Sector
Tourism
Indonesia has designated tourism as a primary sector with a strong commitment to integrated infrastructure development and the enhancement of skilled and quality human resources. In 2023, the realization of investment in the tourism sector was predominantly driven by domestic investment (PMDN), reaching Rp 14.9 trillion. The PMDN funds were allocated to various types of businesses, including Rp 8.228 billion for star-rated hotels in West Nusa Tenggara, Rp2.601 billion for tourism areas in DKI Jakarta, and Rp1.656 billion for restaurants in Bali.
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Tourism
Indonesia has designated tourism as a primary sector with a strong commitment to integrated infrastructure development and the enhancement of skilled and quality human resources. In 2023, the realization of investment in the tourism sector was predominantly driven by domestic investment (PMDN), reaching Rp 14.9 trillion. The PMDN funds were allocated to various types of businesses, including Rp 8.228 billion for star-rated hotels in West Nusa Tenggara, Rp2.601 billion for tourism areas in DKI Jakarta, and Rp1.656 billion for restaurants in Bali.
Indonesia has identified 10 priority tourism destinations, including Borobudur, Mandalika, Labuan Bajo, Bromo Tengger Semeru, Thousand Islands, Lake Toba, Wakatobi, Tanjung Lesung, Morotai, and Tanjung Kelayang. Both domestic and international tourists constitute the country’s tourism market potential. In 2023, the number of foreign tourist visits reached 11.68 million, with the largest contributions coming from Malaysia, Australia, Singapore, China, and East Timor. This increase in visits also corresponds with the growth of tourism foreign exchange earnings, which reached US$6.08 billion in the first semester of 2023.
Major provinces attracting international tourists include Bali, DKI Jakarta, Riau Islands, West Nusa Tenggara, and East Java. Meanwhile, the number of domestic tourist trips in 2023 reached 749,114,709 trips, with DKI Jakarta, DI Yogyakarta, and East Java having the highest travel ratios.
Aside from the tourism sector, Indonesia’s creative economy sector has also shown significant growth, with exports reaching US$11.82 billion in the first half of 2023. The fashion subsector is the main contributor with US$6.56 billion (55.52 percent), followed by culinary products with US$4.46 billion (37.70 percent), and crafts with US$792.67 million (6.71 percent).
Moreover, the sector has realized US$225.28 million in foreign direct investment (FDI) and US$577.87 million in domestic direct investment (DDI) in the first quarter of 2023 out of the sector’s total target investment of US$2.68 billion in 2022. The Tourism and Creative Economy Ministry targets investment in this sector to reach US$6-8 billion, with the hope of creating 4.4 million new jobs in 2024. This investment fund is planned to be allocated for the development of five-star hotel accommodations in super-priority tourism destination areas (DPSP) and 10 other priority tourism destinations.
Meanwhile, realized investments in the tourism sector in 2022 amounted to US$2.33 billion. Furthermore, FDI also contributes significantly, especially reaching Rp8.7 trillion from Singapore amounting to Rp2.458 billion, followed by Hong Kong with Rp1.720 billion, and India with Rp1.385 billion.
Latest News
Bank Indonesia (BI) recorded business transactions at Indonesia Sharia Economic Festival (ISEF) 2024 in Jakarta reaching Rp1.85 trillion.
"From the business matching activities, Alhamdulillah ISEF 2024 has successfully recorded almost Rp2 trillion in deals. They include Rp641 billion of financing commitments and realizations, Rp295 billion of trade commitments and realizations, and Rp1 trillion of sharia financial ecosystem cooperation commitments. It's extraordinary," BI Senior Deputy Governor Destry Damayanti revealed at the closing ceremony of ISEF 2024 in Jakarta on Oct. 3, 2024.
ISEF 2024, which took place from Oct. 30 to Nov. 3, 2024 with "Synergy to Strengthen the Resilience and Revival of the Global Sharia Economy" as its theme, was attended by 5,143 exhibitors who earned Rp115 billion of revenue at the event.
"In addition to those deals, retail sales in the last four days also recorded, Alhamdulillah, a fantastic figure. With around 5 thousand exhibitors outside, the total sales revenue reached Rp115 billion in just four days until yesterday night (Oct. 2, 2024)," she added.
Destry stated that the achievement was supported by the collaboration and synergy of all parties who gave their time, energy, and funds to buy sharia economic and financial products.
"ISEF 2024 is not only a forum for sharia economic and financial actors to market their products, but it also [provides] several activities which aims to improve financing and global market access for sharia economy players and MSMEs (micro, small, and medium enterprises) through business matching activities," she explained.
Destry said that synergy, innovation, digitalization, and compliance with sharia are strategies to strengthen Indonesia's Islamic ecosystem and finance that must be carried out more deeply from now on and in the future is necessary to turn Indonesia into a global center for Islamic economics and finance,
"Hence, the vision of Indonesia becoming the center for global Islamic economy and finance must be implemented through programs that are systematically and efficiently put together," she elaborated.
Destry noted that BI, the Religious Affairs Ministry, the National Zakat Agency (Baznas), and the Indonesian Ulema Council (MUI) cannot strengthen the Islamic ecosystem and finance alone, so there must be close synergy and collaboration between stakeholders - including business actors.
BI continues to synergize with the government, related authorities, and industry to strengthen the Islamic economy and finance that could encourage sustainable economic growth.
"We must [work] together to continue strengthening our Islamic financial economy, because the sharia economy and finance ecosystem cannot be achieved with individual efforts alone," she concluded.
The series of activities at the 11th ISEF consisted of national and international talk shows, business matching, the International Halal Showcase, Tabligh Akbar, Muslim Travel Expo, Indonesia International Islamic School and Education Expo (IN2ISE), and Halalicious Culinary Festival, as well as a series of competitions.
ISEF 2024 was preceded by the Road to ISEF that consisted of Sharia Economy and Finance Festival (FESyar) events from May to September 2024 in three regions, namely in the Riau Islands for the Sumatra region, Southeast Sulawesi for the Eastern Indonesia Region (KTI), and East Java for the Java region.
