Indonesia Eximbank news and announcements.
The biggest sports event in Asia – Asian Games and Asian Paralympic Games 2018, have been successfully held in Indonesia several months ago. Many countries have shown approval and appreciation for the event, from the Games' opening ceremony to its final games and closing ceremony. While the success of the games have highlighted Indonesia as a more than capable international event host in the eyes of the world, this success also has a considerable impact on Indonesia’s economic development.
Other than international sports events, Indonesia has hosted other international events, such as the IMF-WBG Annual Meetings, which were recently held in Bali. Hosting international events have had sigfinicant influences on the Indonesian economy, the sectors of which include:
As a host, Indonesia strives to serve every foreign delegate as best as it can. One way to do this is by returning to and making progress on previously postponed infrastructure construction projects. With new and adequate infrastructure, the safety and comfort of international guests are ensured. Indonesian citizens also benefit from this development of infrastructure, as constructing new roads and repairing damaged roads help reduce congestion and accident risks. All of these assets remain useful even after the event is completed.
With hosting an international event comes welcoming many foreign guests. Some of these foreign guests may sometimes visit other places in Indonesia to go sightseeing around the country. This opens countless doors of opportunities for the Indonesian tourism sector to promote their respective regions to the world in order to charm and attract more visitors. According to the Indonesian Bureau of Statistics, the number of tourists visiting Jakarta and Palembang have reached 1.7 million domestic tourists and 78.854 foreign tourists.
Every international event will certainly affect certain business fields, including hospitality, culinary, souvenir sales, and construction (to support frastructure development). The presence of international events also statistically increases the number of jobs and national productivity. In the recent 2018 Asian Paralympic Games event, for instance, BAPPENAS recorded an increase in employment, reaching 108,780 with an increase in real wages of 0.03%.
Other than the aforementioned sectors, micro, small, and medium enterprises (MSMEs) also benefit from international events. Several international events enable MSMEs to participate and make profit by selling a variety of merchandise. This opportunity will enable businesses to showcase their products and introduce them not only to the Indonesian market, but to attending foreign delegates as well.
The 2018 Asian Games brought positive growth to the Indonesian economy. According to the Indonesian Bureau of Statistics (BAPPENAS), economic growth increased by approximately 0.05% of the total GDP value.
Based on the positive economic impacts international events have brought on, it is not unreasonable to say that these results may encourage Indonesia to continue striving for better results, while remaining as a trustworthy host of various international events.