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

July 7, 2026

The Chromebook procurement case has become one of Indonesia's highest-profile corruption prosecutions, sparking intense debate over whether it represents a straightforward anti-corruption effort or something far more consequential.

Nine months after the legal process began, and with the court finally delivering its verdict, the case has evolved far beyond a routine procurement dispute. Instead, it has become a litmus test for the Indonesian justice system to distinguish between policy misjudgment, abuse of authority and criminal corruption.

On June 30, the Jakarta Corruption Court sentenced former education minister Nadiem Anwar Makarim to 10 years in prison, imposed a Rp 1 billion (US$55,700) fine and ordered him to pay Rp 809 billion in restitution. Nadiem was given one month to pay the restitution, failing which he will serve an additional five years in prison.

The bench found Nadiem guilty of abusing his authority in the procurement of more than 1 million Chromebook laptops between 2020 and 2022, when Indonesia and the world were hit hard by COVID-19 pandemic that forced schools to avoid in-class learning. According to the ruling, the then-education ministry altered procurement specifications in a way that effectively favored Chromebooks, resulting in Rp 1.57 trillion in state losses.

The court also concluded that the program failed to achieve its intended purpose because many schools, particularly those in areas with poor internet connectivity, were unable to use the devices effectively.

The verdict marked the culmination of a legal process that began on Sept. 4, 2025, when the Attorney General's Office (AGO) named Nadiem a graft suspect. Prosecutors maintained that internal technical assessments had found Windows-based laptops to be more suitable for Indonesian schools, yet those recommendations were allegedly set aside in favor of ChromeOS. They had initially sought 18 years' imprisonment, a Rp 1 billion fine and Rp 5.6 trillion in restitution.

Yet, the sentence itself is arguably not the most significant outcome of the case. More striking is how public opinion evolved throughout the proceedings. Unlike most high-profile corruption trials, where public frustration is typically directed at judges for handing down lenient sentences, the Nadiem case generated an altogether different response. Even before the verdict, much of the public debate had shifted from how severely he should be punished to whether the prosecution had convincingly demonstrated that a controversial policy decision amounted to criminal corruption.

Unlike conventional corruption cases involving bribery or personal enrichment, the Chromebook case revolved around a policy decision whose criminality depended on proving abuse of authority and corrupt intent. As the trial progressed, public attention increasingly focused not on whether the procurement had failed logistically, but on whether prosecutors had successfully demonstrated that the legal threshold for corruption had been met.

The first turning point came when Nadiem challenged his suspect designation through a pretrial motion. Although the court ultimately rejected the application, the proceedings attracted unusual attention after 12 prominent legal figures submitted amicus curiae briefs. Among them were former attorney general Marzuki Darusman and former Corruption Eradication Commission (KPK) commissioner Amien Sunaryadi.

The second turning point unfolded during the trial itself. As prosecutors and defense lawyers presented competing expert testimony and documentary evidence, public attention increasingly shifted to the strength of the prosecution's case. The defense consistently argued that the Chromebook program followed prevailing procurement procedures and generated cost efficiencies. While the court ultimately rejected those arguments, the proceedings exposed genuine disagreement over whether the evidence established criminal intent or merely demonstrated shortcomings in policy implementation.

The final turning point came with the verdict itself. The decision was not unanimous. Judge Andi Saputra issued a dissenting opinion, stating that he found no convincing evidence that Nadiem deliberately sought to benefit Google or acted with corrupt intent. In his view, the prosecution had failed to establish the essential criminal elements required under Indonesia's anti-corruption laws and Nadiem should therefore have been acquitted.

Questions over the proceedings were further fueled by what many viewed as an unusual courtroom process. After reading the verdict, the panel of judges immediately adjourned the hearing without giving the defense the customary opportunity to formally state their position on the ruling.

Leaving the courtroom in tears, Nadiem questioned whether justice had truly been served, describing parts of the verdict as conclusions that "didn't make any sense." Referring to the fine and restitution, he argued that it would be impossible to pay the amount within one month, despite the judges being fully aware of his publicly declared assets. Nadiem later confirmed that he and his legal team would immediately challenge the verdict.

Regardless of how the appeal unfolds, the Chromebook saga has become more than a corruption prosecution; it has morphed into a decisive test of legal certainty, judicial process and the threshold for holding public officials criminally liable for policy decisions.

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