Tourism Doing Business, Investing in Indonesia
Indonesia has emerged as one of the greatest tourism destinations, supported by government-led initiatives to enhance infrastructure, connectivity, and investment opportunities.
"Indonesia has become an important player in global tourism, driven by its cultural and natural diversities and strategic position. With robust economic foundations and policies promoting investment, it stands out as a top destination”.
Zurab Pololikashvili,
UN Tourism Secretary-General
" In 2024, Indonesia welcomed over 13.9 million international visitors, showcasing strong recovery and resilience. The government remains committed to balanced growth and sustainable development in tourism investments."
Natalia Bayona,
Executive Director, UN Tourism
Tourism Doing Business Investing In Indonesia
Economic Outlook
Tourism is strong draw for both local and international investors in Indonesia, thanks to its rich cultural heritage, natural beauty, and strategic government initiatives. The push to develop the 10 Super Priority Destinations is unlocking even more opportunities, with more than USD 13 billion worth of tourism projects expected in the coming years.
Indonesia's economy has demonstrated remarkable resilience despite facing challenges as increasing volatility in prices and geopolitical uncertainties. From 2015 to 2024, the country achieved an average annual growth rate of 4.2%, with forecasts suggesting an increase to 5.1% for 2025 and 2026. With inflation under control, Indonesia stands out as a stable and attractive destination for investment.
FDI Performance
In 2024, Indonesia attracted USD 60 billion in foreign direct investment (FDI) across various sectors, surpassing its ten-year average. Notably, the tourism sector alone accounted for approximately USD 16.1 billion since 2018, with USD 5.6 billion (34.7%) stemming from FDI and USD 10.5 billion (66.3%) from domestic investors.
Value Proposition
Investing in Indonesia's tourism sector offers numerous advantages:
- Government Commitment: Tourism is prioritized, supported by long-term plans and infrastructure projects.
- Market Diversity: The tourism landscape caters to every budget, from luxury resorts to eco-lodges and cultural experiences.
- Skilled Workforce: Ongoing training initiatives for tourism professionals enhance service quality and global competitiveness.
- Emerging Niche Markets: Opportunities abound in culinary tourism, wellness tourism, adventure tourism, eco-tourism, sports tourism, and luxury hospitality.
Green Investments Outlook
Sustainability is crucial in Indonesia's tourism strategy. The focus on eco-tourism highlights the commitment to environmental responsibility, aligning with global trends toward sustainable travel. Investments aimed at promoting green practices are not only welcomed but are increasingly seen as essential for attracting a growing segment of environmentally conscious travelers.
Competitive Outlook
Indonesia is home to ten Super Priority Destinations, including Lake Toba and Borobudur Temple, alongside three regenerative tourism destinations: Bali, Riau Islands, and Jakarta. These initiatives unlock additional investment opportunities worth over USD 13 billion in upcoming tourism projects. The country's unmatched diversity ensures there is something for every traveler, making it a competitive player in the global tourism market.
Indonesia represents more than just a travel destination; it is a thriving tourism economy with significant investment potential. With a strong economy, government backing, diverse offerings, and emerging market opportunities, the time to invest in Indonesia’s tourism sector is now.