discourages investment
since future tax increases are factored into investment decisions. Furthermore, a plethora of sectorspecific levies charged on various tax bases raise compliance expenses for mobile operators andthe tax administration, which might be passed on to end customers as higher prices. Governments
should strive to keep tax and charge adjustments as predictable as possible, and to streamline
their tax and fee collections.

•

Taxes should not undermine affordability and access to services: Taxing access to the market isone of the most effective strategies to reduce mobile service adoption. For example, luxury taxes
on handsets and SIM cards, as well as import levies on phones, limit access to mobile services.
Removing these taxes could boost internet users and enhance the government’s taxable base.

39

GSMA, Rethinking Mobile Taxation to Improve Connectivity, 201929

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

In addition, relatively high fees levied on CSPs such as for spectrum and licenses generally leads
to lower quality and less availability of connectivity. With a positive causation between economic
growth and network investments, governments should consider carefully how to best strategize aroundsector specific fees, to not undermine affordability and access to services to close the digital divide.
Governments should (in specific use and need cases) explore demand subsidization for access tothe internet and devices, especially for lower-income or disadvantaged citizens, common-goodfacilities or MSMEs who are eligible. Ideally, eligibility can be identified through digital identity as
the basic infrastructure of the nation. Digital identity should be an integral part of e-government
design and access.
Strategies to increase access to financing also can be considered for those who are financiallydisadvantaged to purchase an internet device safely and ethically, such as alternative data for credit
assessment, remote locking of handsets, and more flexible payment terms40.
Beyond device costs, there is a need for countries to address affordability of digital services ‘in theround’ or end-to-end, including data costs, and content costs from over-the-top providers.
Bringing connectivity to everyone represents a big challenge that will need a multi-stakeholder
approach. This will require the collaboration and cooperation of the private and public sectors, aswell as operators, device suppliers, regulators, policymakers, vendors, standardization bodies, andopen-source communities. A variety of initiatives from the private and public sectors are required
to close the connectivity gap by acting on both the supply and demand sides.

40

GSMA, Making Internet Phones More Affordable in Low and Middle Income Countries, 202230

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCERECOMMENDATION 2
Build foundation for sustainable and resilient digital economy:
Accelerate development of digital infrastructure31

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEPOLICY ACTIONSPolicy Action 2.1 – Unlock digital opportunities across the economy at large that prioritize ESG, toenhance competitiveness and drive inclusive growth
Policy Action 2.2 – Encourage open, innovative and coordinated digitalization of governing institutions
to enhance public service delivery, through modern innovative business models and regulations
Policy Action 2.3 – Promote adoption of digital infrastructure (cloud, digital identification, digital
payment systems, digital signatures, amongst others) and facilitate the importance of data free flow
with trust and cross-border data flows on the premise of respecting the domestic legal frameworksof each country
LEADING MONITORING KPI				OWNER: G20 COUNTRIES% ICT Investments on GDP
Source: World Bank

Baseline
5.0%(2020)

Target6.5%(2024)SDG IMPACT

Recommendation 2 contributes to the achievement of UN’s SDG for the goals: 7: Affordable andClean Energy, 8: Decent Work and Economic Growth, 9: Industry Innovation and Infrastructure, 13:
Climate Action
Policy Action 2.1 – Commits to the realization of target 9.2 (Promote inclusive and sustainableindustrialization and, by 2030, significantly raise industry’s share of employment and gross domestic
product, in line with national circumstances, and double its share in least developed countries).
Moreover, the ability to derive value from data would take resource efficiency and production
flexibility to the next level, sustaining target 7.3 (By 2030, double the global rate of improvement inenergy efficiency) and target 13.3 (Improve education, awareness-raising and human and institutional
capacity on climate change mitigation, adaptation, impact reduction and early warning).
Policy Action 2.2 – Focuses on enhancing Public Administration’s digital skills to set the foundation
for a comprehensive digitization of public services, assisting the accomplishment of targets 8.3(Promote development-oriented policies that support productive activities, decent job creation,
entrepreneurship, creativity and innovation, and encourage the formalization and growth of micro-,small- and medium-sized enterprises, including through access to financial services), 9.1 (Develop32

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

quality, reliable, sustainable and resilient infrastructure, including regional and transborder infrastructure,
to support economic development and human well-being, with a focus on affordable and equitable
access for all) and 9.5 (Enhance scientific research, upgrade the technological capabilities of industrial
sectors in all countries, in particular developing countries, including, by 2030, encouraging innovationand substantially increasing the number of research and development workers per 1 million people andpublic and private research and development spending).
By promoting common regulatory principles and a fair competitive landscape, assists target 8.3 (Promote
development-oriented policies that support productive activities, decent job creation, entrepreneurship,
creativity and innovation, and encourage the formalization and growth of micro-, small- and mediumsized enterprises)
It ultimately enhances the global industrial network in line with target 9.2 (Promote inclusive andsustainable industrialization and, by 2030, significantly raise industry’s share of employment and grossdomestic product, in line with national circumstances, and double its share in least developed countries).
Policy Action 2.3 – Promoting cross border data flow with trust would promote SDG target 9.1(Develop quality, reliable, sustainable, and resilient infrastructure, including regional and transborderinfrastructure, to support economic development)
Strengthening long-term public involvement to stimulate R&D and ensuring a continuous and fruitfulcooperation with the private sector would benefit target 9.5 (Enhance scientific research, upgrade
the technological capabilities of industrial sectors in all countries).

G20 INDONESIA PRIORITY IMPACT

Recommendation 2 commits towards the achievement of all three of G20 Indonesia 2022 key priorities:
Global Health Architecture, Digital Transformation, and Sustainable Energy Transition by focusing on
building a sustainable and resilient economy based through acceleration of digital infrastructure.
Policy Action 2.1 discusses on unlocking digital opportunities across the economy at large thatprioritize ESG, to enhance competitiveness and drive inclusive growth. Therefore, this policy action
aims to directly contribute to all three G20 priorities which are, Global Health Architecture, Digital
Transformation and Sustainable Energy Transition at the same time.

33

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

By encouraging governing institutions to adopt digitalization to enhance public service delivery, Policy
Action 2.2 directly impacts the key objective of Digital Transformation. The increasingly connected
population means that governments need to consider digitizing its services, while also improving
national security through digitalization.
Lastly, Policy Action 2.3 which focuses on promoting adoption of digital infrastructure such as
cloud, digital ID, digital payment systems, and digital signatures, would impact all three priorities of
G20 Indonesia, which are Global Health Architecture, Digital Transformation and Sustainable Energy
Transition. This is because implementation of such digital infrastructure would benefit the economy
at large.

34

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCECONTEXT
Exhibit 10 | Estimates of the percentage of jobs at risk from automation% of jobs at risk of automation (range of predictions)

Note: The figure represent the highest and lowest estimates of the percentage of jobs at risk of automation in economies for which more than one estimate has		
been produced by different studies. A job is at risk if its probability of being automated is greater than 0.7

Source: World Bank

The digital economy refers to a broad range of economic activities that use digitized informationand knowledge as key factors of production41. The digitalization of the economy generates new job
opportunities, increases productivity, spurs economic growth, and increases efficiency in delivering
public services. The digital economy also permeates all aspects of society, influencing the way peopleinteract and bringing about broad sociological changes. However, digitalization also creates a major
pitfall for certain workers, especially low-skilled workers. Workers undertaking routine tasks thatare “codifiable” are the most vulnerable to replacement42. Estimates on the impact of technologicalprogress on job losses vary widely. The range is even wider for advanced economies. In Lithuania,
5% to 56% of jobs are at risk of being automated. In Japan, 6% to 55% of jobs are thought to be
at risk43. Today, the digital economy is equivalent to 15.5% of global GDP, growing two and a halftimes faster than global GDP over the past 15 years. COVID-19 is hastening the growth of the digital
economy. The unprecedented disruption by COVID-19 is accelerating the urgency for business agility,
adaptability, and transformation44. An estimated 70% of new value created in the economy over the
next decade will be based on digital infrastructure which enables digital-based business models.
The need for digital infrastructure is increasingly important to enhance digital economy transactions.
There are several critical digital infrastructures which serve as a fundamental foundation to a successful
digital economy, including the digital ID, authentication and digital signature, unified and interoperable
data, cloud, big data and artificial intelligence, content (hoax) management, IoT, Blockchain, Security,
Digital Payments, and Government API exchange. These infrastructures need to be applied much
more broadly to the various sectors of society which are suffering right now due to the pandemic.
We selected four critical infrastructures which are becoming increasingly important to the digital
economy: digital ID, big data and AI, IoT, and the cloud.

41
42
43
44

ADBI Institute, Understanding the Digital Economy: What is it and how can it transform asia?
World Bank, World Development Report: The Changing Nature of Work, 2019
World Bank, World Development Report: The changing nature of work, 2019
WEF, Shaping the future of digital economy and new value creation, 202035

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEFirst is the digital identification, or “digital ID”. Digital ID can be used as a verification tool throughdigital channels which grant access to banking, government benefits, education, and a variety ofother essential services. The hazards for digital ID misuse are significant, which requires carefulconsideration. Digital ID, when well-designed, provides not only civic and social empowerment,
but also substantial and inclusive economic gains. A standardized digital ID coverage could unlock
tremendous economic value to countries. It takes several high-value use cases and significant levelsof utilization to realize this value, and not all the economic value translates into quantifiable GDP.
However, with proper system design and regulations to encourage use and limit dangers, digital ID
will be a strong tool for inclusive growth, providing individuals with quantifiable economic value in
addition to huge noneconomic benefits.
The second example is the promise of big data and AI. Through machine learning techniques andadvanced analytics, big data and AI drive major advances in firms’ efficacy and efficiency, including
MSMEs, allowing them to better serve customers. The AI market, which has grown fourfold in thelast three years, expected to reach USD 2.3 trillion in 2020, is predicted to double in size by 2025,
reaching USD 4.5 trillion. During the pandemic recovery period, big data and AI can create significant
value in key sectors, such as healthcare (HC). The market size of HC AI is expected to be ten times
larger than it was in 2015, according to BCG analysis45. In creating and implementing national AI
strategies, countries should focus on citizen engagement and collaborative governance. Regular
discussions and consultations between government, private sector, academia, and the public will
support inclusivity and foster collaboration46.
The third example we want to highlight is the usage of IoT. Numerous improvements in technology
have fueled data proliferation in the last few years resulting in significant business impact47. By 2025,
IoT is expected to unlock the value of USD 15 trillion in global GDP. Machine-to-machine (M2M)
devices, a subset of the IoT, is likely to develop rapidly in the next years, accounting for over halfof all devices by 2023, according to projections. The market size is estimated at USD 570 billion by2023, with a 30% 2015-2020 annual growth rate48. Yet, the path to value is still unclear with 68% ofbusiness executives thinking business strategy and rational being a key success criterion, one third
thinking it will be hard to predict the business value of IoT initiatives, and more than half thinking
that changing business models is one of the top challenges in developing IoT offerings49.
The last example we feel is important to the digital economy is the cloud. Given its cost, capabilities,
and flexibility, the cloud is increasingly used by large companies hosting a wide range of applications
and platforms. By using the cloud to build and migrate business systems, large enterprises canrelease their IT team’s capacity from managing basic computing infrastructure, such as servers,
storage devices, switches, and databases. This allows them to focus on generating more value tothe business by leveraging the latest technology and tools50. While many large enterprises selectthe cloud to save money—and they do generally save 15% to 40% of IT operating costs—its primary
benefits are increased agility and better performance.
45
46
47
48
49
50

BCG, Artificial Intelligence in Healthcare, 2020
World Bank, Harnessing trustworthy artificial intelligence: A lesson from Korea, 2022
BCG, Internet of Things.
BCG IoT Market ModelBCG IoT Decision Maker survey
BCG, For Many Enterprise Applications, the Cloud Is Ready for Prime Time, 201936

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Used in conjunction with one another, these digital infrastructures can unlock significant value forcompanies and countries. One example of this was the Beijing Olympic Winter Games during the
COVID-19 pandemic. High-tech was a concept that was practiced in every aspect of the Beijing
Olympic Winter Games, from infrastructure construction, event organization, and venue operation
to viewer experience, COVID-19 containment, 5G, cloud computing, big data, satellite navigation,
and artificial intelligence.
In the effort to guide the G20 towards a tangible and impactful change, the B20 Digitalization Task
Force seeks to draw attention to three key priority actions:•

Unlock digital opportunities across the economy at large that prioritize ESG, to enhancecompetitiveness, and drive inclusive growth•

Encourage open, innovative, and coordinated digitalization of governing institutions to enhance
public service delivery, through modern innovative business models and regulations•

Promote adoption of digital infrastructure (digital identification, tools on consent and authorizationsuch as digital signatures, digital payment systems, the cloud, amongst others) and facilitate safeand orderly cross border data flow with trust based on applicable legal frameworks for privacy
and data protection and with the consent of consumers

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Policy Action 2.1: Unlock digital opportunities across the economy at large that prioritize ESG,to enhance competitiveness and drive inclusive growth

