Indonesia Scraps Tourism Fee on Airline Tickets
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Loading... - Dongmei Fu
- 12 Jul 2024
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Indonesia has decided to scrap the proposal to collect tourism fees through airline tickets, much to the relief of travelers. This decision ensures that no additional charges will be added to ticket prices, easing the financial burden on tourists.
Official Announcement
Minister Sandiaga Uno’s Statement
The news came after Minister of Tourism and Creative Economy Sandiaga Uno attended an internal meeting with President Joko Widodo at the Jakarta Presidential Palace Complex on Monday, July 8, 2024. Minister Uno confirmed, “It was just an idea that wasn't pursued further, and there was no discussion about it. There's no need for the public to worry about tourism fees on airline tickets.” He explained that the public response to the initial proposal had been acknowledged by the President, who directed the ministry not to impose such a levy on tourists.
Origin of the Tourism Fee Proposal
Source of the Proposal
Minister Uno clarified that the idea of collecting tourism fees through plane tickets did not originate from his ministry or the Ministry of Transportation. “We can say that the proposal wasn't put forward by us, nor by the Ministry of Transportation,” he stated.
Coordinating Ministry for Maritime Affairs and Investment
The proposal initially came from a letter circulated by the Coordinating Ministry for Maritime Affairs and Investment, headed by Luhut Binsar Pandjaitan. The letter invited various parties to discuss the potential implementation of a tourism fee through airline tickets. However, this idea did not progress to the discussion or implementation stages.
Indonesia Quality Tourism Fund (IQTF)
Presidential Directive
During the internal meeting, President Jokowi instructed the formation of the Indonesia Quality Tourism Fund (IQTF) program. This initiative will be funded by a dedicated endowment of approximately Rp2 trillion. The funds will be used to support tourism events that have the potential to attract visitors and stimulate economic growth within tourist destinations.
Funding and Launch
“The initial amount agreed upon is Rp2 trillion, and that will be managed by the Ministry of Finance starting from the 2025 State Budget,” Sandiaga Uno announced. The launch of this tourism endowment fund, specifically intended to finance international tourism events, is expected in August 2024.
The decision to scrap the proposed tourism fee on airline tickets underscores the Indonesian government's commitment to making travel to the country more accessible and affordable. With the introduction of the Indonesia Quality Tourism Fund, the government aims to enhance the quality and appeal of its tourism sector without imposing additional financial burdens on travelers. This strategic move is expected to boost Indonesia's attractiveness as a travel destination while supporting economic growth in key tourist areas.
