Crowdfunding for Defense Sector in Indonesia: Challenges and Opportunities

Abstract

This article proposes a methodological perspective for the research of crowdfunding in the defense sector to increase the nation's capacity in defense sector expenditures. This article examines the challenges and opportunities of implementing defense budget crowdfunding in Indonesia, concentrating on several aspects such as history, social culture, state budget growth, and governance. Based on the evaluation of relevant research, it is crucial to establish budget finance system improvements to support the national defense component. By reconstructing the history of the generosity of the Indonesian people, the social and cultural conditions, the growth of state defense budgeting, and the legal features of state budget management, there is potential for crowdfunding. The results show that there are challenges and concerns regarding the implementation of crowdfunding, Firstly, it can result in a conflict of interest, and secondly, there is no explicit legal way to classify crowdfunding as state revenue for defense sector.