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Could Blockchain be part of Saudi Indonesian digital economic cooperation

Recently the Governments of Indonesia and Saudi Arabia signed an MOU to strengthen their digital economic cooperation. According to a recent press release, Indonesia was represented by Minister of Communications and Information Rudiantara while Saudi Arabia was represented by Minister of Communications and Information Technology Abdullah Alswaha. 

The cooperation will focus on UMRAH. Indonesia’s Minister of Communications and Information explained that the Umrah market is a prospective for both Saudi Arabia and Indonesia as all Muslims perform Umrah services. The collaboration with Saudi Arabia will entail development of the Digital Umrah Enterprise, which will serve as a joint solution that will address the main concerns of the Umrah chain. UNLOCK is questioning whether blockchain could be one of the technologies put in place to develop the Umrah Chain. 

Two Indonesian unicorns Tokopedia, ecommerce company and  Traveloka, will represent the Indonesian industry and will take part in this endeavour. The Digital Umrah Enterprise development will reportedly focus on three aspects, which will be streamlined by implementing technology and building partnerships with other parties. These three aspects are pre-departure or preparation from Indonesia; arrival in Saudi Arabia; and after Umrah has finished.

This initiative can be an alternative choice for travel agencies, which provides and guarantees security and convenience. Users need not worry because the system allows transparency and monitoring can be done online. Integration is the key especially since future plans are looking into FinTech for funding and logistics for the delivery of goods. The Digital Umrah Enterprise will make it easier for Indonesian pilgrims who are interested in making Umrah trips. The services would include accommodation arrangements, facility selection and visa applications.

After signing the MOU, Indonesia’s Minister for Communications and Information reportedlyvisited the King Abdulaziz City for Science and Technology (KACST) in Riyadh.

The Minister witnessed firsthand the research and technology development carried out by KACST. 

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