Indonesia Moves to Reduce SIM Card Costs via Biometric Registration Policy

Indonesia’s Ministry of Communication and Digital is negotiating a lower fee for the biometric verification that mobile operators must perform when activating SIM cards. Operators such as Indosat Ooredoo Hutchison, Telkomsel and XLSmart currently pay about Rp3,000 per verification. Minister Meutya Hafid said the ministry has written to the Ministry of Home Affairs to request a reduction, emphasizing the security purpose of the policy rather than commercial concerns. Industry groups are discussing possible ranges below Rp1,000, with proposals as low as Rp200‑Rp600 per check.

Since the mandatory biometric registration began on 1 July, the number of daily new SIM activations fell from roughly one million – many of which were suspected to be anonymous “bodong” numbers used for fraud – to about 250‑280 thousand. Sales of new SIM cards have remained stable at 250‑300 thousand per day, suggesting the policy is curbing illicit activations without hurting legitimate demand. Officials say the change should improve consumer protection and reduce digital‑crime opportunities.