The rapid development of technology and digitalization has led to the emergence of a digital economy characterized by high growth in technology-based business and trade transactions. This research aims to examine the impact of the digital economy on economic growth in Indonesia. Conducted using qualitative methods with a descriptive approach, the study obtained data from the Central Statistics Agency (BPS). The results indicate that the digital economy has a positive impact on economic growth in Indonesia, as evidenced by the increasing value of digital economic transactions and the growing contribution of the digital economy to Indonesia's GDP. However, the digital economy also has the potential to have negative impacts, such as digital divides and cybercrimes. To maximize the positive impact, the government needs to implement various policies, including developing digital infrastructure, simplifying regulations, and enhancing digital literacy and skills. The digital economy is a significant driver of economic growth in Indonesia, with sectors like e-commerce, fintech, and other technology-driven industries playing crucial roles. These sectors not only create new job opportunities but also provide broader access to financial services, education, and global markets. The government has set a target for the digital economy to reach Rp1.700 trillion by 2025 and is taking measures to support its development, such as investing in digital infrastructure and simplifying regulations. The study highlights the importance of understanding the transformative impact of the digital economy to inform future economic growth strategies. It emphasizes the need for collaboration among the government, businesses, and the public to fully leverage the potential of the digital economy while mitigating its negative impacts.The rapid development of technology and digitalization has led to the emergence of a digital economy characterized by high growth in technology-based business and trade transactions. This research aims to examine the impact of the digital economy on economic growth in Indonesia. Conducted using qualitative methods with a descriptive approach, the study obtained data from the Central Statistics Agency (BPS). The results indicate that the digital economy has a positive impact on economic growth in Indonesia, as evidenced by the increasing value of digital economic transactions and the growing contribution of the digital economy to Indonesia's GDP. However, the digital economy also has the potential to have negative impacts, such as digital divides and cybercrimes. To maximize the positive impact, the government needs to implement various policies, including developing digital infrastructure, simplifying regulations, and enhancing digital literacy and skills. The digital economy is a significant driver of economic growth in Indonesia, with sectors like e-commerce, fintech, and other technology-driven industries playing crucial roles. These sectors not only create new job opportunities but also provide broader access to financial services, education, and global markets. The government has set a target for the digital economy to reach Rp1.700 trillion by 2025 and is taking measures to support its development, such as investing in digital infrastructure and simplifying regulations. The study highlights the importance of understanding the transformative impact of the digital economy to inform future economic growth strategies. It emphasizes the need for collaboration among the government, businesses, and the public to fully leverage the potential of the digital economy while mitigating its negative impacts.