Indonesia's hospitality sector a popular target for foreign investors

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Indonesia's hotel and hospitality sector has become a popular target for foreign investors in the post-epidemic era, with investment deals expected to reach nearly US$150 million (about Rp 2.4 trillion) in 2026.This growth has been driven by Indonesia's strong macroeconomic fundamentals and improving infrastructure, boosting global investor confidence in the country's tourism prospects.

Investment interest is focused on two core markets:Bali and Jakarta. Bali is inLuxury Hotel Marketperformed strongly, even outperforming other regional destinations such as Phuket and Koh Samui in Thailand; while Jakarta, as theMain entry portalsThe government and business are not as strong as they should be because of theSignificant growth in meetings, incentives, conferences and exhibitions (MICE) activityDemand is solid.

international travelersstrong demandThe following are some of the most important examples of the use of the terminology used in the United Nations Convention on the Law of the Sea, especially from Singapore, Australia, Korea and IndiaPrimary Marketsas well asStable domestic market demandthat drives the hospitality industry'sHigh occupancy and average daily rate (ADR). In addition, investors from the Middle East, Asia and Australia have shown interest in Indonesia's hotel and hospitality industryintense interest, found it attractive.

Macroeconomic developments in Indonesia, such asLarge population, young labor force, massive infrastructure developmentand the Government's policy to improve the business environment and extend tax concessionsAll of which provide the hospitality industry withSolid support.. The projected US$150 million investment deal volume in 2026 signals that Indonesia's hospitality and tourism industry has passed through a critical period intoImportant transition phaseBecomeOne of the hottest investment destinations in Asia PacificThe

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