Countries must focus on adopting digital technologies across their firms and sectors, as well as
be open to the trade in services, data regulation, data sharing, investing in skills, reskilling, andensuring the availability of complementary enabling services, to be better positioned to benefit fromthe digital wave. This will effectively upgrade countries technological capabilities, allowing them toseize the opportunity to catch-up. Successful technology and digital upgrading, on the other hand,is not a passive, self-contained process, but rather an active, coordinated multi-stakeholder effort.
The G20 should support policies and initiatives to enhance digital service offerings to provide
a cross-sectoral boost to the overall economy, allowing businesses to leverage the value ofincreasing digital engagement
Businesses must harness digital channels to market and provide their products and services as the
economy shifts to a digital economy. By extending their market reach beyond physical locations,providing access to new clients and market segments, and providing new channels for existing
offerings, digital capabilities enable organizations to achieve new revenue growth through inventive
new offers.
The COVID-19 epidemic showed that firms with an online presence can not only survive, but evenprosper in the most difficult operating climates. This period of crisis has highlighted the importanceof digital skills to overall business resilience, as well as the value of flexibility inherent in a digitally
agile organization. Businesses that use digital channels get the rewards of a virtuous cycle of clienttransactions and personalization.
Hence, the G20 needs to promote policies to adopt innovations to enhance digital service offerings
and implementation of digital platforms. By digitizing more aspects of a business, digital service
offerings and support platforms will rise in value, unlocking more use-cases such as 1) Commerce:
Digital commerce adoption to increase revenue for MSMEs 2) Education: Consistency in learning
through e-learning platforms 3) Telehealth programs offering to extend healthcare reach and access38

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4) Financial Services: Mobile e-wallet adoption accelerating financial inclusion 5) Transport andTourism: Supporting the tourism industry in migrating to digital platforms.
In addition, promoting fair competition and ensuring international regulatory coherence are essential
for creating the optimal climate for digital firms at various stages of the value chain to develop. To
create competitive marketplaces and promote innovation, regulatory discrepancies between existingand emerging digital actors must be eliminated, and obsolete regulations must be changed as needed.
Inclusivity is also a key aspect to promote fair competition; we must ensure that markets are open
for all groups e.g., incumbent players vs startups, public vs private, urban vs rural. We shouldn’t
create any obstacles to any of the groups (by gender, ethnic backgrounds, etc.) to enter the market.
Markets should remain contestable; hence, competition policies need to be strengthened and updated
to the evolving digital era, to ensure that capable entrepreneurs, startups, and potential disrupters
can enter the market, scale, and compete with digital incumbents.
One other way to accomplish fair competition and ensure international regulatory compliance, is for
the G20 to consider collaborating with international working groups and fora to create ideas andtechniques for action across countries and industries.
Digitalization is a critical component of ESG strategies. Technology, data, AI, and cloud computing
are accelerants to address the climate crisis, manage social inequality by providing opportunity,
and access to everyone. The massive amount of data we need to understand our planet can only
be analyzed with modern digital technologies and advanced computing power. Sustainability anddigitalization are inextricably linked, with technology being essential for addressing challenges facing
the planet and society. Leading companies develop innovative distribution channels that break down
economic barriers, allowing them to extend reach, scale, and access for a positive societal impact at
a low cost51. One example is apps that digitize and make vital goods and services more accessible.
Another example would be Google Maps that leverages digitalization to show eco-friendly routes
in the US52.
The G20 should promote policies to help businesses digitize business operations to deliver
substantial benefits in productivity, operational efficiency, and cost management
In a fast-moving business environment, digitalization of operations will be a crucial pathway towards
cost-efficiency and sustainability in enabling business to scale rapidly, due to its significant productivity
benefit potential and overall boost in operational efficiency. Governments can deploy a range of levers
across the value chain to help businesses accelerate digitization, including smart finance (such as
R&D grants, start-up grants), talent schemes (such as research partnerships, foreign entrepreneur
visa, local digital skills and vocational schemes, partnerships between companies and colleges
for internships and/or full-time-jobs), smart policies (such as IP protection laws, data access andsharing), and infrastructure (such as university research centers, incubators, tech and sector clusters).

51
52

BCG, How Tech Offers a Faster Path to Sustainability, 2021
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Several examples of what governments have done to help businesses go digital include53:•

Denmark strives for more agile regulation by: i) developing principles for agile trade and industry
regulation, ii) establishing a single point of entry for new business models, iii) conducting a
digital check to see if existing commercial regulation is up to date in comparison to neighboring
countries, and iv) expanding testing opportunities in fields with high potential for digital growth.
Denmark is also proposing tax deductions for wage and salary costs linked with starting andgrowing a firm, for example, by making the administration of digital business development simpler.

•

Australia improves the regulatory market environment by continuing to work on ‘digital ready’laws and by encouraging Australia’s states and territories to adopt, or recognize as equivalent,each other’s regulations and standards to reduce business costs.

•

Switzerland lowers legal barriers to new business models by first conducting a “digital test” toidentify areas where existing legislation is unnecessary or redundant, and then examining measures
to lower legal barriers, such as formal requirements arising from both public and private law,with the goal of lowering barriers to digital business models and improving the digital economy’s
framework conditions. Switzerland is also working to centralize the communications between
public agencies and enterprises to lower the administrative load on firms even more.

•

China’s government’s clear policy direction throughout the previous two decades has identified
which industries will be priorities for national development. Various five-year plans provide an
overarching industrial direction for areas in which the government is investing in order to stimulatebroad industries such as fintech, smart logistics, and export promotion. The government establishes
this direction by making necessary public resources available to all private sector stakeholders54

In addition, we also note that digitizing business operations can address ESG goals. One use caseexample mentioned by the World Economic Forum would be Olam International. Olam International,
a global agribusiness company with nearly USD 27 billion in annual revenue, launched AtSource, agroundbreaking digital sustainability platform, three years ago, to help the agriculture industry meet
its ambitious goals of lowering greenhouse gas emissions, reducing waste, and improving farmer
livelihoods. Customers can track their products’ origins using AtSource, which also assesses the
supply chains’ environmental and social impact and provides recommendations for how to improvethem. Customers can track more than 20 ingredients from farm to factory across more than 60
supply chains, and in many cases, they can trace crops back to specific farmer groups, assessing
the environmental footprint of a single crop by volume, origin, and destination55.
The G20 should promote adoption of accepted global standards and maximize existing initiatives
to encourage non-discriminatory and interoperability, while fostering a business environment thatfacilitates investment and competition on an equal footing
The G20 should encourage the adoption of global standards (e.g., ISO certifications), to encourage
53
54
55

OECD, Firms Going Digital, 2021
World Bank, What can Indonesia learn from China’s digital economic transformation?, 2022
World Economic Forum, 3 ways digital technology can be a sustainability game-changer, 2022

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non-discriminatory and interoperability in the digital economy. These international standards should be
used as a basis for technical regulations. Countries may carve out exceptions where such standards
are not aligned with the legitimate objectives (e.g., fundamental geographical factors). Countries may
refer to the WTO Technical Barriers to Trade (TBT) Agreement as a basis for this recommendation.
One example would be ICC standards map for corporates and MSMEs, that sets out the interoperable
digital standards across the whole trade ecosystem, which allows end users to enjoy more efficient
digital trade.
The G20 can also promote existing global initiatives such as the electronic World Trade Platform(eWTP), a multi-stakeholder project driven by the business sector to encourage public-private
collaboration. The eWTP initiative is in the final B20 Policy Report and has been expressly recognizedby the G20 Trade Ministers in the Strategy for Global Trade Growth.

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Policy Action 2.2: Encourage open, innovative and coordinated digitalization of governing
institutions to enhance public service delivery, through modern innovative business models
and regulations

The G20 should consider digitizing government services, as it will be crucial to meeting the needsof an increasingly connected population, while also maintaining national security
Digital adoption has become common, raising society’s expectations for digital government services
and its speed. Citizens are increasingly accessing digital government services at least once per weekwith increased citizen satisfaction, especially in Bangladesh, India, and Saudi Arabia, in developed
and developing countries56.
Exhibit 11 | Percent of respondents that access digital government services at least once perweek

Q. How often do you access government services online? Response option: more than once a day, once a day, 2 - 6 times a week, once a week, 1 - 3 times per month, less than once permonth, once every three months, customers who selected once a week or more frequent have been included in these charts

Source: BCG, Digital Government Citizen Survey, 2020

56

BCG 2020 Digital Government Citizen Survey

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Exhibit 12 | Comparison of satisfaction with digital government service in 2020 to previous
survey in 2018

Q. How satisfied are you with the use of the internet in delivering each kind of government service? Net satisfaction reflects total satisfied less total dissatisfied

Source: BCG, 2020 Digital Government Citizen Survey

COVID-19 has accelerated the need for a digital transformation, with 80% of public sector agencies
surveyed by BCG feeling the need being more urgent57. Getting the digital agenda right presents
a great opportunity to build trust and confidence among citizens in government agencies. Great
customer experience increases trust in the public sector, as the 2020 BCG Digital Government Citizen
Survey shows58. As a result, the G20 should change service delivery to match increasing expectations
for digital service, speed, and depth. Digital technology facilitates a more responsive and effective
government59. Digital transformation can unlock significant value for governments through supporting
policy and enabling new services and business models, improving citizen experiences and trust
through better service delivery, and improving quality and reducing cost through more efficient
operations. Digital governments can also give citizens a voice and opportunity to collaborate indealings with government, federal agencies, and stakeholders across the board. Digital government
initiatives could focus more on multifunctional citizen participation platforms to deepen the citizengovernment relationship through effective CivicTech solutions, improve accountability, and build
public trust in government60.
In addition to ongoing digital transformation initiatives within ministries and agencies, whole-ofgovernment (WOG) initiatives to standardize common applications will enable the government tosave money, collaborate, and share data more effectively to better serve citizens and businesses.
Governments can digitize multiple functions such as licensing and permitting, customs, tax, andprocurement, as well as many more. There is a range of example initiatives which could be introduced
to enhance government-to-citizen/business services such as developing one-stop citizen/businessportals to enhance ease of accessing government services through digital means. This will allow thestreamlining of business investment by digitalizing licensing and permitting processes, enhancing digital
57
58
59
60

BCG, Public Sector Data & Digital Platform Playbook, 2020
BCG, Digital Government Citizen Survey, 2020
BCG, Public sector data & digital platform playbook
World Bank, GovTech Maturity Index, 2021

43

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEtax filing and payment capabilities to simplify processes, expand e-procurement to e-marketplace toenable MSME participation, implementing Cloud Service Providers (CSP), amongst others. We also
call upon the G20 members to ensure national interoperability of data across government entities.
We also note that commitment at high levels of government and the allocation of necessary resources
are crucial for the sustainability of GovTech initiatives61. Governments need to consider the broadarray of public services, efficiency, and risks of exclusion when digitizing their services, making surethat “nobody is left behind”.
To achieve this ambitious goal on digitizing government services, governments can explore publicprivate partnerships to provide the best possible services for citizens.
The G20 should promote activities to digitize legislative and judicial processes, with the objectiveof boosting the efficiency of the legal process, while providing a more transparent, open systemfor citizens
The G20 should be dedicated to open transparent stakeholder participation in law development.
Digital technologies provide a scalable platform for the government to consult stakeholders safely
and quickly, promoting public conversation and participation in the process. Digitalizing legislative
processes not only enables increased citizen engagement, but also promotes public awareness ofthe national regulatory process and allows stakeholders such as Members of Parliament (MPs) easieraccess. It is necessary to implement digital technologies to better manage and simplify the demands
placed on the court system.
Examples of initiatives to digitalize legislative and judiciary processes include e-Rulemaking
implementation to enable public consultation on legislation, development of digital engagement
programs to boost communication with the legislative body of government, implementation of
integrated e-litigation systems to increase transparency and efficiency and establish virtual courtrooms
and hearings.

61

World Bank, GovTech Maturity Index, 2021

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Policy Action 2.3: Promote adoption of digital infrastructure (cloud, digital identification, digital
payment systems, digital signatures, amongst others) and facilitate the importance of data freeflow with trust and cross-border data flows on the premise of respecting the domestic legal
frameworks of each country

We urge the G20 to harmonize regulations, explore mechanisms to increase interoperability andincrease collaboration between public and private sectors in creating fundamental building blocks
for digital infrastructure. Additionally, the G20 should promote responsible, sustainable, peopleoriented, safe, and orderly development, and facilitate trust in cross-border data flows. The G20 should
encourage cross-stakeholder’s dialogue including academia, communities, and private sectors such as
banks and fintech to discuss the most effective approach in the application of digital infrastructure.
Government should provide wider opportunities for various parties to participate in this project if
it’s aligned with the needs in a transparent and accountable manner.
The explanation of proposed call-to-action to the G20 is below.
The G20 should support the design of policies aimed at promoting digital identities as a building
block for data privacy and digital trust
The G20 should support the design of policies aimed at promoting digital identities as a building
block for data privacy and digital trust, ensuring the right incentives to enhance their interoperability
across borders and sectors, public and private environments.
Digital identities encompass a broad category of electronically acquired and stored data that includes
everything from legal digital identities and credentials to alternative data like social media habits,
digital payment patterns, and mobile usage statistics. Governments, financial institutions, digitalplatforms, and international organizations can use digital identities to promote inclusiveness in thedigital economy while simultaneously preserving data privacy. These data should be viewed with acustomer-centric perspective and consider a cross-sectoral approach to ensure that all relevant
data from the customer can be leveraged for their own benefit, with the customer’s consent.

