Indonesia Sees Tourism as Key Economic Buffer Against U.S. Tariffs

By TIN Media | Current News Published 1 week ago on 8 April 2025
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Jakarta:

Indonesia is turning to its tourism sector as a strategic economic shield to counter the potential impacts of new reciprocal tariffs imposed by the United States, according to Indonesian Minister of Tourism, Widiyanti Putri Wardhana.

 

Minister Widiyanti emphasized that tourism, as part of the service industry, remains unaffected by trade tariffs and continues to be a robust source of foreign exchange for the country.

 

Her remarks came amid concerns from economic experts that rising trade barriers could further pressure Indonesia’s exports to the U.S. and contribute to the weakening of the rupiah against the U.S. dollar.

 

“When goods exports are hit with high tariffs, we must look to other sectors that can balance the economy,” she stated. “Tourism represents a form of service export not subjected to these trade restrictions.”

 

She highlighted that Indonesia, as a key player in Southeast Asia, holds tremendous potential in tourism that can be optimized to generate foreign exchange without the burden of international trade barriers.

 

By attracting more international visitors, Indonesia could enhance its foreign exchange reserves and support the stability of the rupiah, she added.

 

In light of global economic shifts, the Ministry of Tourism is encouraging local businesses to leverage emerging opportunities and elevate Indonesia’s standing as a world-class travel destination.

 

The ministry is also calling on tourism stakeholders to not only boost tourist arrivals but also enhance tour quality, increase visitor spending, and create broader opportunities across the tourism value chain.

 

Minister Widiyanti expressed confidence that with the right strategies, tourism will play a pivotal role in sustaining the national economy amid external pressures and position Indonesia more prominently on the global tourism map.

 

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