Artificial Intelligence law at Indonesia
Indonesia is actively developing a regulatory framework for artificial intelligence (AI), though as of May 2025, no comprehensive national legislation has been enacted.
Existing Legal Frameworks
While a dedicated AI law is pending, several existing regulations address aspects of AI:
Electronic Information and Transactions Law (EIT Law, Law No. 11/2008, amended by Law No. 1/2024): Defines AI as an "Electronic Agent," a device in an electronic system operated by a person to automatically perform actions on electronic information. This classification subjects AI systems to general principles of electronic transactions, including prudence, security, and consumer protection .(Lexology)
Personal Data Protection Law (Law No. 27/2022): Regulates the collection, processing, and storage of personal data, which is pertinent to AI applications that handle such data.
Government Regulation No. 71/2019: Outlines the implementation of electronic systems and transactions, emphasizing principles like security, efficiency, and consumer protection, which apply to AI service providers .(Lexology)
National AI Strategy
In 2020, Indonesia launched the National Strategy on Artificial Intelligence 2020–2045 (Stranas KA), developed by the Agency for the Assessment and Application of Technology (BPPT). This strategy serves as a roadmap for AI development, focusing on ethical considerations, data governance, and sectoral applications like disaster management and smart traffic systems .(LinkedIn, Practice Guides)
Recent Developments
Circular Letter No. 9/2023: Issued by the Ministry of Communication and Informatics, this non-binding guideline outlines ethical principles for AI use, including transparency, accountability, and human oversight .(Mondaq)
Financial Sector AI Governance Framework: In early 2025, the Financial Services Authority (OJK) released a governance framework for AI in banking, emphasizing responsible innovation, risk assessment, transparency, and data governance .(BABL AI)
AI Governance Bill Drafting: In April 2024, the Ministry of Communication and Informatics announced the commencement of drafting a comprehensive AI governance bill, aiming to establish a clear regulatory framework by the end of 2024 .(DPA)
Outlook
Indonesia is progressing towards a more structured approach to AI regulation, balancing innovation with ethical considerations. Stakeholders, including AI developers and users, are encouraged to stay informed about forthcoming regulations and participate in consultations to shape the evolving legal landscape.
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