Indonesia's Demographics in the Digital Era: Opportunities and Challenges Towards a Golden Indonesia 2045

Abstract

Indonesia's demographic potential in the digital era offers significant opportunities but also presents challenges as the nation strives toward the vision of Golden Indonesia 2045. This research aims to explore the impact of technological advancements, particularly artificial intelligence (AI), on Indonesia’s demographic landscape, including social inequality, urbanization, unemployment, and skilled labor migration. The research employs a descriptive-analytical method, leveraging secondary data from sources such as the Central Statistics Agency and the Indonesian Internet Service Providers Association. The findings reveal significant digital and socio-economic disparities between urban and rural areas, with lower internet penetration and ICT skills in rural regions exacerbating inequality. Automation and AI further contribute to job market polarization, threatening low-skilled jobs while creating high-skilled employment opportunities. Urbanization amplifies issues such as congestion, air pollution, and housing shortages, while the migration of skilled workers abroad hinders domestic development. The research highlights the necessity of inclusive policies to bridge digital divides, investments in digital infrastructure and education, and tailored smart city and smart village initiatives to support equitable development. These strategies are critical for leveraging technology to ensure sustainable and inclusive growth, aligning with Indonesia’s demographic goals in the digital era.