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While facilitating communications between public administrations and citizens for common activities
like tax monitoring and payment, access to personal medical information, and general interactions
with public administrations, digital identities can also be a crucial tool for sustaining e-government
development on sensitive features like digital voting. Digital identities have also recently provento be highly impactful when it comes to ensuring safe travel during the COVID-19 crisis throughinteroperable COVID-19 Vaccination Certificates. It is the use of digital ID COVID-19 certificatesthat has allowed individuals to freely move without major restrictions upon evidence of vaccination
and/ or a negative COVID-19 test62.
Digitalization and mutual recognition of procedures and documents should make compliance withregulations and market access cheaper and simpler. As a result, we urge the G20 to study ways
to expand the implementation of this solution while keeping in mind the requirements for suchmechanisms to be implemented in a worldwide, harmonized, and mutually acknowledged framework.
The G20 should promote awareness, and increase collaboration between public and private
sector to enhance interoperability of tools promoting Consent and Authorization such as digital
signature and strong authentication platforms to promote trust in the digital ecosystem
The second area are tools for consent and authorization, such as digital signatures. Digital andelectronic signatures are critical for enabling digitization and moving away from paper-based
processes. Many G20 economies have eSignature laws in place, but they are often not fully effective,
either because they are limited in scope, not recognized by relevant institutions and/or also requirephysical documentation/in person attendance. Amending legal and regulatory frameworks to makethese laws effective could unlock significant economic value.
Given the fundamental need for secure and accurate online identification and authentication, trust
services—such as e-signatures—form part of the core foundation or a “stack” needed for successful
digital economies which provide the means to move towards creating productivity gains, reducing
corruption and fraud, and further improving user convenience.
Hence, to promote trust in the digital ecosystem, the G20 should promote harmonization of standards
as practicable, raise awareness through communication campaigns on available trust services, andincrease collaboration between the public and private sectors to improve interoperability of tools that
promote consent and authorization, such as digital signatures and strong authentication platforms.
The G20 should adopt action plans to realize the benefits of inclusive digital payments systems
through several actions such as digitizing government payments and actively engage in theregulatory agenda
Integrating digital payments into emerging and developing economies solves important challenges
such as broad economic growth and individual financial empowerment63. In emerging economies,
digital payments provide immediate benefits to both senders and receivers, as well as the ability to
expand citizen access to affordable financial tools. Women’s financial independence is also enhanced
62
63

Zetes, Movisana
World Bank ID4D, Practitioner’s Guide, 201946

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by digital payments, which free them from the constraints of a cash-only economy and connect themto the financial mainstream. The use of digital payments instead of cash for remittances benefits
poor individuals in emerging nations and adds to financial development. This could also help easeworries regarding remittance transparency and traceability.
Hence, we call upon the G20 to adopt action plans to realize the benefits of digital payments,
through several call to actions64. Firstly, to digitize government payments and receipts, including
social transfers. This creates a foundation upon which the private sector can build, including for
person-to-person payments, such as international and domestic remittances.
Second, to engage actively on the regulatory agenda, governments need to encourage regulators toenable digital financial services by fostering competition, ensuring consumer education, and fosteringbusiness model innovation.
Third, to encourage public and private sectors to continuously improve basic technical payment
platform infrastructure, by which providers can compete on product development. Public and private
sectors can converge around a payment platform to enable innovation and competition in financial
services.
Fourth, to create an enabling environment that fosters private-sector innovation. Governments
need to offer a clear vision and tangible incentives to ensure that the private sector is an effective,competitive, transparent, and efficient partner.
Fifth, to recognize the role of remittance providers in offering a digital entry point to formal financial
services for senders and receivers. Instead of remittances being cashed out, remittances sent to abank account, e-wallet, or smart card, for example, can go into accounts that support safe saving
and increase transparency and traceability.
The G20 should promote usage of the cloud within public and private entities
Most people associate the cloud with data storage and processing – but today, the cloud is thefoundation for most of the advanced technology that will shape our future, including artificial
intelligence, IoT, and quantum computing. As countries continue to recover from the COVID-19
pandemic, cloud technology has benefitted many communities because of its high degree of
efficiency, agility, and ability to enable businesses and technology to operate seamlessly acrossborders. It has also brought about benefits for inclusivity by democratizing access to technology.
Cloud infrastructure has served as the backbone for several technologies and innovations globally,
and it has given businesses of all sizes – including startups and small and medium enterprises –access to tools that were once only available to much larger enterprises. Hence, we urge the G20
to promote cloud adoption in both the private and public sector. One way of doing this could be
introducing policies such as the cloud First Policy.
One critical theme in cloud infrastructure that governments need to consider relates to the public vsprivate models. Public cloud services are open to multiple customers, while private clouds are not
64

World Bank, Digital Payments Vital to Economic Growth, 201447

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shared. Consequently, private clouds are more expensive in terms of both capital and operational
expenditure. These high costs have contributed to a growing trend of hybrid cloud solutions, whichenable customers to integrate with — and benefit from — features of both models. While hybrid
models and multi-cloud approaches have much to offer, governments in developing countries should
evaluate these factors within their own national contexts to determine which approach best suits
their needs65.
The G20 should promote policies and increase collaboration to build R&D capabilities and ensurethat R&D efforts effectively translate into tangible impacts as part of efforts to develop advanced
capabilities in digital infrastructure, such as the application of blockchain
The G20 members should be encouraged to develop R&D national agendas aimed at improving
innovation and advanced capabilities in digital infrastructure which are digital ID, authentication, anddigital signature, unified and interoperable data, cloud, big data and artificial intelligence, content(hoax) management, IoT, blockchain, security, digital payments, and government API exchange. Hence,
agendas should present clear policies on how to promote and support private R&D investments(e.g., procurement programs, grants, R&D tax credits), and rigorous accountability in governancemechanisms.
The G20 should aspire to increase countries’ R&D intensity by providing appropriate incentives
to the private sector, which possesses the technical knowledge and agility to respond to rapid
technological advances.
G20 members should be encouraged to create platforms, contests, and events to stimulate publicprivate cooperation and use public-owned competence centers to promote a business-driven
approach to R&D. Governments must also address how innovation occurs in the modern economy,
creating incentives to make intangible assets and services such as data sets, data analytics, andcloud computing technologies more accessible, based on common values and rules and refrain fromdata localization requirements. Investments in secure data processing environments and storage is a
key prerequisite to establish trustworthy transactions of data between public and private entities.
Furthermore, the level of data literacy and highly skilled professionals in both public and private
sectors must be a joint priority for governments.
The G20 should also consider promoting competence centers (or “center of excellence” hubs) for
digital platforms and enablers such as artificial intelligence to coordinate efforts for sustainable
development, focusing on MSMEs.
It is critical to create the proper development environment for start-ups and to incorporate them assignificant actors in national R&D agendas to further stimulate innovation. Indeed, start-ups cover
20% of employment across OECD countries66, and represent a strong catalyst for innovation and new
products or services development. The G20 must also ensure that R&D efforts effectively translate
into tangible impacts as part of efforts to develop advanced capabilities in digital infrastructure.
As one example, research finds that the use of distributed ledger technologies (DLTs), such as
65
66

World Bank, Connecting Developing Countries to the Cloud, 2021
DynEmp: Measuring Job Creation by Start-ups and young firms, 2020

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blockchain, in global value chains has the potential to offer greater transparency and accountability for
consumers, according to the G20 Italy Presidency’s Blockchain in Global Value Chains: G20 Collectionof Practices and Examples. However, companies, particularly SMEs, face barriers in adopting DLTbased solutions. Current research has emphasized the benefits and challenges that DLTs present,
particularly in developing nations, and can help throw light on experiences and practices among
G20 governments, enterprises, and other stakeholders67.
The G20 should support more infrastructure investments and public-private partnership on digital
initiatives to detect fraud
According to the United Nations every year an estimated USD 1 trillion is paid in bribes and USD
2.6 trillion stolen through corruption. Together, this sum represents 5% of annual global GDP. The
inverse link between corruption and successful development outcomes has been well established:corruption deters investment and impedes economic growth, exacerbates income inequality, increases
the cost of government services, lowers trust in government, and increases political instability.
Effectively responding to such conditions requires the services of highly qualified, diligent, and ethicaldevelopment professionals, ideally trained in anti-fraud measures, and equipped with digital tools
to detect and prevent it. Also required are the development of effective emergency procurement
procedures, more intensive background checks on suppliers and more intensive, independent
inspections of received goods and services.
However, we understand that poor infrastructure, such as the lack of computing power to process
related data and applications involved in detecting fraud, remains to be one of the key barriers to
successful implementation of digital anti-fraud strategies. Hence, we urge the G20 to invest moreon infrastructure enabling these strategies.
In addition, we encourage the G20 to enable public-private partnerships to accelerate successful
implementation of digital anti-fraud strategies. One example of public-private partnerships will be
India’s Cyber Surakshit Barat program, where leading technology firms (e.g. Microsoft and Amazon
Web Services) partner with India’s Ministry of Electronics & Information Technology to train public
sector staff on cybersecurity, including fraud prevention.
The G20 should enable safe and orderly cross-border data flows with trust based on applicableglobal, regional, and domestic legal frameworks for privacy and data protection
Data access and sharing is estimated to generate social and economic benefits worth between 0.1%
and 1.5% of GDP in the case of public sector related data, and between 1% and 2.5% of GDP when
accounting for private sector data68. According to OECD, data access and sharing can generate awide range of benefits outside of economic benefits, such as enhancing social welfare and wellbeing, improving evidence-based policy making, public service design and delivery, increasingtransparency, accountability, and trust across society, and empowering users of digital goods and67
68

Declaration of G20 Digital Ministers. Leveraging Digitalization for a Resilient, Strong, Sustainable and Inclusive Recovery, 2021
OECD, Enhancing Access to and Sharing of Data: Reconciling Risks and Benefits for Data Re-use across Societies, 201949

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services, including enterprises, workers, citizens, and consumers69.
Despite an increased need for data and evidence of its economic and social advantages, data accessand sharing have yet to reach their full potential, hence the need to promote cross border dataflows with trust. Accordingly, the G20 should promote and encourage principles such as Data Free
Flow with Trust, which was launched by the G20’s heads of government under Japan’s leadership in
201970. As discussed in G20 Saudi Arabia, cross border data flows with trust should follow lawfulness,transparency, fairness, and reciprocity as its key principles. Cross border data flows with trust needto also be in compliance with each nation’s data protection rules. In addition, efforts should bemade to harmonize global, regional, and domestic legal frameworks. Trust in data transactions issustained by a robust, legal, and regulatory framework encompassing both safeguards, which preventthe misuse of data, and enablers, which facilitate access to and reuse of data71.
The term safeguards refers to the trust environment around the collection and use of data. It includes
supporting individuals’ agency—that is, their ability to exercise control—over how their personal data
are used, with respect to rights to know and transparency, access to data, correction, deletion, andportability. Safeguards also address how data is stored and accessed, as well as the responsibilitiesof those who collect, process, or use data to take steps to maintain data integrity and preserve data
rights, such as intellectual property rights and other restrictions on the use of nonpersonal data.
Personal data, nonpersonal data, and mixed data are the main categories under which safeguards
are evaluated. The sensitivity of these sorts of data varies significantly, resulting in a variety of legal
methods. Implementation of safeguards must differentiate between personal data, data requiring arights-based approach with individual protection, and nonpersonal data, allowing a balancing ofinterests in data reuse72.
The G20 can also introduce enablers for data-sharing. Some recommendations for strengthening
enablers include73:•

Construct a solid but adaptable framework for electronic transactions. With a few exceptions,digital transactions should be seen as legal equivalents to analog transactions. To guarantee afair playing field for a wide range of techniques to authenticate transactions and related trust
services, robust authentication should be technology agnostic.

•

Adopt open standards and licensing that encourage sharing. Open access to data developedby the public sector for public purposes should be strengthened by policymakers, including theimplementation of open standards and sharing-friendly licensing.

•

Strengthen the provisions governing access to information. Legislation governing access to
information should be amended to include the proactive and transparent disclosure of non-sensitive
data. Exceptions to the rule of transparency will be required, and they should be reasonable.
Regular public publication of ATI requests received and rejected, as well as reasoning for any

69
70
71
72
73

OECD, Enhancing Access to and Sharing of Data: Reconciling Risks and Benefits for Data Re-use across Societies, 2019
Final G20 Osaka Leadership Declaration
World Bank, Data for Better Lives, 2021
World Bank, Data for Better Lives, 2021
World Bank, Data for Better Lives, 2021

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refusal, should be a requirement of ATI laws, ideally on an open platform.
•

Encourage data and system interoperability. Improving data use and sharing will necessitate
the creation and implementation of uniform technical standards to promote data and systeminteroperability. Adoption of common technical protocols and a government interoperability
platform are required for system interoperability. Data can be made interoperable by ensuringthat it is categorized, processed, and released in a machine-readable format according to theagreed standards. Despite these benefits, the data exchange and links between systems posesrisks to privacy and data security. To mitigate these risks, some systems limit data sharing to theabsolute minimum necessary or prohibit the propagation of a common unique identifier in orderto reduce the ability to link information across databases. At a minimum, strong legal, regulatory,
and governance structures—along with data subject to consent and security and access controls
to prevent data theft and regulate authorized use—must be in place to ensure that data transfers
or other interoperability measures do not infringe on individual rights with regard to privacy anddo not unduly put personal data at risk of theft or misuse74.

•

Encourage data portability. Data should be in a structured, generally used, and machinereadable format to reinforce the right to data mobility. Where proportional and technically viable,interoperable data and systems can assist in achieving continuous data portability. Personal
information management systems can let users obtain and manage their data as an alternative
or supplement to direct portability, although their use is currently limited. Adequate market
competition, which allows users to transfer providers, is required for the implementation of data
portability rights. In order for data portability to be useful, it must also address data subjects’lack of understanding of their rights, as well as the implementation issues faced by micro, small,and medium businesses. In addition, careful and polite discussions should be held from a wide
range of perspectives such as consumer needs, corporate merits, and practical burdens, industrial
policies, and evaluations (i.e. in Europe where the system has already been introduced). It’svital to remember that data portability should not be applied universally across all businesses;
instead, it should be considered primarily in fields like healthcare, where demand is high andpublic acceptance is relatively easier to obtain.

