Indonesia targets 6% economic growth via e-commerce by 2027

Indonesia is banking on its burgeoning e-commerce sector to fuel economic expansion, with the government targeting a 6% growth rate from online retail by 2027. Coordinating Minister for the Economy Airlangga Hartarto announced the ambitious goal, emphasizing continued government support for strengthening the e-commerce ecosystem.

The digital economy in Indonesia already reached a significant $100 billion in 2025. A particularly dynamic area is video commerce, which combines sales strategies with short videos or live streaming. This segment has seen explosive growth, with transactions reaching 2.6 billion, a 90% annual increase. This surge aligns with the country's expanding social media landscape, boasting 180 million active users, up 26% year-on-year.

To further boost online sales, the government plans to leverage technologies like artificial intelligence (AI). AI can enhance store and trade algorithms, enabling businesses to reach more targeted consumers. The minister also set a year-end target of Rp40 trillion in e-commerce sales transactions, a 10% rise from the previous year, largely driven by the "National Shopping Day" (Harbolnas) program scheduled for December 10-16. This event specifically aims to promote local products and services, including accommodation and transportation tickets.

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Therefore, the government continues to support the strengthening of the e-commerce ecosystem.