Indonesia Unveils $129 Million Tourism Fund to Boost Sustainable Development

In a strategic move to elevate its tourism sector and attract a greater influx of visitors, the Indonesian government is in the process of establishing a dedicated tourism fund. Minister for Tourism and Creative Economy, Sandiaga Uno, announced the ambitious initiative, set to launch in early 2024 with an initial fund of 2 trillion rupiahs (approximately $129 million).

Enhancing Global Appeal and Nation Branding with New Initiatives

The primary objective of the tourism fund is to bolster sustainable tourism development and enhance the global appeal of Indonesia as a tourist destination. Uno emphasised that the funds would be utilised to promote various tourism events, thereby contributing to the nation’s branding on the global stage.

A Comprehensive Approach to Tourism Development

The comprehensive approach involves supporting both national and international events, spanning sports, music, and cultural arts taking place within Indonesia. Notably, the fund’s reach extends beyond conventional tourism-related activities to include high-profile summits, recognising the economic impact of international conferences.

Major International Events in 2024

Visitor footfall is expected to rise owing to three major international-scale events that are already slated to take place in Indonesia in 2024. These events underline the nation’s commitment to post-COVID recovery in the tourism sector, a much-needed one to boost the economy. These events include the BWF Badminton World Tour-Indonesia Masters, the 10th World Water Forum, and the Indonesia MotoGP in Mandalika.

Minister Uno emphasised the multifaceted benefits of hosting such events, stating that they contribute not only to tourism promotion but also play a crucial role in the broader economic landscape. The strategy aligns with Indonesia’s vision to position itself as a global hub for diverse international activities, fostering both tourism and economic development.

The announcement comes against the backdrop of Indonesia surpassing its tourism targets, with 9.49 million tourist arrivals recorded from January to October, exceeding the government’s initial target of 7.4 million for the year. The tourism fund is poised to further propel Indonesia’s standing as a prominent destination, emphasising sustainable practices and fostering economic recovery in the aftermath of the pandemic.