•

Encourage the sharing of personal intent data. Governments can encourage private sector data
sharing by developing data sharing agreements and strengthening intellectual property rights.
These techniques, taken together, can assist in diminishing the incentives for data hoarding while
also maximizing data reusability. Governments should increasingly consider legislating private
sector data sharing, subject to appropriate conditions and protections, as discussed in the WorldBank’s Data for Better Lives report.

•

Encourage the ability to transfer data, including through the development of shared principles
for trusted government access to data as is being developed by the OECD.

We also note that creation of a trust environment remains a work in progress worldwide, especiallyin low-income countries. There is no one-size fits all legal and regulatory framework. Hence, we
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World Bank, Interoperability, Identification for Development, 201951

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

also urge the G20 to ensure that the design of suitable safeguards and enablers may have to becarefully adapted to local priorities and capacities75.
In addition, the G20 can also explore how to provide platforms for best-practice sharing across G20
countries and other partner countries on data protection and data privacy standards and implementation.
The establishment of a well-functioning data governance framework within each nation should be
encouraged. A well-functioning data governance framework ensures that infrastructure, laws, economic
policies, and institutions work together to support the use of data in a way that aligns with eachsociety’s values. Such a framework should also clearly differentiate between personal data (data that
identifies the individual) and nonpersonal data (data that does not contain any personally identifiable
information). The protection of personal data is grounded in international human rights law, which
requires that the interests of the data subject be adequately safeguarded before enabling any kindof data transaction. This protection is usually achieved by compelling the subjects of data to provide
some form of explicit consent for use of the data76.
For users to truly benefit from the opportunities their data could offer, a broader framework needs
to be developed beyond the siloed approach of specific sectors. This concept is also supportedby the European DATA Act, intended to ensure fairness in the allocation of value from data amongactors in the digital economy and to foster data-sharing across sectors77.

75
76
77

World Bank, Data for Better Lives, 2021
World Bank, Data for Better Lives, 2021
World Economic Forum, What impact will the EU Data Act have on the digital economy?, 2022

52

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCERECOMMENDATION 3
Ensure digital ready mindset for individuals and Micro, Small,and Medium Enterprises (MSMEs), and enabling MSMEs throughaccess to digital platforms:
Fostering tech-enabled workforce and companies

53

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEPOLICY ACTIONSPolicy Action 3.1 – Define specific desired practical outcomes in mindset by level of education(Primary, secondary, tertiary) for individuals, while promoting use of digital equipment and solutions
to enhance learning experience
Policy Action 3.2 – Improve individuals’ technical digital skills through continuous education, involving
multistakeholder cooperation, to increase their propension to use digital products and services andability to navigate the cyberspace safely and mindfully, especially for MSMEs, however applicable
across all companies at large
Policy Action 3.3 – Accelerate responsible innovation and digital adoption, especially in MSMEs,
however applicable across all companies at large, by promoting policies to provide access to digitalplatforms that can help build competitive markets
Policy Action 3.4 – Increase efforts to provide sustainable and fair financing to MSMEs to adopt
digital technologies
LEADING MONITORING KPI				OWNER: G20 COUNTRIES% STEM Graduates over Total Graduates
Source: OECD, EUROSTAT

Baseline
26%(2019)

Target30%(2024)% of small-medium companies using website
for business related activities
Source: World Bank Enterprise Survey

Baseline
64%(2019)

Target74%(2024)SDG IMPACT

Recommendation 3 contributes to the achievement of UN’s SDG for the goals: 4: Quality Education,
8: Decent Work and Economic Growth, 9: Industry Innovation and Infrastructure, 10: Reduced
Inequalities
Policy Action 3.1 – Calls for the reform of education curricula with the aim of including the digitalskills required to address the needs of the forthcoming digital workforce, contributing to target 4.4(By 2030, substantially increase the number of youth and adults who have relevant skills, including
technical and vocational skills, for employment, decent jobs and entrepreneurship).
Finally, Policy Action 3.1 calls for the urgency of ensuring equal access to digital and technology
trainings to all, covering target 10.2 (By 2030, empower and promote the social, economic and political54

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

inclusion of all, irrespective of age, sex, disability, race, ethnicity, origin, religion or economic or other status).
Policy Action 3.2 – Aims at reducing the current digital skill gap by training and educating workers
and individuals. Both processes will support the improvement of labor conditions across sectors,
contributing to the achievement of target 8.3 (Promote development-oriented policies that support
productive activities, decent job creation, entrepreneurship, creativity and innovation, and encourage
the formalization and growth of micro-, small- and medium-sized enterprises, including through accessto financial services).
Moreover, ensuring the creation of a competent digital workforce in the future support the achievementof targets 8.1 (Sustain per capita economic growth in accordance with national circumstances and,in particular, at least 7 per cent gross domestic product growth per annum in the least developed
countries), 8.2 (Achieve higher levels of economic productivity through diversification, technologicalupgrading and innovation, including through a focus on high-value added and labor-intensive sectors),
9.1 (Develop quality, reliable, sustainable and resilient infrastructure, including regional and transborderinfrastructure, to support economic development and human well-being, with a focus on affordable andequitable access for all), and 9.5 (Enhance scientific research, upgrade the technological capabilities
of industrial sectors in all countries, in particular developing countries, including, by 2030, encouraging
innovation and substantially increasing the number of research and development workers per 1 million
people and public and private research and development spending).
PA 3.2 would also act on targets 9.1 (Develop quality, reliable, sustainable and resilient infrastructure,including regional and transborder infrastructure, to support economic development and human wellbeing, with a focus on affordable and equitable access for all) and 9.4 (By 2030, upgrade infrastructure
and retrofit industries to make them sustainable, with increased resource-use efficiency and greater
adoption of clean and environmentally sound technologies and industrial processes, with all countries
taking action in accordance with their respective capabilities).
Nurturing use cases sharing within relevant industries would support new technology development,
knowledge acquisition and best practices accessibility, even for MSMEs, thus, supporting amore inclusive innovation and ultimately benefitting target 9.2 (Promote inclusive and sustainableindustrialization and, by 2030, significantly raise industry’s share of employment and gross domestic
product, in line with national circumstances, and double its share in least developed countries).
Policy Action 3.3 – Policies that provide access to digital platforms impact target 9c (Significantly
increase access to information and communications technology and strive to provide universal andaffordable access to the internet in least developed countries by 2020).
Furthermore, the result of equal access would also directly impact target 9.2 (Promote inclusive andsustainable industrialization and, by 2030, significantly raise industry’s share of employment and grossdomestic product, in line with national circumstances, and double its share in least developed countries).
Policy Action 3.4 – Focusing on finance access to MSMEs would directly impact SDG target 9.3(Increase the access of small-scale industrial and other enterprises, in particular in developing countries,
to financial services, including affordable credit, and their integration into value chains and markets).

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

G20 INDONESIA PRIORITY IMPACT

Recommendation 3 commits towards the achievement of all G20 priorities, which are Global HealthArchitecture, Digital Transformation and Sustainable Energy Transition.
Policy Action 3.1 focuses on define specific desired practical outcomes in mindset by level of
education (Primary, secondary, tertiary) for individuals, while promoting use of digital equipment
and solutions to enhance learning experience. Hence, this directly contributes to the key priorityof Digital Transformation. The education defined here includes education at the university level,
hence, this also includes the healthcare industry, which directly contributes to the Global HealthArchitecture key priority.
Policy Action 3.2 focuses on improving individuals’ technical digital skills through continuous
education, across all industries. Hence, this policy action directly impacts the achievement of all
G20 priorities, which are Global Health Architecture, Digital Transformation and Sustainable Energy
Transition.
Furthermore, Policy Action 3.3 and 3.4, focus on enabling MSMEs by promoting enabling policies forinnovation and technology adoption as well as providing fair financing. These policy actions further
support the key prioritiy of Digital Transformation for MSMEs. These policy actions will indirectly
contribute to the Sustainable Energy Transition priority as well.

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCECONTEXT

From simple internet browsing and emailing to specialized programming and development, digitalskills are defined as a range of abilities to use digital devices, communication applications, andnetworks to access and manage information78. They enable people to create and share digital content,
communicate, and collaborate, to solve problems for effective and creative self-fulfillment in life,
learning, work, and social activities at large.
Entry-level digital skills can include computer literacy, data entry, social media, web-based
communications and research, word processing, email and chat, and secure information processing.
While advanced digital skills can include programing development, digital business analysis, digitalmarketing and content creation, digital design and data visualization, digital product management,
data science, and user experience design.
As seen by the widespread use of digital-first activities such as remote work, online commerce, andvirtual collaboration, digital skills have never been more important to business and the workforce,
especially during the COVID-19 pandemic. As seen from the Future of Jobs Survey by the World
Economic Forum, employers are planning to adapt their businesses by enhancing digital enablement.
While this development has numerous advantages, such as increased worker flexibility and theremoval of geography as a barrier to employing fresh talent, it has also resulted in the worseningof an already significant skills gaps. Increasing digital inclusion and access to digital employment
and education opportunities is essential. There is a danger of a new divide opening between thetypes of workers who can perform their roles remotely and those working in industries, or living incountries, where that isn’t possible. We need to continue working together on a global scale toachieve universal broadband connectivity for everyone.
Exhibit 13 | Planned business adaptation in response to COVID-19

Source: World Economic Forum, Future of Jobs Survey
78

UNESCO, Digital skills critical for jobs and social inclusion, 201857

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

The digital skills gap means there’s just not enough people with the right digital skills to powercompanies’ transformation now and in the future. The economic implications of the digital skills
gap are massive. Research from Salesforce and RAND Europe shows that the digital skills gap is
disruptive to business growth, citing that 14 of the G20 countries could miss out on USD 11.5 trillion
in cumulative GDP growth79.
Rethinking digital education must become a priority for policymakers for two reasons: first, the role ofeducation is a prerequisite for future global competitiveness to bridge the digital skills gap; second,
only a fair education system can provide the right preconditions for social inclusion in the digital era.
Digital literacy does not have to be limited to technical and practical capabilities but should focus
also on basic skills, especially for the youngest. Children today spend more time online and interact
with the digital environment through a range of devices for a variety of reasons. As an example,
according to recent estimates by OECD, one in every three internet users in Europe is a child, andchildren in Europe spend between 134 and 219 minutes every day online80. The impact of rapid
technology advancements on children emphasizes the importance of policy that keeps up. Beyond
discrete duties like research or teaching, the digital environment provides youth with a wide
range of options and benefits, including entertainment, communicating with friends and family,
and expressing their creativity in more diversified ways. These enormous prospects come with achanging risk landscape that has changed considerably in recent years. Sexting and fake news,
for example, have emerged as hazards to children, while existing risks, such as cyberbullying, have
evolved in scope and character. To avoid negative impacts on their cognitive, social, and emotional
development, effective interventions such as trainings and awareness campaigns aimed at children
and their guardians are required.
Other than literacy, we note that MSME digital enablement is also a key challenge to tackle. In mostemerging and developed nations, MSMEs are a key engine of job creation and economic activity81.
Although specific figures are difficult to come by due to the fragmented nature of global data anddiffering definitions of MSMEs, formal and informal MSMEs account for 60 to 70% of GDP in low-,
middle, and high-income nations, respectively. They employ more than half of the world’s population
and account for more than 90% of all enterprises. MSMEs are key vehicles for social inclusion in
their communities, and they contribute significantly to job growth, particularly in developing nations.
Younger companies, particularly those with less than 20 employees, are the most important drivers
to global job growth.
For MSMEs, labor productivity growth is substantial. According to World Bank estimates, 600 million
new jobs would be required by 2030 to absorb the rising global workforce, with MSMEs accounting
for nine out of ten new jobs created globally. MSMEs are also deeply rooted in their communities,
and they frequently give opportunities for women and other underrepresented groups to participate
in economic activity.
We also note that MSME enablement brings domino effects to the community and businesses around
79
80
81

WEF, Future of Jobs, 2020
OECD, Education in the Digital Age: Healthy and Happy Children, Educational Research and Innovation, 2020
GPFI, Promoting digital and innovative SME Financing, 2021

58

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

that specific MSME. For example, through a super-app’s food delivery business, not only is therestaurant enabled by digitalization, but also its suppliers, merchants, packaging business, and soon.
All firms and sectors were, directly or indirectly, affected, but MSMEs were hit particularly hard by the
COVID-19 pandemic82. Overrepresented in the most exposed sectors (e.g., food and accommodation
services), they often had to close operations. Among those that were able to continue operations,many saw significant falls in revenue and faced severe liquidity shortages as a result. According to
the Facebook/OECD/ World Bank Future of Business Survey, among MSMEs that remained open from
May to December 2020, between 55-70% saw sales fall, with two thirds experiencing falls of morethan 40%. Hence, it is important to provide the needed support during a crisis; therefore, the useof digital technologies is proving to be critical to help MSMEs during these unprecedented times.
However, we note that there are still a lot of MSMEs not being digitally enabled; with the exampleof Indonesia, only 25% of MSMEs have used digital tools for their businesses.
We note that there are two key challenges on enabling MSMEs to go digital, first of which is ensuringthat the current job requirements meet the digital skills that individuals have, and second, to enable
MSMEs to secure funding for their digital expansion.
Firstly, in terms of digital automation, in tandem with the COVID-19 recession, is creating a ‘doubledisruption’ for workers, which the majority are employed by MSMEs: first, the current shock has
increased the adoption of smart working practices (involving up to 44% of the total workforce83),
and second, automation has started to transform tasks and required skills. In such a dynamic, rapidly
shifting scenario, the capability of companies and individuals to up-or re-skill becomes an utmost
priority.
Exhibit 14 | Predicted rising share of automation and skills gaps in local labor market
Share of tasks performed by human vs. machine2020 and 2025 (expected), by share of companies surveyed		

Perceived barriers to the adoption of new technologies

Source: Future of Jobs Survey 2020, World Economic Forum82
83

OECD, SME and Entrepreneurship Outlook, 2021
World Economic Forum, Future of Jobs Report, 202059

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

The second challenge is the lack of access to finance84, which is a critical barrier to growth for
MSMEs globally and particularly in developing countries. Access to finance is a critical barrier for
MSMEs to start, sustain and grow their businesses. About half of formal MSMEs do not have accessto formal credit, and instead rely on internal funds, or cash from friends and family, to launch andinitially run their businesses. An extensive survey of MSMEs in 135 countries showed that access tofinance was reported as the most serious obstacle to the current operations of businesses. Globally,
about half of formal MSMEs do not have access to credit from regulated financial institutions, as seenon the exhibit below. The current finance gap for formal MSMEs in emerging markets is estimated tobe approximately USD 5 trillion, about 1.3 times the level of MSME lending. When taking informal
MSMEs and MSMEs from vulnerable and underserved groups into account, there is another USD 2.7
trillion of potential demand for finance. In emerging markets, approximately 131 million, or 41%, offormal MSMEs have unmet financing needs85. Among the reasons are higher cost to serve MSMEs;
information asymmetries, or the absence of traditional data used by banks to assess credit worthiness;lack of collateral; and onerous documentation requirements.
Exhibit 15 | Formal MSME Finance Gap in Developing Countries

Source: GPFI (Global Partnership for Financial Inclusion)

Not only for individuals and MSMEs, digital applications are also very important to smaller andrural government agencies. Digital services are the face of modern government, and great digital
services can build trust with citizens86, especially during the COVID-19 pandemic. The rapid growth ofdigitalization of governments, including in rural areas and certain jurisdictions, reflects its compelling
advantages, such as enhanced governmental performance, lower cost structure, greater flexibility,
broader scale and scope of services, greater transparency, accountability, and faster transactions.
However, in developing countries and rural areas, the capacity to leverage technology for public
sector transformation is uneven and typically weak87.

