Indonesia's E-commerce Transactions Increase by 500% in 5 Years

Indonesia's digital trade transactions are growing rapidly. eMarketer data shows that Indonesian e-commerce transactions reached Rp 25.1 trillion in 2014 and will increase to Rp 69.8 trillion in 2016, with an exchange rate of Rp 13,200 per US dollar. Similarly, in 2018, the value of Indonesia's digital trade will continue to rise to Rp 144.1 trillion.

A population of 250 million presents enormous potential for the development of Indonesian e-commerce. This is supported by the continuously growing internet penetration, increasingly affordable internet connectivity, and the public's enthusiasm for using the internet to support their daily lives.

The growth of e-commerce is also driven by the diverse range of innovative, attractive, easy-to-use, and effective online products and services. To support this, the government has issued a roadmap to guide and direct the digital trade industry. Seven incentives are provided to support the development of e-commerce, namely concerning logistics, funding, consumer protection, communication infrastructure, taxation, education and human resources, and security.