Politics of ICT in Southeast Asia

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1 th ASEAN Forum Politics of ICT in Southeast Asia Bandung City Command Center Drone School in West Kalimantan Okamoto Masaaki (CSEAS, Kyoto University)

2 ASEAN in the Last 15 Years & the Coming 15 Years? Coming and Rapid Development of ICT Society The Industries of the Future (by Alec Ross) Disparity in the Post-Cold War Eastern Europe Ukrine(45.20 Mil.) vs Estonia(1.31 Mil.)

3 The Future of Technology Development The Inevitable: Understanding the 12 Technological Forces that will shape our future Becoming, Cognifying, Flowing, Screening, Accessing, Sharing, Filtering, Remixing, Interacting, Tracking, Questioning, Beginning Dematerialization Decentralization Real-time On Demand Platform Synergy Clouds

4 Dematerialization Using Less Material The total amount of material the US citizen use to generate a unit of GDP In 1870, 4kg In 1930, 1kg In 1977, 0.61kg In 2000, 0.28kg Digital Technology Products to Services Ownership to Access

5 ICT-ized ASEAN Countries Number of Internet Users in 2000 and 2016 Population (2016) (Japan and ASEAN Countries) Internet User (2000) Internet User (2016, 6) Increasing Rate (00 16) Penetration Japan 126 Mil. 47 Mil. 115 Mil % ASEAN Countries 643 Mil Mil. 275Mil % ASEAN Countries Population Internet User Internet User Increase Facebooker Facebook Penetration (2016) (2000) (2016,6) (00 16) (2016,6) Penetration Indonesia 258,316,051 2,000,000 88,000,000 43times 34.1% 88,000, % Malaysia 30,949,962 3,700,000 21,090, times 68.1% 19,000, % Myanmar 56,890,418 1,000 11,000, times 19.3% 11,000, % Philippines 102,624,209 2,000,000 54,000,000 26times 52.6% 54,000, % Thailand 68,200,824 2,300,000 41,000, times 60.1% 41,000, % Vietnam 95,261, ,000 49,063, times 51.5% 40,000, % [Source:

6 ICT-ized ASEAN Countries(2016) Mobile HP Population % of the Adult Population Owners Ratio HP Smart Phone PC Tablet Japan 173.3Mil. 137% 88% 54% 89% 18% Indonesia 326.3Mil. 126% 85% 43% 15% 4% Malaysia 43.4Mil. 142% 96% 71% 35% 14% Philippines 119.2Mil. 117% 87% 55% 43% 24% Singapore 8.2Mil. 145% 96% 88% 71% 42% Thailand 82.8Mil. 122% 96% 64% 27% 11% Vietnam 143.0Mil. 152% 93% 55% 46% 12% [Source:

7 76% Internet population is still growing Fast Src: emarketer 2015 Indonesia Internet users 100m users in 2016 (40% penetration) Majority Internet users are 15-24, University Graduates [source: Enda Nasution 2017]

8 But, in Indonesia [source: Enda Nasution 2017]

9 Question How Has ICT-ization Been Transforming the Society, Politics and Economy? Cases from Local Indonesia

10 Light and Shadow of ICT-ization Significant Impacts on Every Aspect of Life in Southeast Asia The Fourth Industrial Revolution? Could be bad or good, up to Actors Key: Z Generation (Born in ) (Government)Transparency, Speedy, Decentralization, Participation, Equalization (Global) Online Network Less Private Space, Surveillance Society, Always-Online, Myopic, Demystifying Vertical Authority, Frequent Terorism

11 Socio-political Transformation in ASEAN Countries Equalization:Bangkokian Lifestyle in Northeast Thailand Inclusion: Accelerated LGBT Movement Democratization(Undermining Socialist/Authoritarian States): Anti Street Plant Cutting in Hanoi Bersih Movement in Malaysia Rise of Opposition Party in 2013 Election in Cambodia

12 Sinar Project in Constrained Environment of Malaysia To SEA:

13 Socio-political Transformation in ASEAN Countries Disparity: Digital Divide Divided Online Access in Bersih Movement in Malaysia Exclusion: Fierce (Religious, Nationalistic, Moral) Backlash against LGBT Movement State-Surveillance: Crack Down on Red Shirt by Thai Military Indonesia?