84
85
86
87

GPFI, Promoting digital and innovative SME Financing, 2021
Digital Frontiers Institute, Promoting Digital and Innovative SME Financing
BCG. Fixing Digital Funding in Government, 2021
World Bank, GovTech Launch Report and Short Term Action Plan, 202060

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEIn the effort to guide the G20 towards literacy and enabling MSME digitalization, the B20 Digitalization
Task Force seeks to draw attention to four key priority actions:
•

•

•

•

Define specific desired practical outcomes for mindsets by level of education (primary, secondary,tertiary) for individuals, while promoting the use of digital equipment and solutions, to enhance
the learning experience
Improve individuals’ technical digital skills through continuous education, involving multistakeholder
cooperation, to increase their propensity to use digital products and services and their ability
to navigate cyberspace safely and mindfully especially for MSMEs, however applicable acrossall companies at large
Accelerate responsible innovation and digital adoption especially by MSMEs, however applicable
across all companies at large, by promoting policies to provide access to digital platforms that
can help build competitive markets
Increase efforts to provide sustainable and fair financing to MSMEs for accessing digital technologies

61

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

Policy Action 3.1: Define specific desired outcomes in mindset by level of education (Primary,secondary, tertiary) for individuals, while promoting the use of digital equipment and solutions
to enhance learning experience

The G20 should update educational programs to include digital topics in their curricula, considering
the evolving skills requirements of the public and private sector through stronger public-private
coordination, while reducing gender inequalities in technology and digital education
Digital technology penetration is growing at significant speed, but the education system is often
unable to keep the same pace. Digital skills, including technical capabilities such as programming,
digital responsibility, and practical usage of technologies and tools, have been deemed as one of
the eight critical areas when defining high-quality learning88. It is pivotal that G20 countries ensurethat students, from kindergarten to university, have access to proper schooling and education tosustain the impact of a changing scenario. We must ensure that everyone is lettered in the new
digital era, from children to adults and we must not create anxieties on using digital technologies.
The G20 should guarantee that school and university curricula are revised to meet the changing needsof the digital era, encouraging the development of fundamental ICT skills and digital competences.
The G20 needs to also be mindful that these curricula should be adopted to each country’s specificneeds, as a nation’s digital skill gap/digital challenges might differ from one another. To guaranteethat educational programs are linked with business needs and future employment prospects, closer
coordination between education institutions and the corporate sector should be encouraged by theG20. The call for more “digital curricula” at all levels of education should be accompanied by a focus
on the importance of developing soft and cognitive skills in parallel (only people who have honed
their “critical thinking” skills will be able to thrive in an economy marked by accelerating technologicalprocesses and automation, in which the digital technologies learned become obsolete very quickly).
The G20 should also support the sharing of knowledge (through international fora or global debates)on digital education to improve the diffusion and adoption of success models across different
countries. At the same time, at a national level, domestic Education Ministries can play a pivotal role
88

World Economic Forum, Schools of the Future Report, 201962

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEin fostering technological skills. Successful initiatives where public and private actors collaborate, toincrease the development of youth and professional digital skills, should be scaled-up and replicated.
Moreover, we call on the G20 to ensure global coordination aimed at establishing equal opportunities
for all (e.g., women remain under-represented across the digital sectors89). Effective digital education
action plans should eliminate inequalities by adopting policies that ensure that all genders, ethnicities,
and socioeconomic statuses have equal access to skilling opportunities.
The G20 should also provide practical and alternative solutions for citizens with lower internet skills toenhance competitiveness, such as emphasizing the importance of developing relevant local content
for digital education, as we note that a lot of countries, especially developing economies that are
not as privileged in terms of digital enablement, do not speak English.
In addition, we also call upon the G20 to expand digital education to vocational programs as well.
Vocational education may also become the “fast track” initiative to develop and upgrade digitalskills and competencies.
The G20 should promote the effective usage of digital equipment and solutions, including laptops,
for educational purposes to improve students’ learning experience, and enhancing teachers’
digital proficiency
We believe that the G20 should not only modify educational programs’ curricula, but also reshape
how students are educated, enhancing their ability to interact with technology. To enhance the roleof technology as a crucial learning enabler, good policies and investments are required. To do this,G20 nations should not only focus on giving students access to software and devices, but also
encourage teachers to receive training in digital tools and learning approaches. Government may
struggle to deliver this alone, and enterprise-led initiatives, delivered in conjunction with governmentand civil society should be encouraged where suitable.
Digitalization and the expansion of digital skills should not be limited to tech-related subjects, butrather be used as a cross-cutting enabler to improve learning across disciplines. To do this, teachers
should promote the use of electronic tools and gadgets, allowing pupils to build competence andconfidence in dealing with digital tasks and instruments over time.
The G20 should support the development of basic digital skills to help youth become skilled andresponsible digital citizens who are aware of digital threats and can safely browse the internet(e.g., critical thinking to recognize online misinformation, avoid cyberbullying and hate speech,
understanding of Personal Identifiable Information)
Children today spend more time online and engage with the digital environment for myriad reasons
through a variety of different devices90. These enormous prospects come with a changing risk landscapethat has changed considerably in recent years. Sexting and fake news, for example, have emerged ashazards to children, while existing risks, such as cyberbullying, have evolved in scope and character.
89
90

World Economic Forum, Global Gender Gap Report, 2020
OECD, Ensuring a safe and beneficial digital environment for children, 2021

63

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEThe OECD identifies four main categories of risks (contact, content, conduct, consumer) as well as
three areas of cross-cutting risks (health and wellbeing; privacy; advanced technology risks)91.
As a result, G20 nations should work closely with educational institutions at all levels to ensurethat these difficulties are adequately handled. Customized programs and open courses are effective
methods for sharing information and encouraging ethical and informed use of digital resources. The
teaching of digital skills should be part of the school’s core curriculum and should include evenbasic skills, such as critical thinking to avoid suspicious links, understanding of personal identifiable
information, creating strong passwords, amongst others.
Note: more information on education included in Future of Work and Education Task Force’s policy paper

91

OECD, Children in the digital environment, 2021

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Policy Action 3.2: Improve individuals’ technical digital skills through continuous education,
involving multistakeholder cooperation, to increase their propension to use digital products
and services and ability to navigate the cyberspace safely and mindfully, especially for MSMEs,
however applicable across all companies at large

The G20 should bring more awareness towards the benefit of digitalization to companies,
especially MSMEs
There are several key benefits of digital transformation for companies, to include extending the sensesof the organization, creating connected digital learning loops, focus human and algorithms on theirrespective areas of strength, facilitate fast information transfer of ideas, facilitate cooperation, andovercome planetary and social limits92.
Hence, we call upon the G20 to explore opportunities to create campaigns to promote the benefits ofdigital transformation to encourage adoption. Some of these campaigns can be specifically targetedat MSMEs.
The G20 should create programs to build stronger awareness of the risk of cyber security for
private users and MSMEs (e.g., financial risks)Internet-based crime is one of the fastest growing security threats. As internet use increases, there
has also been a shift in how people use computers for transactions and communication. Personal
information such as email addresses, phone numbers, names, and other login credentials are utilizedby hackers to commit identity fraud.
Hence, the G20 should strengthen awareness of the potential damage that cybercrime can cause to
end consumers. This would include considering the development of communication strategies andbuilding digital platforms with content such as sharing good practices to improve private users’ andMSMEs’ online protection.

92

BCG, The Why of Digital, 2020

65

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEThe G20 should map digital competences building on existing frameworks and promote thedevelopment of national digital skills strategies defining priorities, action plans, and required
investments based on companies digital needs in the post COVID-19 era, especially for MSMEs,
however applicable across all companies at large, while also promoting initiatives to collectsystematic data on this topic
Firstly, to help map current levels of digital competence across countries and industries, the G20
can recommend initiatives to help in the collecting of systematic data on this topic. Europe’s Digital
Economy and Society Index (DESI) is a good example to follow.
The G20 countries should encourage the establishment of globally shared standards for assessing
and tracking current levels of digital competence across industries and sectors, as well as a common
digital skills taxonomy. Governments can also collaborate with the private sector to create a single
career directory, with the goal of enhancing the detection of demand-supply imbalances in thedigital labor market, particularly for small and medium-sized businesses.
We further call on the G20 to build on existing initiatives, combining regional, national, and subnationalframeworks such as the World Economic Forum’s (WEF) Global Taxonomy93, the Occupational Information
Network (O*NET) Taxonomy and the ESCO (European Skills, Competences and Occupations) framework.
In addition, further investments in digital skills development and innovation in the public sector are
crucial to supporting the transition to a data-driven culture and building strong technical skills. We
must recognize that access to digital technologies is insufficient in and of itself to translate into
productivity outcomes; complementary factors such as managerial and organizational capabilities,
as well as external to the firm factors, are required for these digital technologies to have an impact
on a firm’s productivity dynamics94. Hence, we urge the G20 to also invest to boost complimentaryfactors such as change management capacity, the ability to integrate digital systems into production
processes, data management capabilities, internal stock of digital skills, and access to the knowledgeof potential operational technology solutions.
The G20 should embrace policies to promote training and continuous education to enable the up/
re-skilling of displaced workers and to create new job opportunities in emerging sectors, while
also addressing gender and generational gaps in technology usage / proficiency
Members of the G20 should adopt national plans for the development of digital competencies,
leveraging individual up- and re-skilling. Domestic and foreign skill gaps and mismatches should
be addressed through strategies. Investment plans should be defined consistently across countries
to avoid inconsistencies.
We also call upon the G20 to ensure that education on digital technology does not stop at school
and university but is continuously given through training and workshops within companies throughcorporate learning and development programs. These continuous professional educations are criticaland can be personalized towards specific professions, for example training on digital health ethics and93
94

World Economic Forum (WEF), Building a common framework for Skills at Work: A Global Taxonomy, 2021
World Bank, Europe 4.0: Addressing Europe’s Digital; Dilemma, 202066

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

confidentiality of patient details for professionals in the healthcare sector. With the example of thehealthcare sector, there is a need for systematic approach to digital skilling for all categories/cadresof health workers, including doctors, medical students, nurses, midwives, and allied health workers tomake them future ready. This can be done by integrating digital skilling as a core content of medical
education and continuing professional development. The curricula should also focus on skills suchas critical appraisal of information, using digital health tools and technologies, and communicating
the ethical dimension of digital communication such privacy & confidentiality to patients.
In parallel to trainings on digital technologies, we also note the importance of training on complementaryinterpersonal skills and managerial skills, which are also essential for building firms’ organizational
capabilities.
At the same time, related Ministries can play a critical role in cultivating technology capabilities at
the national level, such as encouraging training programs for employees.
Other than continuous corporate education provided by companies, the G20 can also encouragecompanies to launch on-the-job trainings and peer-to-peer learning as one of the methods toaccelerate digital upskilling/re-skilling.
It is also important to have a targeted intervention in the education of the very established professions
around the world, such as, law, accounting, or medicine, because often the professions can be thegatekeepers for choices made by citizens of countries and societies around the world. Ironically,
those professions can be the ones which struggle most to stay up to date with the latest technology
and innovation opportunities.
The G20 should encourage the development of open-source platforms, digital use case libraries,
digital knowledge platforms, and open access to data. The G20 should also consider theappointment of an international working group responsible for creating a comprehensive andaccessible digital use case library, while also increasing the awareness of availability of theseuse cases to MSMEs
Even though digital transformation is viewed as a priority for economic and industrial development,
many businesses, particularly small and medium businesses, are unaware of the potential use cases
and benefits of technology deployment. The G20 should encourage companies and industries tocontribute use cases by offering collaborative online platforms and fora where they may discuss theirdigital transformation experiences and best practices.
We encourage the G20 to build on previous efforts.
For example, the Industrial Internet Consortium Use Case Repository95: offers a resource for industrial
internet applications, enabling visitors to search and find use cases pertinent to their own activities
and direction and use the knowledge gained from the use cases as references in their own IoT
implementations. Another example is the B20 use case library made by the digitalization task force,
which was established by the B20 Italy team and further improved by the B20 Indonesia team95

