As Southeast Asia’s largest economy (278.3 million inhabitants), Indonesia presents immense ecommerce and digital payments opportunities. Indonesia’s payments and ecommerce landscape is digitising rapidly in 2025, driven by government policy, fintech innovation, and changing consumer behaviour. With digital payments projected to surge, and a compound annual growth rate (CAGR) of 17.33% expected to catapult the market to USD 115.34 billion by 2025 and USD 256.45 billion by 2030, Indonesia is emerging as one of Southeast Asia’s most dynamic digital economies, according to Mordor Intelligence data.
The COVID-19 pandemic drastically changed how consumers shop, affecting several market verticals, especially the retail sector. Consequently, cash payments in Indonesia are rapidly declining as digital payment adoption accelerates. Although still dominant, since 2020, the use of cash for payments has fallen from over 70% of transactions to 51%.
Regarding ecommerce volume, Indonesia’s market is forecasted to reach approximately USD 94.5 billion in 2025, doubling to USD 194.20 billion by 2030, with a strong CAGR of 15.5% over recent years, per Mordor Intelligence. This growth is driven by rising internet penetration, smartphone usage, a growing middle class, and an expanding digital payment infrastructure that continues to reduce reliance on cash transactions.
Leading platforms such as Tokopedia, Shopee, Lazada, and Bukalapak dominate the market, while social commerce channels like TikTok Shop and Instagram Shopping are gaining traction among younger demographics. The Indonesian government has taken steps to protect local businesses by requesting tech giants to block certain foreign ecommerce apps, such as China's Temu, to safeguard small and medium-sized enterprises (SMEs) from low-cost competition.
Indonesia’s payments and ecommerce landscape is evolving rapidly, shaped by five major trends that we’ll delve into in more detail below.
As Indonesia accelerates toward a digital-first economy, six key trends are reshaping the country's payment and ecommerce landscape: the ubiquity of mobile wallets, the standardisation of QR code payments, the rise of Buy Now, Pay Later (BNPL) offerings, the expansion of real-time and contactless payments, the modernisation of merchant infrastructure via mobile point-of-sale (mPOS) technology, and the rise of crypto and blockchain tech.
E-wallets and mobile payments
E-wallets and mobile payments now dominate everyday transactions, led by platforms like GoPay, OVO, Dana, and ShopeePay. E-wallets account for a significant share of ecommerce payments, with usage rates among urban consumers exceeding 60% for daily purchases. GSMA Intelligence's numbers indicate that mobile connections in Indonesia were equivalent to 125% of the total population in January 2025, providing a strong foundation for continued digital wallet growth.
QR code payments (QRIS)
QR code payments, standardised under the Quick Response Code Indonesia Standard (QRIS, are now nearly ubiquitous in both urban and rural settings, dramatically reducing the reliance on cash. QRIS transaction volumes surged 175% year-on-year in 2024, with over 30 million MSMEs and merchants now accepting QRIS payments. This interoperability initiative by Bank Indonesia has unified the payment experience across all providers, making QR payments accessible to even the smallest merchants.
Buy Now, Pay Later (BNPL)
BNPL adoption is booming, particularly among Millennials and Gen Z, who value flexibility and convenience. In 2025, the BNPL market is expected to reach USD 8.59 billion, growing at an annual rate of 13.5%. Nearly 9% of Indonesians now use BNPL for online shopping, and the sector is forecast to surpass USD 13.5 billion by 2030 as partnerships between fintechs and ecommerce giants like Tokopedia, Shopee, and Lazada expand BNPL options across retail, travel, and services.
Real-time and contactless payments
Contactless and real-time payment (RTP) systems are steadily gaining traction. BI-FAST, Indonesia’s national RTP infrastructure, now connects over 135 banks and payment providers, according to Bank Tabungan Negara (BTN) data, enabling 24/7 instant transfers and settlement. According to some analysts, RTP transaction values have grown by over 20% year-on-year, with the system designed to process high volumes in under 25 seconds. With 93% of Indonesians trusting RTP security, NFC-enabled cards and mobile contactless solutions are increasingly adopted in major cities, supporting the government’s cashless society vision.
