The “Digital Transformation Strategic Implementation Plan (2020–2024)” outlines Indonesia’s Ministry of Finance’s (MoF) ambitious agenda to digitally transform its operations, improve public financial management (PFM), and enhance service delivery. The report emphasizes leveraging technology to address systemic inefficiencies and support Indonesia’s long-term economic growth.
Key Components:
- Vision and Objectives:
- Build a data-driven, digitally enabled ministry by 2024.
- Improve operational efficiency, fiscal transparency, and service delivery for citizens and stakeholders.
- Strategic Priorities:
- Integration of Planning and Budgeting Systems: Streamline planning and budgeting to align outputs with outcomes.
- Simplification of Budget Execution: Digitize processes to reduce inefficiencies.
- Unified Revenue Account Management: Integrate tax, customs, and non-tax revenue systems using unique identifiers.
- State Asset Management: Optimize the economic benefits of state assets through improved oversight and utilization.
- Human Resource Development: Implement modern e-learning tools and centralized HR systems to build a skilled workforce.
- Open API and Big Data: Leverage technology for data sharing and analytics to support the “Satu Data Indonesia” initiative.
- Implementation Framework:
- Emphasizes change management, governance, and resource mobilization to ensure seamless adoption of initiatives.
- Focuses on prioritizing high-impact initiatives to maximize resource efficiency.
- Expected Outcomes:
- Enhanced fiscal accountability and efficiency.
- Increased citizen satisfaction through streamlined service delivery.
- Improved state revenue collection and resource optimization.
Preparation of the Report
This report was developed by a World Bank team led by Arun Arya, Senior Public Sector Specialist and Task Team Leader for Indonesia’s Public Financial Management Program. The team received critical technical and advisory support from Ernst and Young (EY), ensuring the recommendations aligned with global best practices and Indonesia’s specific needs.