Indonesia’s West Papua Tourism Destination and Development Program

Indonesia’s tourism destination and tourism development program for 2015- 2019 has three strategic objectives:

  1. Improved quality of tourism destination,
  2. tourism investment,
  3. and tourism contribution to employment.

The increasing quality of tourism destinations is characterized by four main indicators:

  1. Increased number of areasthat have facilitation for infrastructureand ecosystem development;
  2. Increasednumber of facilitation to increase cultural,natural and artificial tourism destinations;
  3. Increased amount of facilitation forimproved tourism destination governance;
  4. and Increased amount of facilitation forcommunity empowerment.

Increased investment is characterizedby the indicator of tourism investmentcontribution to total national investment.Meanwhile, the contribution of tourismto the absorption of labor is characterizedby direct, indirect, and follow-up laborindicators in the tourism sector.

West Papua

Investment in the tourism West Papua sectorin 2016 was targeted at USD 1,627.36million, but realization only reached USD1,093.65 or 67%.The increase in the contribution of tourismto the absorption to the national workforce isindicated by the number of direct, indirect and follow-up labor in the tourism sector, which in2016 was targeted toreach 11.7 million.

Indicators of improving the qualityof tourism West Papua destinations are the number of areasthat are facilitatedfor infrastructure andecosystem (provincial) development. Thetarget is 34 regionsand realization reached100%.

The number offacilitation to increase West Papua tourism, cultural, natural and artificialdestinations is targeted at 25 locations and can be realized by 100%. The numberof facilitation to improve the governance of tourism destinations is targeted at 25 locations and realized in 27 locations orby 108%. While the number of community empowerment facilitation is targeted in 34 provinces and can be realized by 100%.

Investment in the tourism West Papua sector includes public investment by government(infrastructure) and investment by theprivate sector (amenitas). Based onthe 2016 “Travel & Tourism Investmentin ASEAN” report by the World TravelTourism Council (WTTC), both governmentand private investments are important factors in the development in ASEAN.

This is because investment can increase the capacity to support high demand and number of tourists; better infrastructure development and improvement of facilities; maintain andimprove the functionality and quality ofexisting infrastructure, and can encouragenew regulations and better environmentalstandards.

Next is to increase theattraction to drive new demands and seizemarket share.The investment realization in Indonesia includes Foreign Investment(PMA) and Domestic Investment (PMDN), where the realization value of tourisminvestment in 2016 amounted to USD1093.65 million, in the form of FDI of USD954.59 million, and PMDN of USD 139.06million.

The largest form of PMA tourism investment in Indonesia in 2016 is hotel development (56%), management consulting service (27%), and restaurants.

The three biggest investment destinationsare:

  1. DKI Jakarta (54%),
  2. Bali (22%),
  3. and West Java (7%).

While the threelargest investor countries are:

  1. Singapore(51%),
  2. British Virgin Island (14%),
  3. and Luxembourg (8%).

The three largest form sof PMDN tourism investment are:

  1. star hotel development (65%),
  2. tirta tourism (21%),
  3. and amusement park (4%).

The threeregions that are the biggest investmentdestinations are:

  1. West Java (29%),
  2. Bali(23%),
  3. and Yogyakarta (17%).