Unleashing digital economy potential for local development

Abstraksi

Technology has been advancing so much that it has been transforming many aspects of lives. It was predicted by McKinsey that Indonesia can unleash the next level of economic growth to the tune of US$150 billion by going digital. However, digital opportunity would not be effective if scoping only for big cities. This paper objective is to answer on how to support the development of economic digital in villages. As city populations swell, rural communities will get left behind unless there are improvements in infrastructure, connectivity and resilience. Digital economy is needed in reducing the gap between city and village area, some of the ways are through distance learning education and health. The methodology of this paper would be qualitative through Interview, desktop study, reviewing some regulations or related documents, and conducting study or looking through best practices in other countries. We will divide the results of the research from some frameworks: 1. Regulatory Framework will explain about how to shape local policy and regulations that will encourage the use of digital technology in local area. 2. Institutional Framework will elaborate on how to shape technology and human capability in utilizing technology to support the lives of local people. At the end, this paper will explain and discuss the implication of having a clear regulatory and institutional framework in order to improve the lives of people in local area, as well as reducing the gap between central and local areas.