Indonesia and Germany exchange ideas on promoting digital startups

The digital economy now accounts for 15 % of the global GDP and has grown 2.5 times faster than traditional sectors according to the World Bank. However, this rapid expansion also means that the digital divide is widening. It is important to understand the disparities and bring them into international discussions in order to ensure inclusive and balanced growth of the digital economy.

To open the exchange, Mr Ichwan Makmur Nasution, Head of the Center for International Affairs at MCDA, and Mr Frank Krüger, Deputy Director General for National and International Digital Policy at BMDS, emphasised the importance of international dialogue and cooperation in the digital economy. Both countries want to share best practices and learn from each other on how to best promote the ecosystem for digital startups. They also called for an exploration of synergies for joint actions to strengthen startup ecosystems.

Best practices to promote startups in Germany and Indonesia

Germany ranks among the top six digital economies and is home to around 520.000 startups and 31 unicorns across diverse sectors such as healthcare, ICT, advanced manufacturing and mobility sectors. Dr Jochen Zimmermann, Head of Division for Startups, Digital Networking and the Digital Hub Initiative at the German Federal Ministry for Economic Affairs and Energy (BMWE), explained that the diversity of sectors has made Berlin one of the global hotspots for startups. Dr Zimmermann highlighted the German Startup Strategy 2022-2025 that outlines 130 concrete measures ranging from new funding mechanisms, cutting red-tape to expanded advisory services. The government also supports the startups ecosystem through the “de.hub initiative” as a gateway to explore partnerships, for expertise and for international outreach.

Indonesia, Southeast-Asia’s (SEA) largest digital economy, is advancing its “Indonesia Emas 2045” vision to become a developed nation by 2045 – with startups expected to contribute 30 % of its GDP. However, despite its status in SEA, Indonesia faces persistent challenges such as limited access to funding and a shortage of digital talent. Mr Muhammad Faisal, Head of Investment and Partnership at the Directorate of Digital Ecosystems Development at MCDA discussed Indonesia’s efforts to tackle funding gaps and shortages through innovation-friendly regulations, human capital development and strategic funding programmes.  

Panel discussion on possible joint actions

A panel discussion brought together startup leaders and ecosystem builders from both countries: Mr Marten Rauschenberg, CEO of Asia Berlin Forum, Ms Corinna Martin, Global Project Manager German Accelerator of Start2 Group, Mr Daniel Tumewu, Founder and CEO of HI Incubator and Mr Indra Permana Sopian, CEO and Co-Founder of BETA Unmanned Aircraft Solutions.

The panellists collectively stressed the importance of platforms for collaboration as all as the need for an optimised digital infrastructure and regulatory clarity. They also suggested to promote private-university-government partnerships and to connect local ecosystems, e.g. by establishing a network to link startups from both countries.

Participants from government, academia and business sectors engaged in lively discussions, stressing that the ecosystems should not only grow for wider market access – but also for building long-term networks, partnerships, and a global mindset.

The exchange set the stage for deeper collaboration between Indonesia and Germany to power resilient and inclusive digital startup ecosystems.