BI Governor Claims Artificial Intelligence Will Change Indonesia's Economic Landscape

Tempo.co

7 August 2023

Jakarta - The Governor of Bank Indonesia (BI) Perry Warjiyo said that artificial intelligence (AI) will change Indonesia's economic landscape during a virtual discussion with the theme "The Future of Indonesia's Economy in the Era of AI" held by Indonesian Bachelor of Economics Association (ISEI).

According to Perry, AI is starting to be utilized in various sectors including the economy, such as manufacturing, finance, health, and transportation. He quoted the survey result from Price Waterhouse Cooper (PwC) that mentioned AI implementation is intended to improve productivity and decision-making quality. "And to help innovate products and services," said Perry during the discussion on Monday, August 7, 2023.

Perry also mentioned that the data from McKinsey Global Institute that estimated the global economic potential of AI to reach US$2.6 trillion, even US$4.4 trillion. "That's the potential of AI and its derivatives. How AI is utilized will also affect the economic landscape in Indonesia," said Perry.

Meanwhile, ISEI Secretary Yan Partawidjaja explained that AI is currently the main theme of various multidimensional discussions, especially with the release of ChatGPT by the US-based AI company, OpenAI.

Questions arise along with the rising popularity of AI, including about the adaptation between decision-makers and entrepreneurs and the worst-case scenario for developing countries such as Indonesia. "Along the way, questions will be asked about how rational expectations work in relation to fiscal and monetary regulations when we ask AI for the best possible outcome," Yan concluded.

(Moh. Khory Alfarizi)