Indonesia wants AI running its government, starting with a troubled free-meals program

Indonesia is preparing to deploy artificial intelligence across its largest state programs, with its scandal-hit $15 billion free school meals scheme at the center of the push. A draft presidential regulation, not previously reported before Reuters reviewed it, lays out a roadmap for ministries and regional governments to adopt AI from 2026 to 2029 and is currently awaiting President Prabowo Subianto's signature.

The government believes the strategy could lift gross domestic product by 12% by 2030. The draft estimates AI could add $366 billion to Indonesia's economy by that year and requires government agencies to report risks related to biometrics, intellectual property violations, and deepfakes.

AI as a fix for a program under fire

The Free Nutritious Meals program, known by its Indonesian acronym MBG, was among Prabowo's main campaign promises during the 2024 presidential election, with the aim of providing free meals to 83 million children and pregnant women across Indonesia. For the meals scheme specifically, AI would be used to design regional menus, track kitchen hygiene, forecast food demand, and flag spending irregularities.

The timing is pointed. Indonesian authorities arrested the head of the body responsible for the free school meals program a day after he was removed on concerns including food quality, with the program blighted by mass food poisonings and corruption claims. The former agency chief told parliament last year the program was responsible for at least 11,000 poisoning cases, with over 600 people hospitalized.

The program has faced criticism over transparency, safety standards, and spending, particularly after reports of food poisoning among thousands of children and allegations of irregularities in kitchen operations, with the government arguing AI can improve efficiency and reduce costs.

Big tech involvement and skepticism

Companies like @Meta, @IBM, and @Microsoft contributed to the draft, according to Wahyudi Djafar, a tech analyst who wrote parts of the regulation and is a member of the AI government task force. In 2024, Microsoft said it would invest $1.7 billion over a few years in expanding cloud services and AI in Indonesia.

Indonesia's progress on AI has been slow when compared with Singapore and Malaysia, and critics have not been won over by the new plan, calling the effort so far all rhetoric given real gaps in infrastructure and skills. The draft also proposes a sovereign AI fund managed by Danantara Indonesia, incentives for AI researchers, and measures to address talent shortages.

Sources:
The Jakarta Post: Indonesia arrests sacked head of free meal scheme
Stratfor/StratNews Global: AI to power Indonesia's free meals scheme under new draft
The Diplomat: Indonesia announces changes to free meal program