Industrial Internet Consortium, Use Cases

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with the addition of more use cases. A use case is a description of a generic, reusable practice orprocedure, usually described in the form of a scenario that represents typical business operations,related or unrelated to a specific industry sector.
The G20 should facilitate MSMEs digital advancements by conducting specific training programs,
exploiting competence centers and innovation advisory hubs
It is essential for the G20 to have a clear baseline on MSME current competencies, and to create
training programs catering to the learning path of different MSMEs types and scales. We understandthat MSMEs adaption to technology comes through different stages – with one categorization using
the example of Technology Adoption Curve (innovators, early adopters, early majority, late majority,and laggards). By creating an initial baseline, we can develop a systematic upskilling program for
MSMEs with measurable outcomes. After understanding the baseline, we can do training programs
to fill the skills gap, which can be done through promoting colleges and business collaboration.
As an example, MSMEs may provide internships for students.
In addition, countries should also provide digital technology advising and consultancy services
for businesses, particularly MSMEs. The G20 should boost public-private collaboration in thisframework, leveraging existing competence centers and innovation hubs. The Singaporean “SMEs
Go Digital program” provides a realistic example by providing supporting tools to aid MSMEs’ digitaltransformation, including a wide range of initiatives to fulfill digitalization demands at various stagesof growth and maturity. The Singapore government also launched the Chief Technology Officer-asa-Service project, which allows MSMEs to tap into a pool of competent digital consultants quickly.
The G20 should promote the issue of mutual recognition of documents confirming the acquisitionof education, skills, and competencies in remote formats using digital technologies
COVID-19 underlined the importance of having a labor force with high professional skills for thedigital era. That means, on the one hand, employees should be able to use various digital tools to
fulfill their work and stay competitive under the new labor market conditions. On the other hand,the employees should have an opportunity to update their skills and knowledge to obtain a new
profession. This, in its turn, enhances the relevance of international recognition of the documents
confirming such requalification and vocational training.

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Policy Action 3.3: Accelerate responsible innovation and digital adoption especially by MSMEs,
however applicable across all companies at large by promoting policies to provide access todigital platforms that can help build competitive markets

Online platforms are central in the development of digital economies and societies. In the last
decade, they have been impacting economic sectors and social dynamics in OECD countries andbeyond96. Online platforms can be pure intermediaries, direct service providers, employers, lenders,or, indeed, a combination of them all. Greater uptake of online platforms is especially important for
MSMEs. One key element for MSMEs in both developed and developing economies is that online
marketplaces enable them to trade internationally and provide a wide range of complementary services(e.g., logistics, data analytics); almost half of MSMEs selling through e-commerce sell abroad97.
Exhibit 16 | Percentage of firms using e-commerce, by firm size, 2019

Source: OECD, SMEs in the online platform economy, based on Eurostat data, 2020

96
OECD-iLibrary, 3. SMEs in the online platform economy | The Digital Transformation of SMEs | OECD iLibrary97
OECD/WTO (2017), Aid for Trade at a Glance 2017: Promoting Trade, Inclusiveness and Connectivity for Sustainable Development, World Trade Organization, Geneva/OECD Publishing, Paris, Aid for Trade at a Glance, 201769

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

However, OECD data shows that, while business participation in e-commerce has increased since2008 across all firm sizes, smaller firms are lagging behind large firms. Unlike their larger counterparts,
MSMEs lack the ability to develop internal digital infrastructures because of limited financial resources
and/or skills98.
Exhibit 17 | Businesses receiving orders over computer networks
Business receiving orders over computer networks, as a percentage of all enterprises with ten or more persons employed, by firm size, 2017

Source: OECD, Unpacking E-commerce: Business Models, Trends and Policies, 2019

A survey conducted in October 2020 by the Visa Economic Empowerment Institute (VEEI) in Brazil,
Colombia, Malaysia, the Philippines, and South Africa found that MSMEs that leveraged digital
services (such as accepting remote orders or leveraging online marketplaces) were able to mitigate
the impact of the crisis. The study also found that a significant percentage of MSMEs have heavily
adopted digital and mobile payments, QR Code capabilities, and other payment services during
the pandemic, while also expanding their use of social networks and marketplaces. Businesses that
adopted these tools reported doing better, and they were more optimistic for the future99.
The COVID-19 crisis has heightened the importance of MSME digitalization and served as anaccelerator of trends. Data gathered in a joint research initiative by the OECD, Facebook and theWorld Bank (Future of Business Survey) showed that between 25% and 62% of SMEs (with a Facebookpage) across OECD countries increased the digitalization of their business processes in 2020. For
many SMEs, digital technologies have been essential to the continuation of economic activity andthe provision of essential services during the crisis100.
Other than giving MSMEs and other companies access to online platforms, it’s vital to note that having
access to digital technology does not guarantee their dissemination or effective application if otherelements aren’t in place. Analog logistics, last-mile delivery issues for e-commerce, e-government,
98
99
100

OECD (2019), OECD SME and Entrepreneurship Outlook 2019, OECD Publishing, Paris, OECD SME and Entrepreneurship Outlook, 2019
Visa, Small Business in the Digital Age: Recommendations for Recovery and Resilience, 2021
OECD iLibrary, SME Digitalisation to “Build Back Better”, 2021

70

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEe-signatures, virtual delivery of professional services, and others are instances of complementing
factors. One example that the G20 can urge MSMEs to adopt are digital payment systems basedon QR, such as QRIS in Indonesia. These systems can help MSMEs foster inclusiveness by allowing
users of any e-Wallet service to make payments to merchants, including cross-border transactions.
Relevant stakeholders here do not only include MSMEs, but also smaller government entities, suchas government offices in rural areas, to also help bridge the digital divide between urban and rural
governments.
The G20 should promote policies to provide access to digital platforms that can help build
open and competitive markets, where partnerships are encouraged, to accelerate responsible
innovation101
The G20 should promote regulations that can help build competitive markets, emphasizing thepotential for MSMEs to partner with external parties, to accelerate growth and innovation responsibly.
Responsible innovation relates to making technology work for society without causing more problems
than they’re trying to solve.
First, policies should support robust, safe, efficient, accessible, and affordable digital payment
systems which create incentives for merchants and MSMEs to accept and for consumers to use.
Second, policies should also create conditions that encourage bank-fintech partnerships that may
lower costs, strengthen financial inclusion and/or improve the quality of financial products andservices for MSMEs.
Third, policies should promote a level playing field to ensure the benefits of e-commerce and thesharing economy result in inclusive growth for MSMEs, such as by supporting cross-border e-commerce
sales. For example, in some countries, governments are promoting programs in co-operation withsome of the largest online platforms (specifically e-commerce and advertising platforms), helping
SME internationalization, awareness of digital solutions, national brand recognition, and ultimately
SME resilience102. All related policies need to promote the participation of MSMEs on digitalplatforms, while balancing fair requirements which do not lead to the reduction of MSME income.
While digital platforms offer important services to MSMEs, the possibility of MSMEs to preserve
independent strategies and innovate by themselves are also important to maximize the benefits ofdigital transformation for all and to ensure inclusive transition for MSMEs to the digital economy.
Another possibility, to encourage partnerships and innovation, is the implementation of regulatory
sandbox efforts. Regulatory sandboxes are a policy tool that can be used to promote the use of digital
tools and increase public access to them. Regulatory sandboxes are characterized as a “framework thatallows innovators to perform small-scale short-term testing of their inventions with live participantsin a regulated, restricted, secured environment under relaxed regulatory circumstances, under thesupervision of a regulator.” As developed and developing countries begin to experiment with theseframeworks, more have recently surfaced allowing innovators to test new technology.
101
102

GPFI, Promoting digital and innovative SME Financing, 2021
OECD iLibrary, 3. SMEs in the online platform economy | The Digital Transformation of SMEs

71

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Regulatory sandboxes provide an innovation-friendly signal to the market, the potential for a moreseamless path to innovation deployment, the emphasis of policy objectives and the potential for
financial inclusion benefits, the potential to improve regulatory capacity and innovator knowledge,
and the reduction of regulatory uncertainty. Finally, partnerships with the private sector on MSME
digitalization should be encouraged, leveraging exchanges of knowledge, digital tools, and capabilities.
One example would be South Korea’s initiative on launching Virtual Sandbox for fintech development.
In 2021, the South Korean Financial Services Commission (FSC) revealed intentions to build a digital
sandbox to test new fintech goods and services being developed. The move is part of a larger plan
to expand the region’s fintech business. Fintech service providers will be able to test their new
products on the market using a digital sandbox, while users will be able to discover new services103.

103

Fintech Magazine, South Korea launches Virtual Sandbox for fintech development, 2021

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Policy Action 3.4: Increase efforts to provide sustainable and fair financing for MSMEs to adopt
digital technologies

Governments should ensure the momentum for MSME adoption of digital technologies is not lostas economies strive for a long-term sustainable recovery. An OECD analysis of more than 90 rescue
and recovery packages worldwide shows that targeted support to SME digitalization increased inabsolute value but decreased as a share of total investment in digitalization, from around 23% (USD 8
billion) in rescue packages (i.e., immediate response to the crisis), to 8% (USD 49 billion) in recovery
packages (i.e., medium-long term recovery plans)104.
The G20 members should ensure that recovery packages include long-term support for MSME
digitalization. Moreover, the G20 should increase efforts on MSME sustainable and fair financing
mechanisms to boost digital capabilities and develop a strong digital infrastructure base, byincreasing awareness on the opportunities available for firms in terms of financing support, andapplying new digital solutions to close the MSME financing gap
The G20 should strengthen awareness of the opportunities available to firms in terms of investment
support, funds, and grants, particularly in developing countries. This would include considering thedevelopment of communication strategies and building digital platforms clearly aimed at specifying
channels, eligibility criteria, awarding process, and requirements for companies to access specificsubsidies or support.
Another idea the G20 can try is to create awareness of new digital solutions to close the MSME financing gap.
The application of different technology innovations, digital financial services (DFS), or the provision of financial
products and services through digital channels, has become an essential enabler to close the MSME financing
gap. Technology innovations serve as the foundation for the development of new business models and digitalfinancial products, which include digital loans and other credit products, as well as equity capital.

104

OECD iLibrary, SME Digitalisation to “Build Back Better”, 2021

73

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCERECOMMENDATION 4
Promote risk and evidence based interoperable and technologyneutral cybersecurity standards and best practices that support
companies’ efforts to protect their networks:
Define cybersecurity protocols, promoting enhancement ofcybersecurity practice and education to private users and companies
including MSMEs
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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEPOLICY ACTIONSPolicy Action 4.1 – Define cybersecurity and cyber resilience interoperable standards and bestpractice using a risk and evidence-based, and technology-neutral approach to all levels of supply
chain
Policy Action 4.2 – Promote enhancement of cybersecurity practice through increasing awareness of
security threats, bridging cybersecurity skill gaps, requiring government vendors to meet self-regulating
cybersecurity standards, increasing cross-border cooperation and championing the implementationof universally recognized norms, rules and principles
LEADING MONITORING KPI				OWNER: G20 COUNTRIES% of Countries with Data Protection andPrivacy Legislation
Source: United Nations Conference on Trade andDevelopment (UNCTAD)

Baseline
66%(2020)

Target100%(2024)SDG IMPACT

Recommendation 4 contributes to the achievement of UN’s SDG for the goals: 8: Decent Work andEconomic Growth, 9: Industry Innovation and Infrastructure, 16: Peace Justice and Strong Institution
Policy Action 4.1 – By encouraging risk-based approach to all level of supply chain, the policy
action impact target 16.6 (Develop effective, accountable and transparent institutions at all levels).
Furthermore, granting more resilient infrastructures (target 8.2 - Achieve higher levels of economic
productivity through diversification, technological upgrading and innovation, including through a focus on
high-value added and labor-intensive sectors), while at the same time ensuring industries’ sustainablegrowth (target 9.1 - Develop quality, reliable, sustainable and resilient infrastructure, including regional
and transborder infrastructure, to support economic development and human well-being, with a focus
on affordable and equitable access for all)
Policy Action 4.2 – Enhancing cybersecurity resiliency through skill building will impact target 16a(Strengthen relevant national institutions, including through international cooperation, for building capacity
at all levels, in particular in developing countries, to prevent violence and combat terrorism and crime).
Ensuring cross-border cooperation on cybersecurity among nations, supports target 16.3 (Promote
the rule of law at the national and international levels and ensure equal access to justice for all).

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G20 INDONESIA PRIORITY IMPACT

By focusing on the issue of cybersecurity for individuals, organizations, and governments, especially
Critical Infrastructure (CI) and (CNI) Critical National Infrastructure, Recommendation 4 commits
towards the achievement of Global Health Architecture, Digital Transformation, and Sustainable
Energy Transition key priorities of the G20 Indonesia presidency.
Policy Action 4.1 on defining cybersecurity and cyber resilience interoperable standards that arerisk and evidence-based and according to best practices to all level of supply chain is applicable
to all industries and sectors, including the issue of healthcare and critical infrastructure would
contribute to all key priorities of Global Health Architecture, Digital Transformation, and Sustainable
Energy Transition.
Policy Action 4.2 on promoting awareness of cybersecurity threats, bridging cybersecurity skill
gaps, and requiring government vendors to meet self-regulating cybersecurity standards will directly
impact the key priority of Digital Transformation.

