INDONESIA’S Ministry of Tourism and Creative Economy has reduced its arrivals target for 2014, while the country’s tourism budget for next year is also set to almost halve.
Almost all government agencies are to receive smaller budgets next year as the government earmarks funds for the country’s general and presidential elections scheduled to take place in 2014, said Nia Niscaya, director of international promotions.
She commented: “There (will be) a significant slash in the marketing budget and we need to (prioritise).
“We will be refocusing on travel marts to maintain our presence at big, international promotional events. It is crucial for us to be present at such events to keep up (Indonesia’s positive image) and push for growth.”
Niscaya’s marketing department alone is due to receive Rp88 billion (US$8 million), nearly half of 2013’s Rp160 billion.
In the meantime, Antara news agency quoted Indonesia’s minister of tourism and creative economy, Mari Elka Pangestu, as saying that her office would revise its arrivals target for 2014 downwards from 10 million from 9.5 million.
She said: “We need to be realistic in setting targets, taking into account the condition in the field.”
Pangestu added that current projections indicated that the global economic crisis and slowdown would likely continue into the future as well, dampening travel.
