In the midst of intense competition among Southeast Asian cities in building technology-based smart cities, Indonesia has managed to maintain its existence.
Jakarta, Medan, and Makassar remain on the International Institute for Management Development's (IMD) Smart City Index (SCI) 2025 list, signaling that the move towards the city of the future is not just a discourse.
Although they have not been able to reach the top, these three cities have great potential and equally complex challenges-from pollution, congestion, to corruption. But behind it, there is a stretch of progress through the digitalization of public services and citizen satisfaction with improved access to technology.
Now, cross-sectoral cooperation is key for Indonesia to not only survive, but advance further on the global smart city stage.
The Tight Competition for Smart Cities in Southeast Asia
The International Institute for Management Development (IMD) World Competitiveness Center, has released a list of smart city index (SCI) 2025. IMD assesses how smart and efficient a proposed ‘smart city’ is in utilizing technology to manage urban challenges.
Southeast Asian cities continue to compete fiercely. Singapore, Kuala Lumpur, and Bangkok are showing significant innovation, making the region one of the hot spots in the development of smart cities worldwide.
In the midst of this competition, Indonesia still maintains three representatives in the top nine Southeast Asian smart cities according to IMD. This is a proud achievement, showing that Indonesia is able to compete with neighboring countries in the midst of rapid technological development.
The complete list of Smart City Index 2025 in the Southeast Asia region is as follows:
- Singapore: Rank 9 (down 4 ranks from 2024)
- Kuala Lumpur: Rank 65 (up 8 places)
- Bangkok: Rank 86 (down 2 places)
- Hanoi: Rank 88 (up 8 places)
- Ho Chi Minh City: Rank 100 (up 4 places)
- Jakarta: Rank 103 (fixed)
- Medan: Rank 113 (down 1 place)
- Makassar: Rank 114 (up 1 place)
- Manila: Rank 125 (down 4 places)
The Challenge Behind the Numbers
In 2025 Jakarta is in the same position at 103, but Jakarta's position this year was overtaken by Ho Chi Minh city which was below Jakarta the previous year. This led SCI to highlight some of Jakarta's main problems, namely air pollution (68.4%), congestion (66%), and corruption (51.7%).
On the other hand, the level of public satisfaction with the ease of accessing schedules and buying public transport tickets online (score 82.2) makes public transportation convenient and efficient. This shows that Jakarta has a strong foundation in terms of digitizing public services, especially in the transportation sector.
Meanwhile, Medan City faces major challenges that can be felt by the community. These challenges are related to security issues (58.3%), high unemployment (53.2%), and corruption (49.6%).
However, there is good news: the business world in Medan is appreciated by the community for being able to open many new jobs (score 78.3%). In addition, easy access to schedules and online purchase of public transportation tickets (score 77.8), and online job search (score 77). This is an important asset to improve the smart city index in the future.
Unlike Jakarta and Medan, Makassar City has challenges in traffic congestion (52.6%), unemployment (52.5%), and corruption (49.6%) that must be addressed immediately.
However, people are satisfied with the ease of accessing health services online (score 74), online job opportunities (score 73.1), and access to public transportation schedules and ticket purchases online (score 72.1).
This makes Makassar excel in access to health services and access to online job opportunities, which are considered very helpful to residents.
Building the City of the Future: Cooperation is Key
Indonesia's success in keeping three of its cities on the Smart City Index 2025 list is not just a number on paper. It illustrates that amidst great challenges, Indonesia has strong potential to build smarter and more sustainable cities.
Even so, there is still a long way to go. In order not to be left behind globally, consistency is key-from local to central governments need to move quickly to address fundamental issues that hinder the pace of change.
Investing in green technology, developing smarter transportation systems, and improving urban governance must be prioritized. Not just to survive, but for Indonesian cities to rise to the level of the world's great cities.
When the government, the industry, the private sector, and the community step together, Indonesia's opportunity to shine as a new force in the world's smart city map becomes more real.
That cooperation will be the fuel to create future cities that are not only smart, but also livable for all.
Source:
- https://inet.detik.com/cyberlife/d-7881386/9-besar-smart-city-di-asia-tenggara-2025-ada-yang-dari-indonesia
- https://inet.detik.com/cyberlife/d-7309805/jakarta-masuk-5-smart-city-di-asia-tenggara-tapi-turun-peringkat
- https://www.cnbcindonesia.com/tech/20250307114846-39-616539/video-kota-masa-depan-smart-city-adopsi-ai-biar-warga-makin-nyaman
- https://www.caritra.org/2024/09/24/luar-biasa-3-kota-indonesia-masuk-142-besar-smart-city-index-2024-cek-apakah-kota-anda-terpilih/#:~:text=Tiga%20kota%20di%20Indonesia%20masuk,besar%20di%20wilayah%20Asia%20Tenggara.