The Indonesian government has committed to simplifying the licensing process and conducting an evaluation against the applicable regulations to push the growth of investment in data centers in Indonesia.
Communication and Informatics Minister Budi Arie Setiadi said that Indonesia will also learn from other countries, like Malaysia, that have succeeded in attracting investors to the data center sector.
“We have seen in Malaysia that they provide many incentives that also make investors interested in building data centers,” he expounded in a statement issued on Thursday.
Apart from the commitment to providing incentives, in terms of physical infrastructure readiness, the government has also promised to prepare land to support environmentally friendly water and electricity facilities to support data center operations.
According to him, the provision of environmentally friendly resources for data centers is in line with the current industry trend that is moving toward sustainability.
He expressed optimism that the development of data centers by private parties will increase in Indonesia given its large population and potential for the development of digitalization in the country.
The potential is a plus point for investors because they can contribute to business growth if managed properly.
Furthermore, the minister said that the many business actors investing in building data centers in Indonesia need to be supported because they can strengthen the nation’s position in maintaining data sovereignty.
This is because the data will be managed within the country and not rely on infrastructure in other countries.
“If possible, for all things related to Indonesian citizens, the data centers should be in Indonesia,” he added.