Government: Startups Should Become the Driver of Economic Growth
The Government of Indonesia continues to encourage the development of startups in the country. A variety of methods are carried out to achieve this goal. One of them is through the Innovator Innovation Indonesia Exhibition (I3E) which is conducted by the Ministry of Research, Technology, and Higher Education.
This 2019, tech startup exhibition is scheduled to be held on October 4-6, 2019 at the Jakarta Expo Center (JCC) Senayan, Jakarta. The organizer targeted to invite 24 speakers. Then, the event would be followed by 396 exhibitors from startups, involving 16 thousand audiences, and 36 universities across Indonesia.
In a press conference to introduce this event at Plaza Senayan, Mohamad Nasir, the Minister of Research, Technology, and Higher Education revealed that this activity is one of the government’s efforts to encourage the development and growth of startups in Indonesia.
The exhibition became one of the means to promote technology innovation and products created by Indonesian youth generations to the wider community. Therefore, the innovation from innovators can truly benefit the community and eventually grow the industrial sector, particularly answering the challenges of the industrial revolution era 4.0.
The Government Effort to Promote the Love of Technology
Moreover, it is also said that an exhibition is a form of effort by the government to introduce and instill the love of technology from innovative startups. As a result, the public can take advantage of innovation in today’s industrial world. Eventually, it can be made into a commodity.
In addition to exhibiting the results of innovation, this year’s I3E will carry out other activities as well, such as business and tech seminars, business talk shows, speed dating, business coaching, and technology idea competitions. A total of 500 investors were also invited to attend this event.
In this case, investors are expected to have a business meeting with startups. Nasir said that the ministry currently manages as many as 1,307 startups, consisting of 749 technology-based startups and 559 prospective technology-based startups. He also said that the ministry disbursed funding for the startups.
Nasir added that the fund reached IDR 4.3 billion for 13 startups with mature businesses. These thirteen startups have now generated a turnover of more than IDR 102 billion. From 1,307 startups, there are currently 79 companies with a turnover of IDR 100 to IDR 500 million.
The Growth of Startups under the Ministry of Research, Technology, and Higher Education
Besides, it is also said that 17 companies under the management of this ministry have gained a turnover of IDR 500 million to 1 billion. The government itself hoped that the startups will continue to grow and produce a turnover of IDR 1 to 10 billion.
“This way, startups can support the Indonesian economy,” Nasir added. It is recognized that several startups that received funding from his ministry are failed. Most of the failures were caused by the lack of marketing by 22% and poor management by 18%.
Then, 15% of them are failed because of bad management. Others are failed because the receivers manage to become civil servants or work in private companies. Those which are failed will be incubated in the center of technology business incubation.