Indonesian government budgeted Rp43.11 trillion (US$3.07 billion) for Transportation Ministry in 2020 to develop priority and super-priority tourism destinations that are currently under construction - Photo by PT Angkasa Pura II

JAKARTA (TheInsiderStories) – Indonesian government budgeted Rp43.11 trillion (US$3.07 billion) for Transportation Ministry in 2020 to develop priority and super-priority tourism destinations that are currently under construction.

At the hearing with the parliament on Modany (09/16), the minister, Budi Karya Sumadi, the additional budget was intended for the develop Lake Toba National Tourism in North Sumatera with costs Rp109.2 billion, Wakatobi Tourism in South East Sulawesi Rp19.7 billion, and Bromo – Tengger – Semeru Tourism in East Java costs of Rp5.5 billion.

In addition, the government will also develop the Borobudur Tourism Area in Central Java with the required funds Rp4.05 billion, Tanjung Kelayang, Belitong in Riau province Rp5 billion, Morotai Tourism in North Maluku Rp18.5 billion, and Labuan Bajo in East Nusa Tenggara Rp207.6 billion.

Of the total funds, the directorate general of railways received the highest allocation Rp12.56 trillion. Then, directorate general of sea transportation Rp10.95 trillion, directorate general of civil aviation Rp8.3 trillion, and directorate general of land transportation Rp5.89 trillion.

For the Greater Jakarta Transportation Management Agency received a ration of Rp406.58 billion. As known, President Joko Widodo announced the budget needed for the integration of Jakarta and its surrounding transportation management (Bogor, Depok, Tangerang and Bekasi) worth of Rp 571 trillion.

The amount to meet the needs of the development of basic needs includes transportation of Mass Rapid Transit (MRT) and Light Rail Transit (LRT), settlements, clean water, wastewater management. The construction was carried out in stages from 30-40 years. While the construction of the four basic needs will be speeded up in 10 years so that it can be completed in the next 2030.

On tourism sectors, the government is targeting Indonesia as a leading Asian and World tourism destination by 2045 with a total of 73.6 million foreign tourist visits, from the 18 million people set for 2019, said National Development Planning Minister Bambang Brodjonegoro last month.

“Indonesia’ diversity which includes more than 17 islands, 300 ethnic groups, 700 languages, world heritage sites, as well as the third-largest biodiversity is a great potential for tourism development,” Brodjonegoro stated.

He continued in 2020 the government will focus on developing leading destinations with a target of 21.6 million foreign tourists, in 2025 increasing competitiveness with a target of 31.8 million people, in 2030 increasing diversity of tourism with a target of 42.8 million people, in 2035 increasing the integration of tourism with a target of 57.5 people.

Furthermore, in 2040 the strengthening as Asia’s flagship destination with a target of 65.1 million people, and finally in 2045 the strengthening as the world’s flagship destination with a total of 73.6 million people visiting.

“In 2045 when we celebrated 100 years of Indonesian independence, we were already in the high-income country category. Because currently, our status is still middle income,” said the minister.

In 2045, where the population increased to 320 million people, life expectancy will improve in 75 years, the majority of Indonesia’ population will also live in cities. He revealed, the government targeting the economy to no longer rely on natural resources, but all sectors that have added value including tourism.

Besides, the manufacturing and agriculture sectors, he went on, the tourism sector also directly contributed to foreign exchange reserves so as to strengthen the economy externally. Then tourism must become a government’s concern so that it can become the backbone of the Indonesian economy in 2045.

Tourism can also contribute to inclusive growth and more balanced national development by bringing investment to remote areas with tourist attractions. Tourism Minister Arief Yahya is optimistic that by the end of 2019 the number of tourist visits could reach the target of 18 million, higher than the Bank Indonesia projection which mentions 17.6 million visits.

The minister said that the tourism sector is one of the main foreign exchange-earners. In 2018, Indonesia’s foreign exchange income from the tourism sector reached US$17 billion, rose $2 billion from $15 billion a year earlier. And in 2019, the government targets the tourism sector to contribute $20 billion in foreign exchange.

US$1=Rp14,000

Written by Lexy Nantu, Email: lexy@theinsiderstories.com