Merchant infrastructure and mPOS
The retail sector is changing following the proliferation of mPOS solutions. GoBiz Plus and similar platforms empower SMEs to accept digital payments, manage inventory, and digitise operations. Indonesia’s merchant digitalisation is forecast to accelerate, with the number of merchants accepting digital payments expected to grow by over 30% annually through 2027, according to ReportLinker's data. This trend is crucial for bridging the gap between traditional retail and the modern payment ecosystem, especially for SMEs and micro-businesses.
Crypto and blockchain
Indonesia’s crypto market is experiencing explosive growth in 2025, making it the third largest globally by adoption, according to OneSafe. The number of crypto investors surged to 22.9 million by the end of 2024 and is projected to reach 25–28 million in 2025. Transaction volumes soared 335% year-on-year, hitting IDR 650.6 trillion (about USD 39.5 billion) in 2024, with January 2025 alone seeing a 104% jump to USD 2.68 billion compared to the previous year. This boom is supported by evolving regulations. Oversight transitioned from Bappebti to the Financial Services Authority (OJK) in January 2025, which brought stricter compliance rules, a new regulatory sandbox, and real-time reporting for transparency and consumer protection. Despite volatility, crypto and blockchain are increasingly seen as tools for financial inclusion and innovation, especially as nearly half of Indonesia’s adult population remains unbanked.
The Indonesian payments ecosystem features a dynamic mix of local super apps, fintech innovators, traditional banks, and global payment providers. Major players include:
GoPay (Gojek), OVO, Dana, LinkAja, and ShopeePay – leading e-wallets driving daily digital payments, peer-to-peer transfers, and merchant acceptance across Indonesia’s urban and rural markets.
Kredivo, Akulaku, Atome, and Shopee PayLater – dominant BNPL providers, deeply integrated with top ecommerce platforms like Tokopedia, Shopee, Bukalapak, and Lazada, fuelling flexible consumer credit and instalment payments.
Xendit, Midtrans, DOKU, iPay88, Faspay, and TransFi – major payment gateway and infrastructure providers enabling seamless online payments, multi-channel acceptance, and cross-border transactions for businesses of all sizes.
Bank Mandiri, BCA (Bank Central Asia), BRI (Bank Rakyat Indonesia) – leading traditional banks with robust digital banking platforms and mobile apps, facilitating account-to-account (A2A) transfers, bill payments, and integration with fintech solutions.
QRIS (Quick Response Code Indonesia Standard) – the national QR code standard, facilitating interoperable digital payments across all major wallets and banks, and rapidly expanding merchant acceptance (over 30 million merchants).
GoBiz Plus – a mobile point-of-sale (mPOS) solution empowering SMEs to accept cashless payments and digitise operations.
Flip, Payfazz – notable fintechs supporting interbank transfers (Flip) and agent-based financial services for the unbanked (Payfazz).
This ecosystem is regulated by Bank Indonesia and the Financial Services Authority (OJK), ensuring innovation, security, and financial inclusion as digital payments continue to reshape commerce across the country.
In 2025, digital wallets are leading as the preferred payment method, followed by bank transfers, cards, and BNPL solutions, with cash usage declining (read more below). This rich mix of payment methods and solution providers is enabling Indonesia’s rapid shift toward a cashless, digital-first economy, with innovation and financial inclusion at its core.
Indonesia’s ecommerce market is experiencing explosive growth, positioning the country as one of the world’s largest and fastest-growing digital economies. As per PCMI data, in 2024, Indonesia’s ecommerce market reached USD 75 billion – USD 46 billion in retail1. Online shopping festivals like Harbolnas, the expansion of mobile wallets, and the introduction of innovative features, such as Shopee and YouTube’s shoppable video integration, have further accelerated adoption.
Indonesia is now the third-largest ecommerce market globally, behind only China and the US. The dominant platforms are:
Shopee (38%)
Tokopedia (23%)
Blibli (9%)
Lazada (8%)
Orami (3%).
