Hotel Project
Ministry of Energy Indonesia

Hotel Project
Ministry of Energy Indonesia

Cepta Holdings’ believes in diversification.

Tourism is an important component of the Indonesian economy, as well as a significant source of foreign exchange revenues, contributing to 9.3% of country’s GDP. Good travel and tourism policies enable 10 million international visitors annually. Indonesia’s tourism sector accounts for approximately 4% of the total economy and plans to double the figure by 2021 by improving infrastructure, accessibility, health &  hygiene, as well as enhancing online promotional marketing strategy, leading to opportunities in upcoming markets. The government has also revised its visa-free access policy in 2015 to attract more foreign tourists. Famous tourist destinations like Bali and Jakarta have already seen a large influx of investment in recent years, especially, in the upper end of the market, leading to excessive supply, promoting the establishment of hotel industry.

Indonesia, with 252 million inhabitants, is the world’s fourth most populous country with a large middle class population. It is the 16th largest economy in the world and is projected to be the seventh largest by 2030. Incentives to investment are accessible to all investors, whether national or foreign. In 2006, the government improved the investment climate by a reduction in time required for the creation of a company, rationalization, and improvement of customs procedures and regulations. Privatization program affecting sectors like transport and finance is regularly updated. The country allows majority holding interest in the capital of Indonesian companies, except in certain sensitive sectors. The state also provides incentives to companies, which choose to set up in one of the seven customs areas.