ABSTRACT
This chapter describes the development of infrastructure and provides the legal and regulatory landscape, including the latest presidential policy direction. It shows that the industry and market response to the government’s policy initiatives and identifies issues that could hinder Indonesia’s ambition to become the largest e-commerce market in the region. The e-commerce sector is commonly regulated by three ministries or state bodies: Bank Indonesia, the central bank, which is responsible for regulating technology-based financial transactions; the Ministry of Trade, which oversees commerce activities; and the Ministry of Communications and Information Technology, which regulates operators’ compliance with the related laws and regulations. The government of Indonesia announced the National E-commerce Roadmap as one of its national economy packages in November 2016. Information and communication technology connectivity is considered meta-infrastructure to maintain the nation’s competitive edge and provides significant impetus for a digital economy.
