Indonesia, with its rich culture, stunning natural landscapes, and the hospitality of its people, has become an attractive destination for tourists from around the world. In recent decades, the country has experienced impressive growth in the tourism sector, which not only contributes to economic development but also creates new opportunities for investment and infrastructure development.
Key Role of Tourism
Undoubtedly, tourism plays a key role in Indonesia's economy. It has become an integral part of the national GDP, contributing more than 20% to the total. It is no surprise that over the past 20 years, tourist arrivals in the country have consistently increased. Especially notable is the growth over the last decade, with tourist numbers doubling to reach a peak of 16 million in 2019.
Tourism in Indonesia not only serves as a source of income but also stimulates the development of other sectors of the economy. Due to its scale and diversity, this sector provides employment for millions of people, including those working in hospitality, restaurant businesses, transportation, souvenir trade, and the entertainment industry. Thanks to investments in tourism, the country also gains the opportunity to attract foreign capital and new technologies.
Bali: The Jewel of Indonesian Tourism
Bali undoubtedly holds a special place in the hearts of many tourists. The share of this magical island in the overall tourist flow of the country grew from 27% in 2004 to an impressive 40% during the period from 2016 to 2019. However, pandemic-related travel restrictions temporarily halted this upward trend. But as life gradually returns to normal, tourist arrivals are once again on the rise. By the end of the second quarter of 2023, Bali had already recorded 2.36 million tourist visits.
It is known that tourist areas such as Seminyak, Canggu, and Sanur are developed by more than 90%, reflecting significant interest in these popular destinations from both tourists and investors. For example, there has been an increase in land prices in the coastal area of the tourist part of Canggu over the past year.
Government Investments and Tourism Development
The Indonesian government recognizes the importance of tourism development and actively invests in this sector. Infrastructure development projects, hosting international events, and supporting leisure projects are just some of the measures aimed at stimulating tourist traffic. Authorities have again discussed plans to build a new airport in northern Bali, expected to provide 25 thousand jobs with a capacity of 50 million passengers per year and a runway of 3600 meters.
Bali: Accessibility for Tourists
The island of Bali plays a key role in the development of Indonesian tourism. Direct flights to Bali from 16 countries with a combined population of 2.2 billion make it accessible to a huge number of potential tourists. The island's location in the center of the Indo-Pacific region provides convenient access to key markets in Asia and beyond.
Golden Visa
By the end of 2023, foreigners in Bali will have access to a Golden Visa for 5 and 10 years, with which a tourist can officially obtain investor status on the island and exclusive benefits. This important government decision promotes capital attraction and infrastructure development, making Bali even more attractive to international investors and tourists.
To obtain a 10-year "golden visa," an investor will need to establish a company in Indonesia with an initial capital of at least $5 million. For those applying for a 5-year visa, the minimum required capital is $1 million. Additionally, investors have the opportunity to invest at least $350,000 in bonds to obtain a 5-year visa and at least $700,000 for a 10-year visa.
Tourism is not just an industry; it is an engine of economic growth and development. In Indonesia, this sector demonstrates stable growth, opening up new opportunities for business and investment. And the island of Bali, with its unique charm and hospitality, remains one of the top attractive destinations in the world for tourism.
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