Indonesia e-KYC Market size is projected to increase at a CAGR of 15.1% and Indonesia Digital Signature Market size would grow at a CAGR of 14.7% during 2024-2030

The Identity Authentication & Matching segment in terms of type dominated the Indonesia e-KYC Market by attaining the highest revenue share – 6Wresearch

By Type, in 2023, the Identity Authentication & Matching segment held the majority of the revenue share in the Indonesian e-KYC market due to the country’s strict regulatory requirements, rapid digitalization, technological advancements, fraud prevention needs, and the pursuit of improved customer experiences. As the digital economy continues to evolve, the demand for e-KYC is expected to remain strong, driving further growth in the market.

According to 6Wresearch, Indonesia e-KYC Market size is projected to increase at a CAGR of 15.1% and Indonesia Digital Signature Market size would grow at a CAGR of 14.7% during 2024-2030. Indonesia e-KYC market evolved significantly in the last few years driven by the BFSI sector. This was catalyzed by an increasing shift towards digital banking and fintech innovations, where e-KYC plays a critical role in streamlining customer onboarding processes and enhancing security measures. For instance, the adoption rate of e-KYC among new banking accounts has surged from 20% in 2018 to over 60% in 2022, underscoring a significant uptrend.

Further, landscape is shaped by the confluence of heightened regulatory requirements and the burgeoning need for seamless customer experiences. Moreover, the Indonesian government has played a pivotal role by implementing regulations that not only mandate the use of e-KYC solutions but also bolster consumer confidence in digital transactions. Noteworthy among these is the Financial Services Authority's (OJK) regulation on digital financial innovation in financial services, which fosters a conducive environment for e-KYC technologies by clarifying compliance pathways.

The digital signature market in Indonesia is currently undergoing a significant transformation, spurred by several factors contributing to its expansion such as the escalating incidence of digital fraud, which totalled $1.2 billion between 2017 and 2021, urging businesses to seek secure methods for digital transactions. Moreover, the surge in eCommerce, escalating by 110% due to COVID-19, has necessitated digital signatures, reflecting the consumer shift from offline to online shopping.

As businesses adapt to the new normal amid the pandemic, the demand for digital solutions facilitating remote transactions and contract signings has soared. E-signature technology has emerged as a crucial tool in this context, enabling organizations to ensure operational continuity while adhering to physical distancing measures. This trend is evidenced by Jakarta-based e-signature providers Digisign and PrivyID experiencing significant growth in customer requests, with Digisign witnessing a 50% increase and PrivyID recording a remarkable surge of 350% from February to March 2020.

According to Parth, Senior Research Analyst, 6Wresearch, the BFSI sector will lead Indonesia's digital signature market by 2030 due to its need for robust security measures, regulatory compliance with KYC and AML requirements, and rapid digital transformation. Online banking, digital loans, and fintech innovations drive demand for secure and efficient digital signature solutions, ensuring high revenue share.

Indonesia e-KYC & Digital Signature Market (2024-2030) report provides an in-depth analysis with 25 figures and 6 tables, covered in 98 pages. The report comprehensively covers the Indonesia e-KYC Market by type, deployment mode and end user and Indonesia Digital Signature Market by type, deployment mode and end use. The report provides a detailed as well as unbiased analysis of the ongoing drivers, opportunities/high growth areas, and trends of the sector which are projected to support the stakeholders to align as well as devise their market strategies as per the latest and future market dynamics.