Political doubts threaten tourism
Political doubts threaten tourism
JAKARTA (JP): Indonesia might have to reduce its 1998 tourist
revenue target of US$5.75 billion if domestic political conflict
continues, Director General of Tourism Andi Mappisameng said
yesterday.
He said the government had targeted foreign tourist arrivals
for the year at 4.6 million, or a 10 percent decline from the
1997 level.
"But it has already dropped more than 18 percent as of the end
of May," he told reporters at a media conference.
He pointed to domestic political uncertainty as a significant
factor discouraging foreign tourists from visiting the country.
"The country's political leaders need to restrain themselves.
We have to think of the people's suffering," he said.
Andi explained that tourist arrivals had dropped since early
this year prior to the meeting of the People's Consultative
Assembly (MPR) in March, which created a jittery environment for
the tourist industry.
"Vacationing tourists don't like shocks and uneasiness," he
said.
The country's domestic political temperature continued to rise
after the MPR held its presidential and vice presidential
election. Increased tensions resulted in the deaths of student
demonstrators, widespread bloody riots and the resignation of
then president Soeharto on May 21.
The economic crisis has further deepened the political crisis,
with ongoing demonstrations threatening to undermine President
B.J. Habibie's leadership.
"The May 14 riots were really damaging," Andi said.
He said that in addition to politics, Indonesia's tourist
industry had been badly hit by several misfortunes plaguing the
country since 1997, including major forest fires and several
airplane crashes.
The government earlier projected overseas tourist arrivals
this year to total between 5.6 million and 6.5 million, but the
country's calamities have forced the target to be revised to 4.6
million, or a 10 percent decline from 5.1 million in 1997, he
explained.
Although the overall picture looks grim, several positive
signs have started to appear, he said.
Jakarta's hotel occupancy rates rose to 30 percent in June
compared to a less than 10 percent rate in May. Bali's hotel
occupancy has likewise increased to 40 percent.
Andi expected tourist arrivals to significantly improve in the
second half of the year if political tension subsided.
He explained that a tense political atmosphere would make it
difficult for the country to attract tourists.
"We're now targeting backpackers," he said, pointing to young
tourists with limited budgets.
He said backpackers directly benefited small businesses
because they sought out low-cost facilities, including small
hotels, restaurants and public transportation.
He added that backpackers were the best promotional tools to
spread the news that Indonesia's political climate had improved.
"Foreigners will trust backpackers more than explanations from
our military."
Andi explained that although the average backpacker budget was
only US$25 per person per day, they often stayed for months in a
country.
The average vacationing tourist only stays for three days and
spends about $1,238, he added.
He also said Indonesia would try to lure potential tourists
from China.
"Six million Chinese visit various countries each year. We
want to tap into that market," he said.
He said Indonesia's Southeast Asian neighbors had enjoyed
strong tourist arrivals from China, with Malaysia citing an
average of 300,000 Chinese tourists per year, Singapore an
average of 350,000 per year and Thailand about 400,000 per year.
"It would be quite an achievement if we could increase Chinese
tourist arrivals 10 percent per year," he said, adding that only
less than 12,000 tourists from China visited Indonesia last year.
He argued that China had a larger tourist potential than
individual European countries.
Indonesia is suffering from its worst economic crisis in 30
years and has been trying to secure as much foreign exchange
revenue as possible. (rei)