More Foreign Investment in Tourism Encouraged - Tourism Indonesia

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Monday, April 28, 2014

More Foreign Investment in Tourism Encouraged

The Indonesias Ministry of Tourism and Creative Economy has allowed foreign investment in tourism sector to reach 100 percent share as long as the investor has a joint venture with a local partner.

"The foreign investment in the tourism sector is allowed to reach 100 percent with a condition that it has a joint venture with the locals, since we want share-knowledge and skills through that partnership," stated General Director of Tourism Destination Development Firmansyah Rahim here, on Monday.

Indonesia is rich with untouched tourism destination that needed investors to develop its potentials, that is why Firmansyah noted that the Ministry of Tourism pushes investments through various programs and incentives.

As the region grows with tourism, jobs would be available for locals, increasing their welfare.

Besides through the governments program, the tourism sector in Indonesia has also benefited from the trend of traveling and green life-style among the community.

"Hence we could develop both biodiversity and indigenous community as Eco-tourism destination," Firmansyah clarified.

Moreover, Firmansyah noted that the worlds positive sentiment toward Indonesia is growing continuously that encourages investment in Indonesia.

According to the latest Japan Bank International Corporations (JBIC) survey, Indonesia is on the highest rank of global business investors perception within middle term or around the next three years.

On the survey, which involved 488 businessmen as its respondents in 2013, they were asked to choose five countries that were considered as prospective investment destinations within the next three years period.

The result was announced that 219 respondents or 44.9 percent had chosen Indonesia worth to be considered, which made Indonesia rank from third to the first, which used to be held by China.

The second rank is India (43.6 percent), followed by Thailand (38.5 percent), China (37.5), and Vietnam (30.3 percent).

In line with the survey result, the President Director of Tauzia Hotel Management Indonesia, which operates Harris Hotel and Pop! Hotel, Marc Steinmeyer, stated that Indonesia is the most prospective investment destination in the Asian-Pacific region for budget hotels.
"Indonesia is the best place to invest on budget hotel in the Asian-pacific region, we do hope that there is good encouragement and incentive from the government, though," clarified Steinmeyer. (Antara)

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