17-7-2024 (JAKARTA) The country’s state-owned enterprises ministry has announced the signing of a preliminary agreement with Eagle Hills, a prominent property developer based in the United Arab Emirates. The memorandum of understanding (MoU), potentially worth up to $3 billion, aims to revolutionise Indonesia’s tourism infrastructure.
The landmark agreement, unveiled during President Joko Widodo’s official visit to the UAE, encompasses an ambitious plan for the development of hotels, airports, and tourism destinations across the Indonesian archipelago. This collaborative effort marks a major step in Indonesia’s ongoing drive to enhance its tourism offerings and attract more international visitors.
Erick Thohir, Indonesia’s Minister for State-Owned Enterprises, elaborated on the flexible nature of the agreement. “The MoU has an initial duration of one year, with the possibility of extension through mutual consent,” Thohir stated. He further emphasised the open-ended nature of the investment timeline, noting, “No specific time frame has been set for the $3 billion investment, allowing for adaptable implementation.”
The ministry’s statement, which included remarks from Eagle Hills, underscores the significance of this partnership. However, specific details regarding the breakdown of projects, their individual values, and a concrete timeline for the investment plan were not disclosed at this stage.
This agreement comes at a crucial time for Indonesia’s tourism industry, which has been seeking to recover and expand following the global downturn caused by the COVID-19 pandemic. The injection of substantial foreign investment is expected to accelerate the development of world-class tourism infrastructure, potentially transforming Indonesia’s position in the global tourism market.
Eagle Hills, known for its luxurious property developments across the Middle East and North Africa, brings considerable expertise in creating high-end destinations. Their involvement signals a vote of confidence in Indonesia’s tourism potential and could pave the way for more UAE investment in the Southeast Asian nation.
