The Indonesian authorities are studying the possibility of using the blockchain in the field of data management. Technology is assumed to be distributed registry will be used in both public and private sector of the economy, affecting various industries — from food production to processing election results and trade Finance.
According to Reuters, Director of financial innovation the financial services authority (FSA) of Indonesia Fitri Hadi (Hadi Fithri) said that the Ministry set up a special group to study applications of technology in the financial services industry of the state.
Authorities hope that the blockchain will help to solve the problem of bribery in the framework of the state programs, increasing the level of responsibility and control.
For example, the size of subsidies for farms in Indonesia are directly dependent on the yield of past years — data that are quite difficult to verify, whereas a high probability that the numbers may be inflated. The government planned the creation of blockchain system that validates information from recipients of funding.
According to the Minister of Finance Sri Mulyani Indrawati (Sri Mulyani Indrawat), staff of the Ministry is also studying the possibility of using the blockchain for programs, microloans and grants, and identify those groups that need them.
In addition, it is assumed that the blockchain can increase the reliability of the verification process of the election results.
In particular, we are talking about the project of an Australian company, Horizon State, conducting surveys of voters, which in July plans to introduce a mobile application for a direct vote on local political issues on the Indonesian island of Sumatra.
Platform Horizon State allows voters to participate in collective decision-making process that must become an efficient instrument of increasing efficiency, decentralization and ease of use. In the words of co-founder Naamani of Nimo (Nimo Naamani), the system of the exit polls developed especially for the Indonesian state, whose population is scattered on 17,000 Islands, can reduce the level of fraud in the elections.
With regard to the interest of private companies to the blockchain, several initiatives are also already being implemented in the state.
Online Pajak, a company that develops solutions for e-tax Declaration, introduced blockchain app that will allow users to exchange encrypted tax data with financial institutions and banks. The company’s founder Charles Guinot (Guinot Charles) said that the tool for the first time guarantees the safety of this data, which will save taxpayers from false accusations of non-payment — this problem is still relevant in the country.
The company also provides an additional level of authentication for the results of the election that is implemented by creating an API key for authentication and then create the user ID.
To work with technology, plan and financial institutions. Bank Mandiri, the second largest Indonesian Bank, is exploring the possibility of using technology for trade Finance. According to the Director of the Bank on digital banking and technology Rico Octavia Frans (Frans Usthavia Rico), the lender now expects the leadership of the regulators.
Meanwhile, the largest private Bank in Indonesia, Bank Central Asia (BCA) has invested 200 billion rupees, which is approximately $15 million in FINTECH startups and companies. The Bank is also the founder and owner of 100% stake in the new company venture capital Central Capital Ventura. According to the official statement by the BCA, the investment must bring direct benefit to the Bank.
However, according to Irina, Juniardi (Iwan Djuniardi), Director of transformational technology of Tax administration, introduction of technology in Indonesia can flow slower than in other countries, since management change of this level takes time — so, for example, the introduction of cloud technologies is still under discussion in the country.
Recall that developing countries are increasingly turning to innovative technologies. Recently it became known that the blockchain will be used in the agricultural sector of Ethiopia and the energy sector of Chile.
At the same time in Russia, the blockchain will be transferred to the System of transmission of financial messages (SPFS) is the Russian counterpart of SWIFT.