Jakarta, 26 June 2025 – Following the global launch of the 2025 Human Development Report (HDR), the United Nations Development Programme (UNDP) Indonesia, together with the Ministry of National Development Planning (BAPPENAS) and the National Economic Council (DEN), convened a high-level policy dialogue to mark the launch of 2025 Human Development Report,  in Jakarta, titled “A Matter of Choice: People and Possibilities in the Age of AI. Against the backdrop of the HDR launch, the interactive dialogue explored how Indonesia can harness Artificial Intelligence (AI) and digital transformation to drive inclusive and sustainable human development.

Released globally in May 2025, the HDR notes a global slowdown in human development progress and widening inequalities between high- and low-Human Development Index (HDI) countries. However, it also emphasizes the potential for innovation—especially in areas like artificial intelligence (AI)—to help reignite progress and create new possibilities for people everywhere.

“AI is not the first wave of disruption the world has faced, nor will it be the last. History has shown us through the agricultural and industrial revolutions, and now the digital age, that the real question is not about technology itself, but how we govern it,” said Ms. Vivi Yulaswati, Deputy Minister for Economic Affairs and Digital Transformation, BAPPENAS. “The key to equitable transformation lies in inclusive policies and adaptive governance. That is why Indonesia is actively developing a national AI strategy, one that reflects our values, addresses our development priorities, and ensure no one is left behind,” she added.

The Dialogue brought together over 60 representatives from government, civil society, private sector, academia, youth, and development partners. Designed as a dynamic, interactive discussion, the session tackled three core themes: i) how to leverage AI to advance inclusive development, ii) the ethics and governance of AI and digital transformation, and iii) how AI will shape the future of work amid rapid technological advancement.

“Digitalization and AI are reshaping societies. The key question is: how can we ensure this transformation lead to more inclusive, equitable outcomes?” said Sujala Pant, UNDP Indonesia Deputy Resident Representative. “This report challenges us to see AI not only as a tool, but as a moment of responsibility, to design policies that put people at the center.”

Indonesia continues to make steady strides in human development. In the 2025 Human Development rankings, Indonesia ranked 113^th out of 193 countries—marking a step up from 114^th in the 2023/24 ranks, with an HDI score of 0.728, placing it within the "high human development" category. This position reflects ongoing improvements in key areas such as health, education, and income. Indonesia’s consistent progress demonstrates the country’s commitment to enhancing the quality of life for its citizens and narrowing development gaps.

With a young, tech-savvy population and rapidly growing digital infrastructure, Indonesia is well-positioned to show how AI can be harnessed to enhance education, jobs, and public services, placing people’s needs and capabilities at the center of innovation. To unlock this potential, the dialogue highlighted the importance of expanding equitable access to digital infrastructure, strengthening digital literacy, and establishing clear, ethical frameworks for safe AI use.

Building on this, the discussion explored three critical dimensions of AI’s impact on human development. First, participants discussed AI’s potential to transform public services, education, and healthcare, but only if it reflects diverse needs and local realities. Second, it underscored the need for ethical governance and cultural relevance as many AI systems are shaped by the perspectives of high-HDI countries, which may not fully reflect Indonesia’s diverse context. Finally, the future of work emerged as an area of particular interest and concern, where AI’s potential to boost productivity must be matched by proactive policies and investments that equip all Indonesians—especially youth and informal workers—with the skills and protections needed to thrive in an AI-driven economy. 

The experts' insights echo the results of the global AI and Human Development survey carried out in 21 countries including Indonesia, which reveals that while there is widespread optimism about AI’s potential to improve lives, there is also growing concern over unequal access, lack of regulation, and the risk of deepening social divides. The report calls for a new approach to policymaking, one that prioritizes inclusion, accountability, and long-term resilience in the face of rapid technological change. At its core, the message is clear: AI must be treated not just as a technological shift, but as a societal choice, and the decisions made now will shape the future of development for decades to come.

Minister for Human Development and Cultural Affairs, H.E. Mr. Pratikno stressed the importance of Indonesia’s human-first approach in navigating AI's rise, “AI without a human center, AI without inclusion, is AI that fails. Let us ensure technology stands on the pillars of justice, unity, and truth, empowering humanity, not replacing it. From human values springs technological wisdom; from ethical design, sustainable progress.”

The 2025 Human Development Report is available at https://hdr.undp.org/content/human-development-report-2025 

***

Media Contact: 

Nabilla Rahmani, Head of Communications UNDP Indonesia

nabilla.rahmani@undp.org

About UNDP: 

UNDP is the leading United Nations organization fighting to end the injustice of poverty, inequality and climate change. Working with our broad network of experts and partners in 170 countries, we help nations to build integrated, lasting solutions for people and the planet. Learn more at undp.org or follow at @UNDP.