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EngageMedia has launched research on the procurement of Artificial Intelligence (AI) technologies by the Indonesian Government between 2021 and 2024. This study, authored by researchers Wana Alamsyah and Rizky Razmawardhana, was first published during the session titled “Wishful thinking: Meaningful civil society participation in AI policymaking, innit?” moderated by Violla Reininda from the Center for Law and Policy Studies (PSHK). The session also featured two other panellists: Dr. Jun-E Tan from Khazanah Research Institute and Maria Karienova from the Pulitzer Centre, at the Digital Rights Asia-Pacific Assembly held on August 26–27, 2025, in Kuala Lumpur, Malaysia.
The research was driven by the finding that the Indonesian government allocated IDR 75 trillion to accelerate digital transformation between 2019 and 2022. One of the primary focuses was the adoption of AI technologies in the public sector to enhance efficiency, transparency, and the quality of government services. For this research, the researchers conducted a search within the procurement channels of the Indonesian Government’s Procurement Policy Agency (LKPP), utilising 28 keywords throughout the 2021-2024 procurement period.
Key Findings and Recommendations
The research team highlighted several key findings, including:
- Huge funds with minimal accountability: There were 264 AI technology procurement packages with a total contract value of IDR 4.71 trillion, with 24.62% of those contracts cancelled without clear explanations.
- Focus on infrastructure, neglecting feasibility studies: Procurement was dominated by the purchase of goods and other services (such as cloud computing and big data) totalling IDR 1.87 trillion, while consultancy services were allocated IDR 62 billion.
- Unsecured AI for security: The procurement of facial recognition technology (biometric recognition) and electronic traffic law enforcement (E-TLE) is underway, but it has yet to address core security concerns despite expectations to support law enforcement in Indonesia.
- Regulatory needs for cyber incidents: Between 2021 and 2024, Indonesia experienced various cyberattacks and data breaches, including the PDN data leak, which caused servers to crash for an extended period.
Further Reading: 2022-2024 Media Monitoring 2022-2024: Documenting the Impacts of Artificial Intelligence (AI) in Indonesia?
Based on these findings, the authors recommend the following actions:
- Strengthening planning and justification for AI procurement needs
- Increasing transparency and accountability in procurement processes
- Implementing human rights and ethical principles in AI procurement
- Building capacity and providing training for AI technology users
Further Reading: Breaking Boundaries: Centering Human Rights in the National AI Strategy Towards #GoldenIndonesia2045
For a more detailed analysis, the full report is available below.