Strategic partnerships and M&A operations (e.g., the TikTok-Tokopedia merger in 2024) are reshaping the competitive landscape and enhancing consumer experiences.
Digital payments are now the preferred method for online shopping2:
Digital wallets (35%)
Bank transfers (26%)
Credit cards (13%)
BNPL (9%)
Debit cards (6%)
Cash-on-delivery (8%).
According to PCMI data3, Indonesia’s ecommerce market is expected to grow at a 19% CAGR from 2027 to 2029 as digital infrastructure, payment innovation, and consumer confidence continue to strengthen. Mobile commerce dominates the Indonesian market in terms of preferred devices. In 2024, desktop transactions comprised only 33% of total ecommerce sales (USD 24.75 billion), compared to 67% via mobile devices (USD 50.25 billion).
The leading ecommerce categories in Indonesia by market share include:
Retail: 61% (USD 45.8 billion)
Travel: 20% (USD 15 billion)
Ride-hailing and delivery apps: 9% (USD 7 billion)
Other: 5% (USD 4.1 billion)
Gaming: 3% (USD 2.2 billion)
Streaming services: 1% (USD 0.6 billion)
Software-as-a-Service (SaaS): 1% (USD 0.5 billion).
Based on transaction volume, the following product categories rank as the most popular among Indonesian online shoppers:
Fashion and accessories (16.3%)
Health and beauty (14.3%)
Home and household appliances (10%)
Food (6.9%)
Gadgets and accessories (6.4%).
This breakdown highlights the significant role of retail and travel in Indonesia's ecommerce ecosystem, along with the rapid rise of digital services, including ride-hailing and delivery apps.
Jakpat's report on 2024 Indonesia's E-commerce Trends and YouGov surveys also provide some interesting key figures on the region's market:
USD 27 monthly ecommerce spending;
6 of 10 Indonesian online shoppers made purchases via live shopping in 2024;
67% of Indonesians use ecommerce platform apps for online shopping, while 50% use social media e-shops;
9 of 10 Indonesians (96%) use their smartphones to shop online: 38% use them once a month, while 21% use them twice a week.
Lastly, here are some key insights about ecommerce in Indonesia according to PCMI data:
The largest group of Indonesian ecommerce consumers is aged 26–35 and represents 46% of the market;
6 of 10 ecommerce consumers are men, contributing to 60% of the total online transaction value in 2022;
Approximately 20% of ecommerce sales in Indonesia come from cross-border transactions, showcasing the growing interest in international products and brands;
A remarkable 40% of Indonesians say the frequency of their visits to physical shops has somewhat or greatly decreased.
Cross-border ecommerce is booming in Indonesia, with local consumers increasingly purchasing from international retailers attracted by competitive pricing, broader product selection, and global brands. In 2024, approximately 20% of Indonesia’s total ecommerce sales came from cross-border transactions, highlighting the country’s growing appetite for international goods and the influence of global platforms.
Asia-Pacific and China-based brands – such as those found on Shopee, Lazada, and TikTok Shop – are especially popular. US and European retailers are also gaining traction among Indonesian shoppers.
The country’s young, tech-savvy population and high mobile penetration are driving this trend, as is the growing use of digital wallets and RTP solutions that simplify international shopping. Cross-border payments are becoming faster and more cost-effective, thanks to fintechs and payment providers offering competitive foreign exchange rates and streamlined settlement. Presenting prices in Indonesian rupiah and offering local payment methods are critical for conversion, as Indonesian consumers are highly sensitive to currency confusion and transaction transparency.
Moreover, logistics providers are investing in cross-border infrastructure to reduce delivery times and improve reliability, while regulatory changes, such as new compliance requirements and digital tax rules, are shaping the future of international ecommerce in Indonesia. As a result, Indonesia is rapidly emerging as a key player in global cross-border trade, with both local merchants and international brands capitalising on this expanding market.