14 Impact of ICT-ization in Indonesia Idol Twitter, Idol Voting Online Hijabers Community Mobile Quran, Online Religious Advice ( Changing Reference on the Justice) Lonely Suicide Terrorism using Online Bomb Making Manual Rapid Increase of Radical Islamism Website(Government Ban on 22 Websites in 2016)

15 Social and Political Impact Election of Joko Widodo as President Born in a Poor Family Famous University Businessman Mayor Jakarta Governor President Democratization(1998-) Decentralization(2001-) Local Head s Political Will and Achievement for Success and Popularity ICT: Cyberspace Strategy(Election, Policy, PR) Focus: Transformation in Local Indonesia In Urban and Rural Areas

16 ICT-ization in Local Indonesia Jembrana District (Bali) J-ID (Welfare, Voting and others) Surabaya City (East Java) e-musrenbang, e-budgeting, Surabaya Single Window Jogjakarta City e-office, e-procurement Banten: Fake e-procurement

17 ICT-ization in Local Indonesia: Bandung City Bandung Mayor: Ridwan Kamil One of the Three Reformist Local Heads Leading E-governance Keys:Reformation Collaboration and Decentralization UNESCO Creative City Network (Design)(2015) Smart City Award (Digital Economy No.1))(2016) Population:2.4 Million Facebooker:2.1 Million Cf. Mayor s Instagram:4 Million! 60% of the Population: <40 Higher Institutes:30< SMEs:55% of GRDP

18 Online Power New Business Promotion Registration is Enough for a Business with USD 5000 (30,000 New Businesses in Six Months) Capital Fund with Less than USD 3000: No Collateral For a Group (More than 5 Persons) Finance(10,000 Finance Plans in One Year, No Arrear) Market: Collaboration with Onlines Shop (Tokopedia) (Annual 16 Million Transaction) Special Page for Bandung City in Facebook(First in ASEAN)

19 Online Power Decentralization More Than 50 Mayor s Routine Authorities to Sub-District Heads Rp.100 Mil. to Each of 1561 Neighborhood Associations Rp.100 Mil. to Each of 151 Town-Level Groups Transparency Online Everyday Report Obligation by Town Head, Sub-district Head Obligation to Prompt Response to Community s Complaints

20 Mayor s Popularity: 80 Just in a City?

21 Bottom-up Rural Transformation Momentum: Village Law in 2014 Decentralization to Villages (Third Wave of Democratization) Road Map for Village Fund ( ) Allocation to Local Governments 637, , , ,037, ,118, Percentage of Village Fund 1.42% 6.40% 10.00% 10.00% 10.00% Amount of Village Fund (million rupiah) 9, , , , , Percentage of Village Fund per Village (million rupiah) , , , Total Amount of Allocation for All the Villages (from National and Local Govs.) Total Allocation to Each Village (million rupiah) 44, , , , , , , , , Village Empowerment for Sustainability, Democracy and Autonomy

22 Economic Benefit 22

23 Village Empowerment? In Java:Easier( Utilization of Online Application) Game My Village Bojonegoro District:Data Revolution at Village (NGO+CSR)

24 Village Empowerment? Out of Java Starting from Almost Nothing, Bordering Village, Certifying Land( a Must for Village Fund and Mid-Term Village Plan Long-Term Perspective Trail and Error: Worthy of Trial for Sustainably Village Empowerment Ex: Utilization of Drone

25 Conclusion ICT-ization: Positive and Negative, but Noticeable Positive Side at Local-level (at Least until now) Positive Transformation Movement Down to Rural Areas For a While Digital Dividend Enhance the Social/Economic/Political Life in General, but not always Lead to Reduce the Regional and Local Disparity Continuing Digital Divide ICT Trial: Business as Usual in the Future Slowing Down the Reformation Process

26 Conclusion Political Factors such as Change of Local Head Serious Destabilizing Factors for Further Reformation Sharing the Idea of Persistence Pays Off among Stakeholders: Key for Long-term Local Development ICT-ization: Positive Transformation at Local Level, but Positive at National and Global Level?

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