Genomics could earn Indonesia $110b: East Ventures

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Genomics, which is the study of an organism’s genetic makeup, can unlock about US$110 billion worth of economic impact for Indonesia, according to a 2023 white paper by East Ventures and the country’s health ministry.

Indonesia could also save an estimated US$96 billion by applying genomics to rare diseases.

East Ventures, which is also an investor in Tech in Asia, said it has made genomics-related investments since 2018, specifically in startups focusing on genome sequencing such as Nalagenetics and Nusantics.

“We are confident in the potential of genomics technology to revolutionize Indonesia’s healthcare system and infrastructure,” said Willson Cuaca, co-founder and managing partner at East Ventures.

See also: Mapping Indonesia’s key healthtech players

Cuaca also noted that in Indonesia, “non-communicable diseases are responsible for around 80% of deaths from five major diseases, which cost the Indonesian government up to 14 trillion rupiah (US$924 million) last year for treatment.”

Genomics – which covers the fields of medicine, agriculture, and biotechnology – can potentially enable early detection and provide targeted treatment.

Indonesia’s healthcare expenditure rose at a “healthy rate” of around 5% between 2016 and 2021, but it’s lagging behind other SEA countries such as Thailand and Malaysia, according to the paper.

In 2021, the Indonesian healthcare market was valued at US$41.8 billion. East Ventures said it has backed over 15 startups in the sector and will “double down” on its healthcare investments, though it did not disclose any specific amounts.

Currency converted from Indonesian rupiah to US dollar: US$1 = 15,155 rupiah.