THE IMPACT OF THE DEVELOPMENT OF THE CREATIVE ECONOMY  ON THE SUSTAINABILITY OF THE INDONESIAN ECONOMY IN THE DIGITALIZATION ERA

Citra Mulya Sari; Mashudi Mashudi; Tegar Tegar; Nila Nafisatul Bashiroh

Citra Mulya Sari Universitas Islam Negeri Sayyid Ali Rahmatullah Tulungagung
Mashudi Mashudi University Islamic Negeri Sayyid Ali Rahmatullah Tulungagung
Tegar Tegar University Islamic Negeri Sayyid Ali Rahmatullah Tulungagung
Nila Nafisatul Bashiroh University Islamic Negeri Sayyid Ali Rahmatullah Tulungagung

Abstract

One of Indonesia's hopes to be able to compete in the global economy is the creative economy. The development of the creative economy in Indonesia has had a great impact on the sustainability of the country's economy in the digitalization era. The creative economy has presented challenges and opportunities to Indonesia, demanding innovative governance strategies to promote innovation and growth. Government plays an important role in driving innovation by providing training and resources to small and medium enterprises (SMEs) and encouraging collaboration between departments and stakeholders. In addition, the digital economy has created new opportunities for entrepreneurship and job creation, especially among the younger generation. With today's very rapid development of information and communication technology, it is able to encourage the growth of business activities to enter the creative economy era, becoming very flexible and dynamic in facing the challenges of globalization and modernization. This research aims to analyze the impact of the development of the creative economy on the sustainability of the Indonesian economy in the digitalization era. This research uses a qualitative approach with the type of library research. Secondary data source to study the impact of creative economy development on the sustainability of Indonesia's economy in the digitalization era. Secondary data is obtained from various sources ranging from government reports, academic publications, journal articles, and official statistical data. Data analysis is conducted thematically to identify and explore key themes related to the creative economy's contribution to economic sustainability, as well as the challenges and opportunities that arise in the context of digitization. The results of the study show that the development of the creative economy has a significant contribution to the sustainability of the Indonesian economy, especially in terms of creating jobs, increasing national income, and diversifying the country's income sources. However, this research also identified a number of challenges, such as limited access to funding, protection of intellectual property rights, and the digital divide between urban and rural areas. Therefore, supportive policies and comprehensive strategies are required from the government to overcome these challenges and maximize the potential of the creative economy in promoting the sustainability of Indonesia's economy in the digital era

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