Digital economy constructively impacting tourism in Indonesia

Friday, May 19, 2023

The digital economy is clearly influencing tourism and creative economy performers, mainly micro, small, and medium enterprises (MSMEs), by means of boosting business flexibility in the times of digital conversion, stated Sandiaga Salahuddin Uno, the Indonesian Minister of Tourism and Creative Economy.

Uno said that digital economy has strengthened the business spirit of tourism and performers of creative
economy, especially when the COVID-19 pandemic harshly impacted the division.

At this year’s Indonesia Time to Speak Up (ITTSU) occasion held in Bali on May 16, Uno said that he is
prepared to support the initiation of Digital Metaverse 5.0 which is inclusive of the digital alteration in the
tourism and creative economy segment.

Minister Uno said that the digital economy aided the nationwide tourism and creative economy segment
register a constructive act last year. Indonesia’s Travel Tourism Development Index (TTDI) in 2022 increased to 32nd place, before Malaysia, Thailand, Vietnam, and the Philippines.

In 2022, the input of the tourism segment to Indonesia’s gross domestic product was almost 4 percent, and the worth of Indonesia’s foreign exchange from tourism touched US$4.26 billion in 2022, said
Minister Uno.

Uno said that this year, his ministry is targeting increasing foreign exchange worth from tourism to
US$2.07 billion–US$5.95 billion. Tourism’s input to the gross domestic product is predictable to touch 4.1
percent.

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