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCECONTEXT

Cyber-related attacks have grown to become more imminent today105. The significant growthin the frequency and severity of such incidents has resulted in severe damage to the global
economy. Cyberattacks are a risk for everyone; a disruption in essential government services suchas financial systems, healthcare, energy, water supply, and more can and will compromise national
security and personal data. Additionally, in the wrong hands, targeted attacks may also cause lossof life.
Cyber-related attacks have become increasingly common; in a survey by Accenture, there werean average of 270 attacks per company over the year, a 31% increase over 2020. Third-party risk
continues to dominate, as seen by successful breaches to the organization through the supply chain
which have increased from 44% to 61%106.
One of the greatest cybersecurity concerns are attacks on “critical infrastructure” (CI), or criticalnational infrastructure (CNI), that have a great impact on society, which includes both public andprivate entities, large and small. Examples for attacks on Critical Infrastructure include the below:•

Healthcare: Attacks on healthcare companies, have an indirect impact on society. Based on asurvey107, in the first 6 months of 2021, 48% of hospital executives reported either a forced or
proactive shutdown in the previous 6 months because of external attacks or queries. CNN also
reported a 47% rise in attacks on hospitals and health care networks in the EU during the same
period, as criminal networks sought to cash in on the pandemic’s most vital services.

•

Oil and Gas: Attacks on Oil and Gas can indirectly impact the gas supply for a certain area. A
ransomware attack on the Colonial Gas Pipeline in May 2021, for example, affected filling supplies
on the US East Coast for over a week, leaving many gas stations empty108.

Cybercrime costs include forged invoices, ransoms, class-action lawsuit payouts, and share priceimpact. The costs of cybersecurity were expected to reach USD 2 trillion in 2021, up from USD 400
billion in 2015109. Not only causing financial costs, cyberattacks may lead to loss of trust between
citizens and their government and could hinder meaningful progress in digital transformation, andeconomic development effort. Forms such as denial-of-service attacks, data breaches, and phishingattacks all threaten individuals, businesses, and governments and hit countries with ill preparationin terms of policy, regulation, institutions, and skills much harder.
With recent developments, there are several tools that can be used by stakeholders to enhancecybersecurity, including blockchain. Blockchain has evolved into one of the most failsafe systems ofdealing in the digital network space, despite not being perfect. The technology has been praised for
its ability to ensure information integrity when used as intended. Many industries can gain from it if
105
106
107
108
109

World Bank, Cybersecurity risks are global, 2021
Accenture, State of cybersecurity report, 2021
Perspectives in Healthcare Security, CyberMDX and Philips, 2021
US Government Accountability Office, 2021
BCG, The CEO’s guide to cybersecurity, 2021

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

it is properly implemented. Blockchain can be used in a variety of ways because it has the potential
to be useful in a variety of situations. One of the ideal applications would be to employ its integrity
assurance in the development of cybersecurity solutions for a variety of different technologies110.
Looking forward, we also note that we need to be prepared for the quantum future. Quantum
computing may be widespread in 10 years, leading to an overhaul of cyber standards111. Quantum
computers use more powerful qubits, enabling exponentially greater computational speed. While
there will be advances, some encryption standards will be vulnerable to this, leading to a new race
between attackers and the vulnerable. Even if action is not required immediately, countries can start
to think ahead.
With the objective of providing tangible, impactful, and pragmatic actions, we urge the G20 to act
along three main policy actions:•Define cybersecurity and cyber resilience interoperable standards based on international bestpractices using a risk-based, evidence-based and technology-neutral approach to all levels of
supply chain•

Promote enhancement of cybersecurity practice through increasing awareness of security
threats, bridging cybersecurity skill gaps, requiring government vendors to meet self-regulating
cybersecurity standards, and championing the implementation of universally recognized norms,
rules and principles•

Education on data security standards to improve fundamental awareness of cybersecurity risks
for all types of end users

110
111

Cyber Management Alliance, The Future Use Cases of Blockchain for Cybersecurity, 2020
BCG, The CEO’s guide to cybersecurity, 2021

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Policy Action 4.1: Define cybersecurity and cyber resilience interoperable standards and bestpractice using a risk and evidence-based, technology-neutral approach to all levels of supply
chain
The G20 members should uplift the baseline cybersecurity posture of organizations to focus onpromoting risk and evidence-based and technology-neutral approaches based on globallyinteroperable standards and best practices for all levels of the supply chain, in both developed
and developing economies
We urge the G20 to uplift the baseline cybersecurity posture of organizations, to focus on thevalue-added in promoting risk-based, interoperable standards based on international best practices
in all countries, not only developed markets, as we understand that there are a lot of developing
economies which don’t have any cybersecurity standards. We urge the G20 to ensure implementationof these cybersecurity standards across all economies. As an example, we understand that the US
has the NIST framework and standards, which some other countries are adopting as well. A more
open, interoperable, and harmonized cyber ecosystem could aid organizations in developing more
effective and long-term cyber defense strategies. Promoting interoperability and widespread useof harmonized standards, protocols, and taxonomies can help organizations to identify, block, andrespond to cybersecurity attacks with speed.
One strong example of promoting interoperability between regulatory standards is the Financial
Services Cybersecurity Profile (“the Profile”), which has been endorsed by leading regulatory bodies(NIST, ENISA, FFIEC, OICV-IOSCO) and adopted by some of the world’s largest financial institutions.
The Profile offers a single framework that maps together dozens of different cybersecurity standards
and regulations from different regulators and countries. In a world where some financial institutions
spend more than 50% of their security budget on compliance, the Profile dramatically simplifies
compliance and allows institutions and regulators to focus their efforts on the areas of greatest need.
The Profile also embodies the idea of risk or impact tiering, which means that security requirements
increase as institutions become larger and more critical to the economy: the Profile includes a tool tomeasure an institution’s significance to the overall economy and then dictates 4 tiers of requirements,
depending on which impact tier an institution falls under.
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Practical cybersecurity policies are flexible, technology-neutral, and are more effective when theytake a risk-based approach that emphasizes effective outcomes instead of rigid controls. The tools
and methods used to achieve the outcomes vary because each organization’s risks, priorities, andsystems are unique. Policies that recognize this provide organizations with the flexibility to choose
the most appropriate approach to protect what is most important to their business and avoid shifting
resources away from securing assets to reporting and compliance requirements.
We note that these standards should be provided not only to networks but to the entire digital
infrastructure of the supply chain. Cybersecurity is a shared responsibility; supply chains are a
multilayer structure and if one of those layers has a low cybersecurity level it becomes the point ofentry into the whole value chain.

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Policy Action 4.2: Promote enhancement of cybersecurity practice through increasing awarenessof security threats, bridging cybersecurity skill gaps, requiring government vendors to meet
self-regulating cybersecurity standards, increasing cross-border cooperation and championing
the implementation of universally recognized norms, rules and principles

The G20 members should increase the awareness of security threats amongst businesses, bridge
cybersecurity skill gaps, and require government vendors to meet self-regulating cybersecurity
standards
There are several initiatives that the G20 members can do to promote cybersecurity. G20 members
should increase awareness of security threats amongst businesses, especially MSMEs as they are
typically less well equipped than larger firms with the institutional, managerial, and financial capacity
needed to develop and implement appropriate digital risk management practices. This is also thefirst recommendation from the OECD Security Guidelines for Digital Security Risk Management for
Economic and Social Prosperity112. For example, national cybersecurity agencies (NCAs) can alsoenhance companies understanding on cybersecurity issues and prevention methods with dedicatedprograms, with the Singaporean SG Cyber Safe Program as an example. We also note that
increasing IT security spending will not be enough to face cyberthreats as businesses require morecybersecurity professionals: The world is lacking 3 million cybersecurity professionals113. Hence, theG20 members can explore opportunities to promote forums with education entities, directly fundhigh-school and university programs, assess the establishment of certification for cybersecurity
professionals, partner with tech companies to run education programs, and directly train government
workers to help bridge the skills gap. The G20 members can also require government vendors tomeet self-regulating cybersecurity standards, using risk-based, and a technology-neutral approach.
Self-regulating here means industry-set standards, for example the cloud Security Alliance’s “CloudControls Matrix (CCM),” Healthcare Supply Chain Association’s “Recommendations for Medical
Device Cybersecurity Terms and Conditions,” and the Cybersecurity Tech Accord’s statement on
consumer device security requirements. Given the multi-national nature of most large companies
and the challenge for regulations to stay up to date in the fast-moving cyber world, governments
112
113

OECD, Digital Security Risk Management for Economic and Social Prosperity, 2015
Mint, Shortage of cybersecurity professionals a key worry for firms in 2022, 2022

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B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

should endorse, support, and align with industry initiatives like these.
The G20 should enable cross border cooperation to prevent cybersecurity threats through promoting
coordinated multilateral and multi-stakeholder discussions, leveraging global forums, and working
groups on cybersecurity-related topics to ensure the establishment of national cybersecurity
agencies with clear agendas and effective governance mechanisms
To define common guidelines and procedures to regulate the cyber domain in a manner commensuratewith its underlying risks, G20 countries should promote existing treaties and foster dialogue acrossgovernments, institutions, working groups, industries, and firms. We believe that multi-stakeholder
cooperation stands out as a crucial success factor in this area, as it enables learning from othercountries’ results and challenges and allows replicated policies that have already proven to beeffective elsewhere. For this reason, the G20 could leverage on other cross-country, multi-stakeholder
dialogues that have already been launched, such as the OECD “Global Forum on Digital Security for
Prosperity” and Global Forum for Cyber Expertise (GFCE).
In this context, we further stress the need for national cybersecurity agencies (NCAs) to align at
the international level, to ensure their action plans are coherent with each other. Agencies should
oversee the nation-wide cybersecurity strategy agenda, covering every aspect including training,
standards, prevention, detection, and response. Specifically, these strategies can also considerclassifying entities into systemically against or not systemically important digital entities, incorporatingclassification criteria such as number of customers, participation in % of Gross Domestic Product,
or criticality/sensitivity of service provided, amongst others.
Furthermore, to ensure prompt coordination and faster responses to cyberattacks, the G20 should consider more
effective data sharing both within regional organizations and at the international level during these discussions.
In addition, G20 members can encourage greater resiliency by establishing a process and platform
where organizations report cyberattacks to the government to receive the appropriate support.
The G20 should champion the implementation of universally recognized norms, rules, andprinciples of responsible state behavior in cyberspace and lead by example in implementing
rules and principles
The G20 should continuously champion the implementation of universally recognized norms, rules,
and principles of responsible state behavior in cyberspace as adopted by consensus in the March
2021 UN General Assembly First Committee114 to promote cybersecurity and reduce cyber risk for
all stakeholders. UN’s Member States agreed that the existing acquis for responsible state behavior
in cyberspace fully applies. They also endorsed recognition of further obligations for countries topromote international peace and security in the online environment.
The G20 should lead by example and commit to fully implementing rules and principles resulting in
responsible state behavior and periodically review progress to ensure implementation of the norms
mentioned above, we also are calling on non-G20 countries to do the same.
114

Foley Hoag, United Nations Working Group Approves Cybersecurity Report: what is it and what are the Implications?, 2021

82

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCEANNEX

ACRONYMS
AI
B2B
B2C
B20
CAGR
CYBSI
DDoS
ESCO
ETSI
EU
FDI
GDP
GHG
G20
HW
ICT
IEC
IEEE
IoT
I4.0
IP
ISO
ITU
JSI
MBPS
MSMEs
M2M
NBPs
NCA
NIST
NTUC
OECD
O*NET
OPC
R&D
SDGs
SMEs

Artificial Intelligence
Business to BusinessBusiness to Consumer
Business 20
Compounded Annual Growth Rate
Cybersecurity Initiative
Distributed Denial of Service
European Skills, Competences, and occupation
European Telecommunications Standards
European Union
Foreign Direct Investment
Gross Domestic ProductGreenhouse gases
Group of 20
HardwareInformation Communication Technology
International Electrotechnical Commission
Institute of Electrical and Electronics Engineers
Internet of Things
Industry 4.0
Intellectual Property
International Organization for Standardization
International Telecommunication Union
Joint Statement Initiative
Megabit-per-second
Micro, Small, Medium Enterprises
Machine-to-Machine
National Broadband Plans
National Cybersecurity Agencies
National Institute of Standards and Technology
National Trades Union Congress
Organization for Economic Co-operation and Development
Occupational Information Network
Open Platform Communication
Research & Development
Sustainable Development Goals
Small-Medium Enterprises
83

SOC
STIP
SW
TBT
TeSA
TF
UBB
UN
UNFCCC
USD
USFs
WEF
3GPP

Social Overhead Capital
Science, Technology, and Innovation Policy Compass
SoftwareTechnical Barrier to Trade
Singaporean Tech Skills Accelerator
Task Force
Ultra Broad Band
United Nations
United Nations Framework Convention on Climate Change
United States Dollar
Universal Service Funds
World Economic Forum
3rd Generation Partnership Project

