Bali, Jakarta, Yogyakarta Set to Welcome 16M Tourists

The initiative highlights the country’s dedication to strengthening its tourism sector while ensuring a balance between sustainable development and economic growth.

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By Priyal Dutta
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Bali, Jakarta, and Yogyakarta Target to Welcome More Than 16 Million International Holidaymakers, Expecting to Create 25.8 Million Tourism Industry Jobs

Indonesia's Tourism Industry on the Rise

Indonesia, the largest economy in Southeast Asia, has set tourism goals for 2025. It aims to attract between 14.6 million and 16 million international visitors, a modest increase from the 2024 target of 14.3 million visitors. The initiative underscores the nation's commitment to bolstering its tourism industry while balancing sustainable development with economic expansion.

During a press briefing, Minister of Tourism Widiyanti Putri Wardhana outlined the country’s tourism plans, highlighting the significance of both international and domestic tourism. While the focus on attracting international visitors is expected to yield considerable economic benefits, the ministry is also adjusting its domestic tourism targets. The goal is to achieve 1.08 billion domestic tourists by 2025, which is a slight decrease from the targets set for 2023 and 2024 of 1.2 to 1.4 billion holidaymakers. This change reflects a shift in priorities from quantity to quality in tourism.

Economic Contributions of Tourism

Tourism remains a critical driver of Indonesia’s economy. In 2025, the sector is projected to contribute 4.6% to the nation’s gross domestic product (GDP), translating to revenue between $19 billion and $22.1 billion. Increased international arrivals and strategic investments in tourism infrastructure drive this growth.

The tourism sector is also expected to create 25.8 million jobs, further solidifying its role as a cornerstone of the country’s economic development. Job creation spans various segments, including hospitality, transportation, tour services, and local crafts, providing opportunities for communities across the archipelago.

International Arrivals and Revenue Projections

Strong marketing campaigns and the development of new tourist destinations support Indonesia's efforts to attract international visitors. For December 2024, the country anticipates between 1 million and 1.32 million international arrivals, generating revenue of approximately $1.4 billion to $1.85 billion.

According to Statistics Indonesia (BPS), the country recorded 11.6 million international arrivals as of October 2024. These figures highlight Indonesia’s potential to reach its 2025 targets, supported by a diversified tourism portfolio that includes popular destinations like Bali, Jakarta, and Yogyakarta, as well as emerging spots such as Labuan Bajo and Raja Ampat.

Domestic Tourism: Adjusting Targets

While international tourism takes centre stage, domestic travel remains integral to Indonesia’s tourism strategy. Though lower than previous years, the 2025 target of 1.08 billion domestic tourists reflects a shift towards sustainable and responsible travel. The ministry aims to encourage Indonesians to explore lesser-known destinations, reducing pressure on overcrowded areas like Bali.

Promotional campaigns will focus on eco-tourism and cultural tourism, showcasing the diverse landscapes and rich heritage of Indonesia’s 17,000 islands. This approach aligns with global trends favouring sustainable travel and helps preserve Indonesia's unique natural and cultural assets.

Challenges and Opportunities

Indonesia’s tourism sector faces several challenges, including modernising infrastructure, managing overcrowding in popular destinations, and addressing environmental concerns. However, these challenges also present opportunities for innovation and investment.

The government’s commitment to sustainability is evident in initiatives like the development of eco-friendly accommodations, the promotion of renewable energy in tourist areas, and stricter regulations to protect marine and terrestrial ecosystems. Collaborations with private stakeholders and international organizations further enhance Indonesia’s ability to tackle these challenges effectively.

Strategic Initiatives to Boost Tourism

To achieve its 2025 targets, Indonesia has launched several strategic initiatives:

  1. Digital Marketing Campaigns: Leveraging social media and digital platforms to promote Indonesia’s tourism offerings globally.
  2. Visa Reforms: Simplifying visa processes to attract international visitors, including extending visa-free access for select countries.
  3. Infrastructure Development: Enhancing connectivity with new airports, improved road networks, and upgraded facilities at key tourist sites.
  4. Sustainable Tourism Projects: Investing in eco-tourism and cultural tourism to attract environmentally conscious travellers.
  5. Events and Festivals: Hosting international events and cultural festivals to showcase Indonesia’s diverse traditions and modern attractions.

The Role of Bali and Beyond

Bali continues to be Indonesia’s tourism crown jewel, attracting millions of visitors annually. However, the government is keen to diversify its tourism offerings by promoting other destinations. Thanks to targeted investments and promotional efforts, emerging spots like Mandalika, Labuan Bajo, and Morotai are gaining traction.

For example, Labuan Bajo, a gateway to the Komodo National Park, has seen significant infrastructure and hospitality services upgrades. Similarly, Mandalika is being developed as a hub for sports tourism, hosting international events like MotoGP races.

Looking Ahead

As Indonesia works towards its tourism goals for 2025, collaboration among the government, private sector, and local communities will be essential. Ensuring that this growth is sustainable and inclusive remains a top priority. By focusing on both international and domestic tourism, Indonesia aims to develop a resilient and dynamic tourism sector that benefits all stakeholders.

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