Funding Remains a Major Challenge for Indonesian Startups

Digital startups are booming in Indonesia. However, among the persistent problems are a lack of access to capital and human resources. Furthermore, the concentration of startups in the Jakarta, Bogor, Depok, Tangerang, and Bekasi (Jabodetabek) area highlights a lack of equitable distribution.

Based on a survey of 992 startups conducted by Bekraf and the Indonesian Information and Communication Technology Creative Industry Society (MIKTI) for the 2018 Mapping and Database of Indonesian Startups book, access to capital remains the biggest obstacle for Indonesian startups, accounting for 38.83%.

They define startups as companies in the digital industry that have a legal business entity and a digital product already released to the market. The digital industries in question include e-commerce, financial technology, game development, and digital application development across various sectors.