Government Pursues Rp 8,000 Trillion Investment Potential in Indonesia's Sports Industry
The Ministry of Investment and Downstreaming/Investment Coordinating Board (BKPM) and the Ministry of Youth and Sports (Kemenpora) are encouraging investment development in the sports sector. Investment in this sector could reach USD 251 billion, equivalent to Rp 8,000 trillion.
The commitment was marked by the signing of a Memorandum of Understanding on Synergy in the Implementation of Risk-Based Business Licensing and Investment Development in the Sports Sector in Jakarta on Friday (28/8).
This cooperation serves as a foundation for both ministries to strengthen the implementation of risk-based business licensing while encouraging a conducive investment climate for the development of the national sports industry.
Minister of Investment and Downstreaming/Head of BKPM Rosan Perkasa Roeslani said that investment development in the sports sector should have a broader impact, not only in terms of increasing investment value but also social and economic benefits for the community.
“The impact is not only on the city that hosts the activity, but also has an overall impact on the economy. Not only in terms of sports, but also impacts tourism and other industries,” Rosan said in an official statement on Saturday (30/8).
According to Rosan, strengthening the investment ecosystem in the sports sector needs to be supported by regulatory certainty and inter-agency collaboration. Through this synergy, the government can create more effective licensing services while opening broader investment opportunities in various sports-related fields.
This is particularly relevant with the issuance of Government Regulation No. 28 of 2025, whereby if within the agreed timeframe according to the Service Level Agreement (SLA) a permit from another ministry has not been issued, the OSS system automatically issues the permit.
“That also provides certainty from the licensing side. Since the provision was implemented, we have issued more than 250 permits through the positive fictitious mechanism,” Rosan explained.
Meanwhile, Minister of Youth and Sports Erick Thohir highlighted the enormous potential of the sports industry and sports tourism as continuously growing sectors. Each has a potential of USD 251 billion and USD 600 billion respectively.
“The sports industry is worth approximately USD 521 billion or Rp 8,000 trillion, with annual growth of 8 percent, higher than the economic growth of many countries. Not to mention sports tourism, which is worth almost USD 600 billion and is also growing significantly,” Erick said.
Through this Memorandum of Understanding, both ministries agreed on several areas of cooperation, including policy synergy in the implementation of risk-based business licensing in the sports sector, improvement of services and facilitation of supervision and monitoring of business actor compliance through the Online Single Submission (OSS) system, enhancement of human resource competencies, and interoperability of business licensing data and information.
In addition, the cooperation is directed towards developing investment opportunities and promoting capital investment in the sports sector. This is expected to strengthen the national sports industry ecosystem and provide service certainty for business actors.