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Indonesia - US Removed Warning, Tourism Industry Bounced Back

Oct 06, 2008

The Indonesian tourism industry is witnessing fast pace growth due to positive environment and lifting of warning by the US but it still needs to work hard for achieving its target.

The Central Bureau of Statistics official said that the foreign tourist arrivals in Indonesia reached 2.9 Million in the first half of 2008, an increase of 11.66% against the same period last year, as reported by m&c.

The volume of foreign tourist arrivals in Indonesia during June 2008 rose 3.95% to 529,100 against the previous month (June 2008) and increased 6.22% compared to the corresponding month last year, when the total number of foreign tourists stood at 498,100. Also, the target set by Indonesia for 2008 is seven million foreign tourists and expects to earn revenue up to $6.4 Billion in foreign exchange.

The Indonesian tourism industry has greatly benefited from positive business conditions that encouraged tourists from across the world to visit the country. Natural calamities such as earthquakes and tsunami and bird flu outbreak seriously hampered the industry growth but the country has now recovered from these issues.

Also, the warning issued by the US against traveling to Indonesia has been revoked due to which the flow of American tourists has scaled up in the country. The lifting of warning has opened up opportunities for the Indonesian tourism industry to attract tourists from the US and European countries. This has psychologically boosted the confidence of the Indonesian tourism authorities.

Furthermore, with an objective of boosting the foreign tourist arrivals, the Indonesian government has expanded the list of counties where visa-on-arrival facility is available for tourists. These benefits have drawn the attention of people from across the world and people are leveraging the opportunities.

The industry set the target of drawing seven million foreign tourists this year but experts believe that it requires more efforts and aggressive promotion.

A Research Analyst at RNCOS said, “The tourism industry in Indonesia is witnessing a high growth phase on account of positive business conditions and lifting of warning to travel Indonesia by the US. High growth in the tourism industry also supports the country’s economy by bringing in foreign exchange. The government has to intensify its efforts, including marketing and promotion of the industry in other countries, to achieve the target set for the current year.”

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