Mandalika SEZ Strengthens Investment Appeal Through Fiscal Incentives
The Mandalika Special Economic Zone (SEZ), managed by InJourney Tourism Development Corporation (ITDC), continues to solidify its position as a global tourism centre. This strategy is implemented through a combination of fiscal incentives and integrated infrastructure.
As quoted from Money, Mandalika SEZ is one of the areas with the most comprehensive investment readiness in the creative economy sector. The zone offers various fiscal facilities to improve operational efficiency for investors.
The available facilities include tax holidays for main business activities as well as tax reduction schemes after the incentive period ends. There is also a tax allowance facility in the form of a reduction in taxable income from investment value.
The government also provides accelerated depreciation and arrangements for dividend tax rates for foreign investors. From the indirect taxation side, investors are exempt from Value Added Tax (VAT) on imports of capital goods.
In addition, there is exemption from import duties and luxury goods sales tax for properties within the zone. This step aims to provide legal certainty and cost efficiency for hospitality sector developers.
ITDC’s Commercial and Marketing Director, Febrina Mediana, explained that Mandalika SEZ does not merely offer incentives. They have prepared an investment ecosystem that is ready to be immediately implemented by business actors.
“We are building Mandalika SEZ as an investment-ready ecosystem, where competitive fiscal incentives are combined with infrastructure readiness, regulatory certainty, and continuously growing demand,” said Febrina Mediana on Monday (30/3/2026).
According to her, this integration provides confidence for investors to enter more quickly and efficiently. This supports sustainable business development in the zone located in West Nusa Tenggara.
In addition to fiscal aspects, Mandalika SEZ provides administrative conveniences in the form of one-stop licensing services. Investors also receive facilities for foreign worker permits and bankable land rights for up to 80 years.
Strategic Zones and Tourism Performance
The development of this zone follows an integrated masterplan divided into several main zones. These zones include Circuit District, Kuta District, and areas focused on lifestyle and entertainment development.
Some flagship areas offered include the 298-hectare Golf Resort Community. In addition, there is the 146-hectare Tanjung Aan Premium Serenity District projected for international hotels.
For the hospitality and lifestyle destination sector, there is the 164-hectare Eastern Adventure District. All developments still prioritise environmental sustainability principles with an allocation of 30 percent green open space.
In terms of performance, Mandalika SEZ recorded significant market growth throughout 2025. The number of tourist visits was reported to exceed 1.4 million people with an average occupancy of 55 percent.
Hotel room occupancy rates even surged to 90 to 100 percent during the MotoGP event. The presence of the Mandalika Circuit has proven to be the main driver for the sportstainment tourism sector in Indonesia.
The organisation of international events such as the GT World Challenge Asia and Asia Road Racing Championship strengthens the zone’s position. These activities provide positive domino effects for the economy of the community around the special economic zone.