Keeping pace with APAC's digital ambition

In this era of digital revolution, we are watching as governments across the Asia-Pacific Japan (APJ) region are rapidly embracing the future, digitising services, integrating ICT into the fabric of public life, and setting bold ambitions for transformation.

Governments in Japan and Singapore are well into their digital overhauls, delivering smarter, faster and more connected public services, while Malaysia and New Zealand’s governments are charting bold, future-facing agendas to build digitally enabled, innovation-driven economies.

Australia has an opportunity to accelerate its own momentum — by investing in and advancing the development of a digitally enabled public sector at all levels. Doing so will help ensure it keeps pace with the rest of our region. Now is the time to close any potential gap in innovation, efficiency and service delivery, before it becomes a barrier to our digital progress.

A region on the rise

Australia took an important step forward in 2023 with the release of its first combined data and digital strategy, outlining a clear vision for the nation’s digital future. The next opportunity lies in turning that vision into action — ensuring momentum continues and progress is sustained.

Japan and Singapore have been creating and implementing digital societies, Society 5.0 and The Smart Nation, since the mid-2010s. Currently, they’re in the midst of entering the next version of their digital societies, continuing their transformations and embedding technology more deeply into the delivery of public services.

Meanwhile, New Zealand and Malaysia took immediate action during the pandemic to digitise their public sectors between 2020 and 2022. Now they are looking to be world leaders in the technology industry and online space by the early 2030s. They are investing heavily in attracting tech companies and supporting domestic initiatives, and transforming into digitally enabled, high-income nations, to boost digital literacy, employment opportunities and access to digital services.

Australia can study and adapt proven models from our APJ neighbours to create a truly digital public sector.

We could look to Singapore and Japan as exemplary models for integrating technology into governance and economic frameworks, while matching major technology sector investments and goals set by New Zealand and Malaysia.

Where to begin: AI as a strategic priority

One place to start is AI. The Business Council of Australia wants the nation to be a global leader in AI by 2028. We can accomplish this goal as long as our public systems keep pace with the industry.

Some elements of AI and automation are being implemented and used in various services and departments, such as Services Australia. This effort should be scaled across the whole public sector, sooner rather than later.

We recently saw the NSW 2025–26 Budget include a significant focus on AI to improve government services and boost the economy, including investments in streamlining planning and development approvals, AI infrastructure like data centres, and the commercialisation of emerging technologies. Funding was also allocated to advance AI-related research and development, and training and skills development.

Even the Opposition’s Budget response embraced AI, including a proposal to establish the state’s first Minister for AI, plans for AI to be rolled out across government agencies, and free loans offered to businesses adopting the technology.

These investments would improve service delivery and efficiency, streamline processes, and enhance decision-making at the state level. We need this direction across the nation.

The time to build is now

As with any transformative technology — particularly AI — it’s not enough to simply acknowledge its arrival. Australia has an opportunity to lead with a strong commitment to responsible and ethical implementation, underpinned by transparency, human oversight, and the protection of sensitive data.

The Australian Government is in the process of shaping the nation’s AI regulatory response, but the current approach to AI regulation is fragmented, relying primarily on voluntary frameworks and non-binding policies.

AI doesn’t forget. When sensitive data is scraped, it’s there for good. People are concerned for their personally identifiable information or their business’s confidential company data when using AI. So our governments should certainly be precautious about it too — but that doesn’t mean AI is not the right investment.

It starts with clear accountability frameworks that make it explainable and auditable from day one, while robust data governance prevents biased or dangerous outputs, and improves data liquidity across siloed systems. And crucially, human oversight and transparency must anchor any AI risk management strategy because AI decisions never happen in isolation.

It’s not about who is fastest. But standing still is no longer an option. Australia is at risk of falling behind our APJ neighbours and, without urgent action, we could unintentionally hinder the growth of our own technology sector. Our government should take bold steps to digitise public services and empower innovation across the economy. Keeping pace with our neighbours will require greater investment now, in systems, policies and technology that will drive us forward. Innovation doesn’t wait. Neither should we. *David Irecki is CTO for Asia-Pacific Japan at Boomi, based in Sydney.

Top image credit: iStock.com/ktsimage