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Coordinating Economic Minister Airlangga: No one celebrates the holidays without shopping
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T
he public’s increasing interest in online shopping is fully supported by the government through economic policies that favor small and medium enterprises (SMEs) and the community. For the past 12 years, the government has supported National Online Shopping Day (HARBOLNAS), initiated by the Indonesian E-Commerce Association (idEA), which is celebrated every Dec. 12. This initiative has proven to drive the growth of Indonesia's digital economy year after year.
Coordinating Economic Minister, Airlangga Hartarto, at the launch of HARBOLNAS 2024 with the tagline #PakaiProdukSendiri, held in Jakarta on Dec. 6, appreciated the ministries, agencies, associations, SMEs, the public and all parties who have enthusiastically supported the HARBOLNAS program, which focuses on SMEs and local industries.
"According to NielsenIQ data, Indonesians are increasingly fond of shopping. This means that if we look at purchasing power, it is still quite strong, with fast-moving consumer goods in the third quarter still growing by 1.1 percent year-on-year [yoy]. Domestic consumption is still rising. We can also track technical goods such as gadgets, electronics, credit and others. There has been an increase, meaning that overall, year-on-year, this [year] will be relatively positive, growing by 4.3 percent," said Airlangga.
Indonesia's digital economy sector is predicted to reach US$90 billion in 2024, with the e-commerce sector contributing significantly, accounting for $65 billion. This means that 72 percent of Indonesia's digital economy comes from e-commerce, with the remainder coming from transportation, food, online travel and online media.
"If we look at the digital sector, it is growing by 13 percent. We are indeed pushing e-commerce as a key economic enabler. The value of this digital economy sector was $80 billion in 2023 and is projected to reach $125 billion in two years," Airlangga explained.
HARBOLNAS 2024 is not just a celebration of online shopping, but a real step to support national economic growth and local products. The HARBOLNAS 2024 program will run for seven days, starting from Dec. 10. Airlangga emphasized that this program must continue to be encouraged. In addition to the HARBOLNAS program, Airlangga supports the Proudly Made in Indonesia program, which also aims at supporting Indonesian SMEs.
With this opportunity, Airlangga explained that e-commerce is not only growing in Indonesia, but also in the ASEAN region. The ASEAN digital economy is predicted to reach $1 trillion by 2030.
"We are preparing the Digital Economic Framework Agreement (DEFA), which is expected to be signed next year in 2025. With ASEAN integration, we are not just talking about a market of 180 million people, but a market of 600 million people," said Airlangga.
Furthermore, Airlangga stated that no one celebrates the holidays without shopping and that this would be supported by a 10 percent reduction in flight ticket prices and hotel promotions. The HARBOLNAS program will also be followed by the Shopping in Indonesia Program from HIPPINDO running from Dec. 20-29. Additionally, the EPiC (Every Purchase is Cheap) Sale from APRINDO will be held in supermarkets and minimarkets across Indonesia from December 22-31.
The launch of HARBOLNAS, BINA and the EPiC Sale coincide with the 2024 Christmas and New Year (NATARU) holiday season, during which it is predicted that 110 million people, or 41 percent of Indonesia's population, will likely increase their consumer activity.
"We have a special program called EPiC Sale, Every Purchase is Cheap. Banks and others will provide discounts. This includes all retailers, including supermarkets. There will be 80,000 outlets participating in the shopping program in Indonesia. Therefore, we hope that this activity will boost consumer purchasing power and contribute to the economic growth of Indonesia in the fourth quarter," explained Airlangga.
In a doorstop session with the media, Airlangga stated that HARBOLNAS 2024 is expected to increase sales from Rp 25.7 trillion in 2023 to Rp 40 trillion.
"Therefore, we hope the public can take advantage of this, as almost all products are discounted, and some offer free shipping," said Airlangga.
Also present at the event were Budi Santoro, trade minister; Maman Abdurrahman, micro, small and medium enterprises minister; Susiwijono Moegiarso, secretary of the coordinating economic ministry; Ali Murtopo Simbolon, acting business coordination and digital economy deputy; Haryo Limanseto, spokesperson for the coordinating economic ministry; and Hilmi Adrianto, chair of the idEA Association. (ltg/tam/fsr)
This article was published in collaboration with Coordinating Ministry for Economic Affairs Republic of Indonesia
