Indonesia Plans to Establish Tourism Fund

INDUSTRY.co.id - President Joko “Jokowi” Widodo has called for the establishment of a tourism fund to support the organization of tourism events and promotions as well as to improve Indonesia’s image globally.

“The President has issued directives to establish the Indonesia tourism fund, which is a fund aimed at supporting the organization of events, tourism promotion, as well as nation branding or improving Indonesia’s image globally,” Minister of Tourism and Creative Economy Sandiaga Salahuddin Uno said after attending a limited meeting on the Annual Tourism Agenda and the Establishment of Tourism Fund, Monday (12/04), at the Merdeka Palace, Jakarta.

In addition, President Jokowi highlighted that the tourism fund should be well-managed and it should prioritize world-class events that can boost the local and even national economy.

Sandi pointed out that Indonesia’s success in organizing international events such as the G20 in 2022 and the ASEAN Summit in 2023 as well as sports, music, arts, and cultural events and those related to the creative economy sector has resulted in an economic impact on national tourism.

“The MotoGP held in October managed to increase the economic impact above Rp8 trillion and West Nusa Tenggara province became the largest contributor to business growth in October. This is because of one flagship event,” he added.

The Minister further stated that during the meeting, the President also underscored that tourism development in the country should be both high quality and sustainable.

“The President said that we must be able to deliver quality and sustainable tourism. So, the number of tourists must increase and the economic impact on the community must also be beneficial,” he said.

The Minister also said that the Government will not create a new institution to manage Indonesia’s tourism fund, but it will be managed by Ministry of Finance’s Indonesia Endowment Funds for Education (LPDP). Likewise with the cultural fund, the tourism fund will also involve all stakeholders who are associated with tourism.

It was also noted that the target for the first year is to manage around Rp2 trillion. He expressed hope that a presidential regulation can be issued this month, so that the implementation can be started  in 2024.