Indonesia’s payments sector is undergoing significant regulatory transformation in 2025, driven by the need to foster innovation, ensure security, and enhance financial inclusion. The following are the most relevant and recent regulatory initiatives shaping the payment landscape:
1. Bank Indonesia’s IPS 2025 (Indonesia Payment System Blueprint 2025) is the central roadmap for modernising the national payment system. Its five pillars focus on:
Open Banking: encouraging collaboration and data sharing between banks and fintechs to drive innovation and improve customer experience.
Strengthening infrastructure: upgrading payment rails for efficiency, speed, and interoperability, including the expansion of BI-FAST for RTPs.
Expanding digital payment acceptance: promoting digital payments across all sectors, primarily through initiatives like the QRIS, which now reaches over 30 million merchants.
Financial inclusion: prioritising affordable, accessible digital solutions for MSMEs and underserved communities, focusing on QR payments and agent banking.
Adaptive regulation: balancing innovation with risk management, including know your customer (KYC)/anti-money laundering (AML) requirements, regtech adoption, and enhanced data protection.
2. BI-FAST and RTPs: BI-FAST, launched as part of the IPS 2025, is Indonesia’s real-time retail payment system. It leverages ISO 20022 messaging for interoperability, supports instant transfers 24/7, and enhances fraud detection and AML controls. BI-FAST is now connected to over 135 banks and payment providers, making RTPs widely accessible and affordable.
3. QRIS regulation and updates: the latest amendment (Bank Indonesia Board of Governors Regulation No. 3 of 2025) further refines QRIS standards, focusing on:
Enhanced efficiency, security, and interoperability for QR code payments
Broader device and provider integration
Stronger compliance obligations for payment service providers to ensure reliability and consumer protection.
4. Regulation of payment service providers (PJP Regulation): BI Regulation No. 23/6/PBI/2021 classifies and governs payment service providers (PJPs), clarifying licencing, operational, and compliance requirements. This regulation simplifies the payment ecosystem, ensures interoperability, and mandates the use of national payment gateways for transactions within Indonesia.
The IPS 2025 blueprint defines Indonesia’s regulatory payment framework, including RTP infrastructure (BI-FAST), strengthened QRIS standards, mandatory use of the national payment gateway, and adaptive, risk-based supervision. These initiatives collectively aim to create a secure, interoperable, and inclusive digital payments ecosystem that supports innovation while protecting both consumers and the financial system as a whole.
Indonesia's payments and ecommerce landscape in 2025 will be characterised by explosive growth, deepening digital integration, and strong policy support for financial inclusion. The rapid adoption of e-wallets, QR code payments, BNPL, and real-time infrastructure is reshaping how consumers and merchants transact across the archipelago.
Ecommerce will continue to expand, propelled by mobile-first behaviours, rising cross-border activity, and the growing sophistication of marketplaces and digital services.
As crypto and blockchain gain regulatory clarity and wider traction, and SME-focused platforms bring more merchants into the formal economy, Indonesia is well-positioned to emerge as a regional leader in digital commerce and innovation, building a secure, inclusive, and future-ready financial ecosystem.
1.PCMI Asia Pacific E-Commerce Data Library, 2024. 2.PCMI Asia Pacific E-Commerce Data Library, 2024. PCMI analysis based on transactional data of payment platforms in the Indonesian market. Numbers may not add up to 100% due to rounding. 3.PCMI Asia Pacific E-Commerce Data Library, 2024.
Dr Ignacio Carballo is the Director of Alternative Finance at PCMI. He leads consulting engagements for the world’s most innovative institutions, helping them build a more inclusive and responsible financial system while maintaining a competitive edge in the market. Prior to joining PCMI, Ignacio spearheaded several research projects for private, public, and multilateral organisations. He is a professor at various universities in Latin America and serves as Director of the Center for Alternative Finance at the Catholic University of Argentina.
PCMI is an advisory group focused on the global payments industry, with over 30 years of experience providing market intelligence to global corporations, having executed over 500 client engagements in the payments industry since 1991. PCMI performs custom strategic engagements, including market sizing, opportunity benchmarking, market entry, customer insights, and more, covering over 50 global markets in the Americas, EMEA, and APAC regions.
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