Southeast Asia's most populous metropolis ranks its 2nd smartest city
Indonesia's capital Jakarta has emerged as one of Southeast Asia's leading intelligent urban centers, ranking second in the region in an assessment of cities using AI and digital technology to enhance urban life.
The city state of Singapore emerged as the top-ranked intelligent city in Southeast Asia and held the 11th position globally in the inaugural Intelligent Cities Index 2026, according to a report by global consulting firm Boston Consulting Group (BCG). The city-state's strong performance was followed by Jakarta, which secured the 39th spot internationally.
Indonesia's capital city, Jakarta, is the most populous metropolis in Southeast Asia, housing approximately 42 million residents, as per the U.N. Department of Economic and Social Affairs Population Division's World Urbanization Prospects 2025 report. This population surge has propelled Jakarta to become the world's third smartest city, ranking 48th globally, surpassing Tokyo.
Ho Chi Minh City, Vietnam's largest city, ranked 48th in the global ranking, cementing its position as the third smartest city in the region. Not far behind, Malaysia's capital, Kuala Lumpur, secured the 50th spot in the global index.
The index assessed 61 major cities across 39 countries, focusing on five key areas: resident outcomes, intelligent city strategy, technology adoption, ways of working, and enabling factors such as infrastructure, talent, and funding. The top five cities globally in terms of intelligent city rankings were London, Dubai, New York City, Washington, D.C., and Amsterdam.
BCG's report underscores the growing significance of artificial intelligence (AI) as a foundational element of intelligent cities. Cities with more advanced AI adoption tend to implement a greater number of use cases, thereby delivering superior outcomes for their residents. BCG emphasizes that while technology infrastructure is crucial, the true success of a city lies in its ability to convert digital capabilities into enhanced services and improved quality of life.
The study reveals that cities with higher AI usage among residents also report higher levels of satisfaction. Cities like London and Dubai exemplify this correlation, where both high application usage and strong satisfaction among app users are prevalent.
BCG further highlights diverse pathways for cities aiming to elevate their intelligent-city maturity. Some cities excel by cultivating balanced capabilities across multiple areas, while others concentrate on specific strengths like strategy, governance, partnerships, infrastructure, or talent development. BCG recommends that cities prioritizing improvement should focus on clarifying long-term goals, enhancing governance and partnerships, expanding proven AI and digital services, and investing in data, technology, infrastructure, and workforce development.
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