NexICorn Indonesia-Japan Opens Investment Door for Indonesian Startups


JAKARTA, – In a bid to grow the digital economy, the initiative of “Next Indonesian Unicorn (NexICorn)” has been launched.

This initiative is a collaboration between the Ministry of Communication and Informatics, Venture Capitalists for Startups Indonesia (Amvesindo) and Global Consulting Firm Ernst & Young.

NexIcorn aims to produce more unicorn digital startups in Indonesia. NexICorn’s first program was held at Ayana MidPlaza Jakarta on Tuesday (9/12) in the form of Indonesia-Japan Digital NextICorn Meet Up.

There were three agenda. The first was sharing session with the topic related to the Digital Economic Movement by Minister of Communication and Informatics Rudiantara and Deputy for Coordination of Creative Economy, Entrepreneurship and Competitiveness of Cooperatives and SMEs at the Coordinating Ministry for Economic Affairs Rudy Salahuddin.

The second was presenting two Indonesian unicorns of Gojek and Tokopedia to share their experiences in Indonesian market. The last was about NexIcorn as a medium to meet up the startups of Indonesia with the Japanese investors.

The Minister of Communication and Informatics in his speech said the key to investing in Indonesia is the readiness of infrastructure as the main requirement for achieving the economic progress of 2030.

“There are many reasons for investing in Indonesia. In addition to continuing to build infrastructure, the government also keeps improving the business environment including the ease on permits. The legal reforms and Indonesia’s first rank for public confidence in the government are also the factors,” Rudiantara said.

He added Indonesia is the right place for investors to invest, considering the Indonesia’s stable economic growth in the past 10 years; Indonesia will be the top 5 countries with the largest economy by 2030; the demographic bonus of 180 million productive age population by 2030; and the rapid changes to the business environment.

The government has also conducted policy reforms in the ICT sector and the digital economy, among others through the Local Domestic Content (TKDN) policy of at least 40% for 4G smartphones marketed in Indonesia; simplifying the certification process for mobile phones, computers and tablets; and the revision of Government Regulation No. 82 of 2012 on Electronic Management and Transaction System.

The digital economic policy reform is done by the issuance of Negative List of Investment (DNI) stipulated in the Presidential Regulation No. 44 of 2016; Circular Letter of the Minister of Communication and Informatics Number 5 Year 2016 on Safe Harbor Policy; and Presidential Regulation Number 74 Year 2017 on E-commerce Roadmap.

Meantime Deputy Rudy Salahuddin said the programs included in E-commerce Roadmap for 2017-2019 are logistics, cyber security, ICT infrastructure, education and human resources, funding, and consumer protection.

The Target of One Unicorn Startup Each Year

Minister Rudiantara said he hoped the meeting between the e-commerce community of Indonesia and Japanese investors will encourage the birth of new startup unicorns in Indonesia.

Unicorns Gojek and Tokopedia were asked to represent the 45 startup companies attending the NexIcorn to share their experiences in the Indonesian market. Rudiantara targets to see one new unicorn per year.

He also said that this event is the government’s first step in inviting foreign investors.

“This is the first step to build a digital ecosystem. We will also come to the countries that are considered to have potentials to invest in Indonesia. We cannot be passive but pro-active to sell Indonesia in a positive way,” said Chief RA, Rudiantara’s nickname.

The 45 startups attending the NexIcorn held one on one meetings with potential investors from Japan. They used the opportunity to present their ideas to the investors. (JPP/TPP)