Indonesia’s tech scene is buzzing with fresh momentum from international collaborations and domestic innovations, especially in AI and digital payments. The standout event today is the ongoing 22nd China-ASEAN Expo in Nanning, China, where Indonesian startups are showcasing AI tools for supply chain management and sustainable tech. This expo, running through September 21, 2025, highlights growing ties between Indonesia and China in high-tech areas like blockchain and digital infrastructure. It matters because it could unlock new funding and partnerships for Indonesian firms, strengthening the country’s digital economy amid Southeast Asia’s push for tech self-reliance. Experts at the event noted potential for billions in cross-border investments, though exact deals remain under wraps for now.

On the home front, Indonesia’s government is ramping up support for young talent in gaming and AI. A new initiative announced today backs student game developers with resources and training, aiming to position Indonesia as a global player in digital entertainment. This follows reports of the country spending $1.8 billion annually on AI infrastructure, much of which flows overseas—highlighting a need for local solutions to cut costs and build independence. Why it matters: With Southeast Asia’s unicorn startups evolving toward profitability over rapid growth, as seen in a recent analysis of the region’s 2025 landscape, these moves could create jobs and retain tech talent, potentially adding to the 12 lakh jobs already generated by Indian startups in a similar ecosystem (though Indonesia’s figures are still emerging).

Digital payments are also in the spotlight, with QRIS—Indonesia’s unified payment system—drawing praise for transforming transactions but facing criticism from the US as a potential trade barrier. Posts on X today reflect excitement around this, alongside OJK’s new Regulation 27/2024 on tokenized real estate, which provides legal clarity and could make Indonesia a hub for Web3 in Southeast Asia. These developments signal a maturing startup environment focused on regulation and innovation, but uncertainties linger around foreign investment flows and enforcement.

What to watch for next: Keep an eye on any concrete deals emerging from the China-ASEAN Expo in the coming days, as well as updates on AI talent programs that could lead to new startup funding rounds by early October.