Speaking at the National Financial Technology (Fintech) Month 2023 event with GoTo Financial on Tuesday (28/11/23), Bank Indonesia’s (BI) Deputy Director of Payment System Policy Department, Arya Rangga Yogasati, said that digital payments can accelerate digital economic growth, according to reporting from Antara News.
“The development of digital payments has sped up growth of the digital economy and is expected to reach USD 110-billion in 2025,” Yogasati said, noting that digital payments will continue to grow positively, supported by changes in people’s activities that have started to be mostly online-based and by sustainable growth in digital financial services.
He pointed out that digital payments accounted for 50-percent of the total transaction value in 2023.
Based on the e-Conomy SEA 2023 report, the gross transaction value (GTV) of Indonesia’s digital payments was the highest among other Southeast Asian countries, reaching USD 313-billion in 2023 and is estimated to increase to USD 417-billion in 2025, say Antara News.
Indonesia’s digital economy is projected to bounce back and reach around USD 110-billion in 2025, with the e-commerce sector accounting for the highest share as compared to other sectors, such as online-based transportation and food delivery services, online travel agents, and online media, all of which play a role in driving Indonesia’s economic growth, Yogasati said.
Furthermore, he affirmed that digital payments can be a solution to accelerate national economic recovery, supported by significant growth in digital payment acceptance, especially in digital retail payment instruments.
In addition, BI promotes the use of Quick Response Code Indonesian Standard (QRIS) to support sustainable growth of the digital payment system and maintain the momentum of economic recovery, say Antara News.
Source: Antara News
Stock image by Tumisu from Pixabay
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