Schedule of Task Force Exchanges
#

Date

Event

Location

Theme1

14/02/2022

Taskforce Call 1

RemoteDigitalization
Policy Paper2

21/03/2022

Taskforce Call 2

RemoteDigitalization
Policy Paper

3

18/04/2022

Taskforce Call 3

RemoteDigitalization
Policy Paper

4

19/05/2022

Taskforce Call 4

RemoteDigitalization
Policy Paper

5

27/06/2022

Taskforce Call 5

RemoteDigitalization
Policy Paper

Distribution of Members
Country#Country#Country#

Indonesia

37 Canada

3

Brazil1

United States

17 Turkey

2

Romania

1

China

13 Philippines2

Hong Kong

1

Russia7

South Africa

2

Taiwan1

France

6

India

2

Australia

1
1

Italy

5

Argentina

2

United Arab Emirates

Saudi Arabia

4

Japan

2

Austria

1

Spain

3

Switzerland

1

Belgium

1

Singapore3

Mexico1South Korea

1

United Kingdom

3

Finland

1

Egypt

1

Germany

3
Total: 12984

Task Force Leadership
Name

Company / Organisation

Country

DeputyChair
RiriekAdriansyah

PT Telkom Indonesia(Persero) Tbk

Indonesia

Muhamad Fajrin
RasyidPT Telkom Indonesia(Persero) Tbk

Indonesia

AscendIndonesia

Börje Ekholm

EricssonSwedenHans-Paul
Bürkner

Boston Consulting
Group

USA

Davids Tjhin

Cem Dener

World Bank GroupUSA

Kimberly D.
Johns

Wang Jian

Alibaba Cloud

China

HannahAndre
Soelistyo

GoTo Group

Indonesia

Shinto Nugroho

Michael Punke

Amazon Web Service

USA

Quint Simon

ChristianGebaraTelefónica  

BrazilJuan Luis
Redondo Maíllo

Deputy Chair
MuhamadFajrin Rasyid
Policy Manager
Hans Lukiman
Co-Chairs

85

Erik Ekudden
Mikael Bäck

B20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

Coordination Group
Function
Task Force
PMO

Knowledge
Partners

Network
Partners

Name

Position

Company /Organisation

Riza A. N.
Rukmana

Vice President of
Digital Business
Strategy andGovernancePT. TelkomIndonesia (Persero)
Tbk

Haikal Siregar

Managing Director &Partner

Boston Consulting
Group

Davids Tjhin

Managing Director &Partner

Boston Consulting
Group

Nicolas Meyer

Managing Director &Partner

Boston Consulting
Group

Hideaki Ozu

Policy Expert and B20
Coordinator

Business at OECD

Louise McGrath

Head of Industry
Development andPolicy The AustralianIndustry Group

Global BusinessCoalition

DamienBruckard

Head of Global
Engagement & Former
Deputy Director ofTrade and Investment
ICC

International
Chamber ofCommerce

Sean Doherty

Head, International
Trade and Investment& Member of the
Executive Committee,
World Economic
Forum

World Economic
Forum

Senior Economist for
Ralph Van Doorn the World Bank inIndonesia

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World Bank GroupB20 INDONESIA 2022 | DIGITALIZATION TASK FORCE

Task Force Members
NameCompany / Organisation

Country

DeputyManoj Kumar
Samtani

13 Entertainment

Indonesia

Lachman Samtani

Ying He

4Paradigm

China

Xin JinRudi Rusdiah

ABDI Association of Big
Data and AI

Indonesia

Winarto FX

Yohanes Herby
Mogot

Adiraja IntegrasiIndonesia

Bobby Arvian

Jing Zhu

Alibaba Group

China

Jiang Cao

Kevin Wu

AlphaNet Asia

Indonesia

Subur Adiwijaya

Ghozie Dalel

Amazon Web Services

UnitedStatesAstrid Dita

David Kovacs
David

APEC-ECBA

China

Kevin Kong

Mirza
Natadisastra

Apple

UnitedStatesN/A

Norberto
CapellánArgentine Chamber ofCommerce and Services

Argentina

Sebastián Ferrari

Konstantin
Artyukh

Association of Banks of
RussiaRussiaKristina Stoycheva

Mouataz Zreika AVH

Australia

Mostafa Zreika

DonnyWardhana

Beemarket.id

Indonesia

Rama Widiyaswara

Alicia Zhang

Beijing Newhappy
Culture Development
Co., Ltd.

China

Huageng Yuan

Long HAN

Bgrimm Technology
Group

China

Yuming XiaoJohn de Boer

BlackBerry Ltd.

CanadaN/AOlga Kayayan

Boniswa Corporate
Solutions/Boniswa
Group

South Africa Lenkoe Makatoko

Lynnette
MagasaBoniswa GroupSouth Africa Olga Kayayan

Oliver Tan Oh

Brazilian Textile andApparel Industry
Association

BrazilPatricia Pedrosa

PatrikDr.Kovacs

Business @ OECD (BIAC)

FranceRokas Morkunas

Nicole Primmer Business at OECD (BIAC)

FranceHiroki Tamura

Martynas
BarysasBusinessEurope

Belgium

SVETLANASTOILOVA

Michael Harvey

Canadian Chamber ofCommerce

CanadaN/A

Ammar Toonsi

Car Trust

Saudi
ArabiaAyman Shams

Xiao Sun

CCOIC

China

YUAN Yao

87

CCOIC B20 China
Committee

China

N/A

Vasiliy Vysokov Center-invest Bank

RussiaYulia Fialkovskaya

Yuan Yao

Xi ChenChina Chamber ofInternational Commerce

China

N/A

Yancy Molnar

Chubb

UnitedStatesN/A

Ankur Singh

CII

India

N/A

Ansam
Abuljadayel

Cisco systems

UnitedStatesAiman
Abdulhakeem

Richard Lomas

Citi

UnitedStatesJames BondSamir Modi

Confederation of Asia
Pacific Chambers ofCommerce and Industry

TaiwanErnest Lin

Sanjay Kumar

Deloitte Touche Tohmatsu
India
India LLP

Sungharsh Sood

Bassel Hindawi

DIFC Insurance
Association

United ArabEmirates

N/A

Klemens Kober

DIHK - Association ofGerman Chambers ofIndustry and Commerce

Germany

N/ADavid Fernando
East Ventures
Audy

Indonesia

N/A

Dario Pagani

Eni Spa

Italy

N/A

Guillermo
PivettaeNotus International Inc(GTR project team)

UnitedStatesReymond Voutier

R. Robby

EY

Indonesia

Alifah Davida

Marco
Venturelli

Federated Innovation at
MIND

Italy

N/A

MohamedTarek Tawfik

federation of Egyptian
industries

Egypt

mohamed kassem

Handi irawan
DjuwadiFrontier

Indonesia

Fandy Santoso

Michelle
Chivunga N

Global Policy House

UnitedKingdom

Dagmar D

Martin Umaran

Globant

UnitedStatesFrancisco MichrefPeter Maquera

Globe Telecom

Philippines

Arlene Jallorina

Arlene Mae
Jallorina

Globe Telecom, Inc.

Philippines

Manuel Casiño

Mark MinevichMark Minevich

Going Global Ventures
Inc , International
Research Center of AI/
UNESCO, AI For GoodFoundation

UnitedStatesAngelica Sirotin

Putri Alam

GoogleUnitedStatesIsya Hanum
Kresnadi

Dominic Chan

Government Technology
Agency of Singapore

Singapore

Chee Hau Tan

88

MIGUELGRUPO ALIANZA
ANGEL
EMPRESARIAL
VARGAS CRUZ

MexicoN/A

AshleyLumsden

Huawei Technologies

China

Piers Thompson

Oliver Wieck

ICC Germany

Germany

Dana Enss

Nick AshtonHart

ICC United Kingdom

UnitedKingdom

Chris Southworth

Pierre Lelievre

IDEMIA

FranceMarie-Sophie
BELLOT

Antonella
Scaglia

IMQ Group

Italy

Umberto Scola

Sergio Arzeni

INSME

Italy

N/A

Vittoria Carli

ISED spa

Italy

Aniello Gentile

Putu Sudiarta

ISN (PT.Inovasi Solusi
Nusantara)

Indonesia

Satya Dharmawan

Mark Lloyd
DaviesJohnson & Johnson

UnitedStatesShane Pang

AchmadWidjaja

Kadin Indonesia

Indonesia

Suhat Miyarsa

Akbar Djohan

Kadin Indonesia

Indonesia

Handito Djoewono

Daigo Ishikawa

Keidanren Japan
Business FederationJapan

Yu YamadaHyun-Chul Kim KT Corp.

South Korea Ja-hyun Kim

DanielBudimanMahanusa CapitalIndonesia

Maria Santoso

Joshua Agusta

Mandiri CapitalIndonesia

Indonesia

Melvin Santoso

Victor Dosoretz Mantra Beauty S.A.

Argentina

Antonela Savoca

Christoph
Seydelmededis GmbHGermany

Sandra Garn

Maxence
Demerlé

MEDEF

FranceN/A

Hui Zhang

MEGVIIChina

Qi YanDharmaSimorangkir

Microsoft Indonesia

UnitedStatesAjar Edi

Ahmed Kouther Mind Stream Group

Saudi
ArabiaRana Farsi

Abigail
SudarmanIndonesia

Farhan Muhammad

Gina Haspilaire Netflix

UnitedStatesN/A

Ruben Hattari

Netflix

UnitedStates

Zizi Ezlina

Julia Jasinska

Nokia

Finland

Mathilde Maury

Carlson Lau

Northstar Advisors

Singapore

N/A

Nanda
SihombingOpen ContractingPartnership

UnitedStatesN/AMontegrea Integrasi
Teknologi

89

Apratim
Mukherjee
Apro

OracleUnitedStatesN/A

Allaire Martine

OrangeFranceN/A

Nicklas Jonow

Pacific Consulting Group(Asia) Ltd

Hong Kong

Michael Walsh

Daniel Pujazón

PagoNxt (a Santander
company)

SpainPeter Greiff

Sandra Alverà

Panasonic Europe

Japan

Martin Bell

Adhi Nugroho

PGAS
TELECOMMUNICATIONS Singapore
INTERNATIONAL Pte Ltd

Itania andika
Setyawati

Satish Mahtani

PT Dua Surya Dinamika

Indonesia

Kareen Mahtani

Caroline
Gondokusumo
Caroline

PT Dutakom WIbawa
Putra

Indonesia

Bimelina Oetomo

Ratu tisha
destria

PT Electronic City
Indonesia, Tbk

Indonesia

Josephine Karjadi

Dwi Santosa

PT Mitra Andalan
Nusantara Teknologi

Indonesia

Herry Ahmadi

TEDJA
SOMANTRIPT TEMARA GLOBALTEKNOLOGIKA

Indonesia

N/A

Jouw Erwin

PT Yasunli Abadi Utama
Plastik

Indonesia

Ricky

Agnesia Vica
Hardy

PT. CITTA PARAMA
GUNA (PARAMATECH)

Indonesia

Achmad Michael

joni sarjono

PT. Dewandaru Loggis
Teknologi

Indonesia

N/A

Debbie R.
Sianturi

PT. Mikrobisnis Digital
Sejahtera (INAmikro)

Indonesia

Dewi Riana RaisHILMANASMARAHADI

PT. NADINATRANS
SOLUSI UTAMA

Indonesia

SARMAN
Simanjorang

Bernardino
Vega

PT. Pembiayaan DigitalIndonesia

Indonesia

Anna Urbinas

Merza Fachys

PT. Smartfren Telecom
Tbk

Indonesia

DyarineKoeswahyuningtyas

AnkyRakhmansyah

PT. Wahana Usaha
Internasional

Indonesia

Angga Nugraha

Subianto
Subianto

PwC Indonesia

Indonesia

Ravi Ivaturi

Valero MarinREPSOL

Spain

Nuria Avalos

Lucia Erniawati

Roche Indonesia

Switzerland

N/A

Aleksandra
Evdokimova

Rosbank

FranceNatalya Voevodina

Stanislav
Pozharnov

Russian Direct
Investment Fund

RussiaValeriya
Zadorozhnaya

EvgenyMelnikov

Russian Union ofIndustrialists andEntrepreneurs (RSPP)

RussiaTatiana Tokareva

Pipin Moh
Saeful Arifin

Santosha Tekno Utama

Indonesia

Pipin Moh Saeful
Arifin90

Andrey
Neznamov

Sberbank of Russia

RussiaAlexandra
Krivosheeva

Deddy
Machdan

Shipper Indonesia

Indonesia

Alex Chandra

Ignesjz
Kemalawarta

Sinar Mas Land

Indonesia

Balqis Afifah

Devin Narang

Sindicatum Renewable

UnitedKingdom

Kajal Singh

ViktorVekselberg

Skolkovo Institute of
Science and Technology(SkolTech)

RussiaEvgeny Melnikov

Bahar AlHarbi

Startups House

Saudi
ArabiaBader Altheibany

Julian David

techUK

Romania

Sabina Maria Ciofu

Agustín Sáenz

Tecnalia

Spain

Fernando Quero

Indonesia

N/A

Komang Aryasa Telkom Indonesia
Sarp Kalkan

The Union of Chambers
and Commodity
Exchanges of Turkey

Turkeyİrfan Demirören

BarbaraWanner

U.S. Council forInternational Business

UnitedStatesErin Breitenbucher

Lixin (Larry)
Wang

UnionPay International
Co., Led

China

Liying Pan

LandrySubianto

US ASEAN BusinessCouncilIndonesia

Angga Antagia

LandrySubianto

US-ASEAN BusinessCouncilIndonesia

Angga Antagia

Darhl
Vercaigne

VCMx Exchange Inc

CanadaArlene Janzen

Oleg TEPLOV
Teplov

VEB Ventures

RussiaOksana Kislova

George Salis

Vertex, Inc.

UnitedStatesN/A

Niki Luhur

VIDA

Indonesia

Sati RasuantoJeffrey Owens

Vienna University of
Economics and Business

Austria

N/A

Elvera Makki

VMCS Advisory
Indonesia

Indonesia

Ananta Wisesa

Hana AlSyead

Wujud

Saudi
ArabiaAciel Ayyash

Moses Lo

XenditIndonesia

Mikiko Steven

Xiang Wang

Xiaomi Group

China

Zhen Liu

Kursad Keteci

Yapi Kredi Bank - Koc
Holding

TurkeyBahar Dırbali Kok

Sam Han

Yizheng Haifeng Industry& Trade Co., Ltd.

China

N/A

91