Abolishing visa free facility
The Jakarta Post of Aug. 31 reported a proposal from the Directorate General of Immigration to end the visa free visit facility for nationals of most countries.
The advantage of this idea is that it would fill the coffers of the immigration department.
The disadvantage is that tourists would be deterred by the extra expense and the expected inconvenience, considering Indonesia's reputation as a corrupt country and the knowledge that immigration departments everywhere tend to be obstructive and bureaucratic.
The worst affected areas would be those which depend on tourism, such as Bali. A decline in tourism could stem the flow of job-seeking migrants from Java to Bali but Balinese themselves would find it hard to leave the island in search of employment.
They could not come to Jakarta, due to Governor's Sutiyoso's strategy to make Jakarta wealthy by booting out anybody who is not wealthy. Nor could they go to Malaysia, whose government is now complementing the Indonesian government policy to drive poor Indonesians out of employment.
An alternative proposal from the Ministry of Tourism is to cut the visa free visit period from sixty to thirty days as the "average length of stay for foreign tourists is between 10 days and 12 days".
Whatever the exact figures are, it is clear that if this cut is made, tourists who would stay for thirty to sixty days will visit either for less time or not at all. The average length of stay will drop. Unless we believe that tourists who are only allowed to stay half as long will spend their money twice as fast, tourist receipts will also drop.
This will hit hardest in remote areas that have little chance of attracting short-stay tourists, such as Alor, Sumba or the Togian Islands.
Large hotel chains probably have enough lobbying power to prevent the abolition of the visa free facility. But small businesses in remote parts of Indonesia hardly make enough money to sew a decent suit for Jakarta politicians, let alone line the pockets. So the proposal to shorten the visa free visit period has a much better chance of adoption.
JOHN HARGREAVES
Jakarta