ASEAN KEY DESTINATIONS
RI tourism sector ready for AEC, says minister
Indonesia: Tourism and Creative Economy Minister Mari Elka Pangestu says Indonesia's tourist sector is the most ready for the ASEAN Economic Community (AEC) 2015.
Mari said investment in the country's tourist sector reached US$602.648 million in 2013, comprising 462.47 million in foreign investment and $140.18 million in domestic investment.
"Most of the investment went the development of hotels and restaurants," she said in Jakarta on Monday on the sidelines of Regency Administrations Association’s (APKASI) International Trade and Investment Summit (AITIS) 2014 as quoted by kompas.com.
She said the substantial investment in the hotel and restaurant sector was a bid to anticipate surging demand in the future.
Santika Indonesia Hotels and Resorts, Tauzia Hotel Management and Dafam Hotels were the domestic operators exhibiting the most aggressive expansion, as they planned to add 140 new properties this year, she said.
In terms of foreign operators, Carlson Rezidor, with its local partner - the country's largest tour and travel firm the Panorama Group - aims to construct 20 hotels in the next five years.
Other chains like Archipelago Hotels and Accor also planned a large expansion to capture the potential of the domestic market.
She added that tourism contributed $10 billion to the country's income, the fourth largest contributor behind the oil and gas sector, coal and palm oil.
"Tourism also contributes 3.8 percent to the nation's GDP [gross domestic product], creating 10.8 million jobs," she continued.
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