Vast potential of country’s digital industry remains largely untapped, says venture capital firm
15 Mar 2021 |
Tom King
Indonesia, Southeast Asia’s largest economy, and also its most populous nation, launched its own sovereign wealth fund last month. The Indonesia Investment Authority (INA) was inaugurated with US$1.1 billion startup capital from the Indonesian government and is expected to receive a further shot of US$5.4 billion from the country’s 2021 budget. The INA will be a strategic partner for domestic and international investors and is initially expected to focus on infrastructure developments.
In Indonesia, old fortunes were built in sectors such as oil and gas, minerals, crude palm oil, rubber products and manufacturing. But according to Jakarta-based Chandra Tjan, co-founder and general partner at Southeast Asia venture capital firm Alpha JWC Ventures, venture capital will be the new wealth creation vehicle in the next five years.