Sandiaga Uno, the Indonesian Minister of Tourism and Creative Economy has revealed that 25 companies from various countries, including India, the United Arab Emirates, China, France, and Poland, are currently exploring investment opportunities within Indonesia’s tourism sector.
These foreign investments are primarily directed towards two Super Priority Destinations, Likupang and Mandalika, as well as eight Special Economic Zones (SEZs) focused on tourism.
“They are currently in the exploration phase, and if there’s a continuation, they will proceed to due diligence,” Sandiaga expressed, on September 7, 2023.
Recognizing the importance of these investments, Sandiaga emphasized that his office would diligently follow up on all expressions of interest. He believes that these investments play a crucial role in creating job opportunities within the country’s tourism sector.
Regions attractive to investors
Sandiaga further outlined that investors from China are particularly interested in six Tourism SEZs, namely Kura Kura Bali, Sanur, Tanjung Kelayang, Tanjung Lesung, Lido, and Morotai. Meanwhile, investors from France and Poland are eyeing the development of Mandalika and Singhasari Tourism SEZs.
“Mandalika, in particular, has garnered significant interest due to the MotoGP,” Sandiaga noted.
While the total potential investment value has not been calculated yet, Sandiaga anticipates that this figure will be disclosed in the Tourism Outlook for 2023/2024.
Sandiaga stressed the need for a thorough evaluation of all expressions of interest to determine which ones can be executed in the near future. Additionally, this assessment will help identify investments that can be realized starting from 2025.
Super priority destinations
Previously, Sandiaga set a target of attracting up to US$ 8 billion or IDR 120 trillion in additional investments for the five Super Priority Destinations, which include Borobudur, Likupang, Labuan Bajo, Mandalika, and Lake Toba.
“We have tourism in five Super Priority Destinations in Indonesia that we want to boost investment in,” said Minister Sandiaga Salahudin Uno.
Sandiaga explained that the achieved investment value will be allocated to the development of high-quality hotel accommodations in these five Super Priority Destinations.
Currently, investments in Lake Toba have reached approximately IDR 600 billion, and efforts are underway to further boost investments in the remaining five Super Priority Destinations, including the development of essential infrastructure.
