
What Is GRC and ESG
September 23, 2025IAM Biometric Indonesia with High Security and Privacy Challenges
Biometric IAM in Indonesia is increasingly in the spotlight due to technological advancements and the need for digital identity verification. Identity and Access Management (IAM) that uses biometric data such as fingerprints or facial recognition is considered capable of providing an extra layer of security. However, its use also raises new concerns regarding privacy, regulations, and the potential misuse of personal data.
What is IAM and Biometrics?
Identity and Access Management (IAM) is a system for managing digital identities and controlling access to company applications and data.
Biometrics in the context of IAM means using a person’s biological or behavioral characteristics—such as fingerprints, face, or voice—for authentication and verification.
By combining IAM and biometrics, organizations can reduce the risks of passwords being forgotten, stolen, or hacked. In addition, login processes and digital onboarding also become faster.
Biometric Security in Indonesia: Key Benefits
1. Enhanced Authentication Security
Biometrics are much harder to forge if systems include liveness detection and backend validation with official identity data. For example, digital onboarding in the banking sector uses customer biometrics connected to eKTP data (Asliri).
2. Efficiency and User Experience
Biometric verification improves speed and convenience. Digital identity platforms such as
Vida
allow online account onboarding without needing to bring physical ID or visit a branch.
3. Compliance with Data Protection Regulations
Indonesia has Personal Data Protection Law (Law No. 27/2022), which regulates the use of personal data, including biometrics as sensitive data
(DLA Piper).
Moreover, biometrics are required in e-SIM registration, synchronized with the Dukcapil database for national security
(ID Tech Wire).
Privacy and Challenges of Biometric Use
Data Breach Risks
Biometric data is unique and permanent. If leaked, the impact can be severe, unlike passwords which can be changed
(Heimdal Security).
Regulation and Legal Certainty
Although the PDP Law exists, its implementation still requires clear control mechanisms, including audits and sanctions. Therefore, the public demands greater transparency
(Biometric Update).
User Consent and Control
Users must be given clear options and detailed information about how biometric data is used, who can access it, and how long it is stored.
Technical Challenges
Biometric systems can still produce false positives or false negatives. Therefore, proper testing and calibration are important to improve accuracy
(World Bank ID4D).
Relevant Regulations & Policies
- Law No. 27 of 2022 on Personal Data Protection (PDP Law): categorizes biometric data as sensitive data.
- Electronic Information and Transactions (ITE Law) and electronic system regulations (including PsrE) that govern digital IDs and verification in public or private services.
- e-SIM policy: requires biometric registration synchronized with the Dukcapil database for national security.
Safe and Practical Tips for Using Biometric IAM
- Apply opt-in mechanisms: users must explicitly give consent.
- Use liveness detection technology and data encryption.
- Store biometric data on secure servers with regular audits.
- Ensure transparency regarding usage, access, and storage duration.
- Use biometrics as an additional factor in MFA for stronger security.
Conclusion
Biometric IAM in Indonesia offers high security, efficiency, and ease of digital onboarding.
However, privacy issues, regulations, and secure data storage remain critical concerns.
With the PDP Law, biometric e-SIM policies, and other digital identity initiatives, Indonesia is moving toward safer biometric utilization.
Companies adopting it must ensure regulatory compliance, protect sensitive data, and maintain user trust.