Digital transformation has become a crucial component of global and regional economic development. In ASEAN, this evolution has driven the creation of the Digital Economy Framework Agreement (DEFA), which advances the agenda for regional digital economic integration. Yet, beneath the narrative of growth and market openness lies a fundamental question: who will truly reap the greatest benefits from DEFA?
This policy paper critically examines the potential impact of the DEFA on national policy space, digital sovereignty, MSMEs, data protection, and the growing dominance of global technology companies (Big Tech). Disparities in digital capacity among ASEAN nations also constitute a critical issue, as integration under unequal conditions risks relegating countries with lower digital capacity to mere markets for digital products and services from more advanced nations.
Through this study, Indonesia for Global Justice (IGJ) encourages ASEAN’s digital economic governance to be oriented not solely toward market expansion and liberalization, but also to consider economic justice, national development interests, data protection, strengthening MSMEs, and Indonesia’s digital sovereignty.
In full,