President Jokowi Calls on Young People to Make Breakthrough in Digital Apps
The development in digital technology makes us live in a world without barriers and physical limitations. Countries which are geographically separated can be connected in one world now, namely internet world, President Joko Jokowi Widodo said.
We must consider the benefits and power of digital technology as our golden opportunity, particularly for people who are never touched by formal financial services, President Jokowi said at the Opening of Indonesia Fintech Festival and Conference (IFFC) on Tuesday (30/8), at the Indonesia Convention Exhibition (ICE), Bumi Serpong Damai (BSD), Tanggerang, Banten.
The President mentioned several facts on the difficulties to connect all Indonesian people living in 17,000 islands. Many Indonesian people are still not reached by a simple financial service, for example bank saving service, not to mention a more modern services such as business credit, housing credit, and stock market, the President said.
Those factors, the President added, obstruct people to reach their maximum potentials. They find it hard to do business, to have a house, and to save.
Therefore, President Jokowi admitted that he appreciated several banks which provide services to remote islands, for example Bank Rakyat Indonesia (BRI) with on-boat banking services, or Teras Kapal BRI. Moreover, other banks also have opened branch offices in remote regencies. We must appreciate them, the President said.
The President also instructed the related ministries to make some acceleration and breakthrough measures, they are: first, to expand the range of banking and formal financial institutions services by taking into account the geographical characteristics of Indonesia as an archipelagic country. Second, to improve peoples capacity building in obtaining financial services from formal institutions, particularly those who previously considered unworthy to be worthy, from unbankable to be bankable. Third, to implement policy or regulation that support inclusive financing, including improving financial service access, particularly for micro, small, and medium enterprises. Fourth, to provide protection for consumers that guarantees the security.
To Encourage Invention on Application
President Jokowi admitted that he was glad to know that young people have developed financial technology (fintech) application which will bring benefits for micro, small, and medium enterprises.
For example application for cashier, which is motivated by the difficulties felt by micro and small businesses to get access to bank capital because they did not record the transactions, including revenues and expenditures due to the inconvenience, the President said.
Once application for cashier is launched, President Jokowi believes that there will be application for accounting, and perhaps application for paying tax, as well as other applications. I think it will make small business can access the banking easily, the President added.
President Jokowi also has a vision that there will be an application to help fishermen and farmers get closer with consumers without going through a long chain. They have to pass 4, 5, 6, 7 chains, that make the price for the producers, farmers, or fishermen drops.
If technology can bring fishermen and farmers closer to their consumers, I think it will help micro enterprises, the President said.
President Jokowi also hopes young people can establish a corporation among fishermen and farmers so they can have economic scale as well as access power to the capital and market.
That are the things that were impossible to happen in the past but become reality today. It is because of the fintech, an application of information technology that rapidly develops in Indonesia, President Jokowi said.
On that occasion, President Jokowi also called on all sides to participate in the acceleration of Indonesias inclusive financing. I call on all Indonesian people, young people who work at financial technology and digital technology to make innovations and breakthroughs such as digital application that will bring benefits to increase our inclusive financing, the President added.
The President also called on international communities which have resources and solutions to increase Indonesias inclusive financing and create synergy together.
Coordinating Minister for the Economy Darmin Nasution, Minister of Finance Sri Mulyani Indrawati, Minister of Trade Enggartiasto Lukito, Chairman of Financial Services Authority (OJK) Muliaman Hadad, and Governor of Banten Rano Karno also attended the event. (JAY/FID/ES) (RAS/MMB/YM/Naster)