Indonesia to establish world-class health tourism SEZ

Indonesia to establish world-class health tourism SEZ

Indonesian island of Bali (Antara News Bali/HO-Pande Yudha/)

Jakarta (ANTARA) - Indonesia is targeting to build its first Special Economic Zone (SEZ) for health and tourism in Bali Province’s Sanur area that integrates the two sectors and to further solidify Indonesia’s healthcare architecture.

In a statement received here Wednesday, the project is being implemented under cooperation between PT Aviasi Pariwisata Indonesia (Injourney), through its subsidiary PT Hotel Indonesia Natour, and Indonesia Healthcare Corporation (IHC).

The SEZ area for both health and tourism became one of the priority programs of the Ministry of State-Owned Enterprises (SOE) that was showcased during the SOE International Conference: Driving Sustainable & Inclusive Growth held last month as a part of the Trade, Investment, and Industry Working Group (TIIWG) Road to G20.

Indonesia’s Minister of SOE Erick Thohir believed that development of the Sanur Health and Tourism SEZ will boost the economy at both the national and local levels.

“It has quite a large potential. Hence, it can become a priority to revive tourism activities in Bali,” he remarked.

He further elaborated that the project will also be beneficial for Indonesians, as it would allow them to seek treatment in the country, with the provision of world-class health services that are similar to those they seek overseas.

Development of the Sanur SEZ is projected to be able to become the destination of four percent to eight percent of Indonesians seeking treatments abroad.

Some 123-240 thousand patients are projected to seek treatments in the Sanur SEZ by 2030.

“Data shows that the Indonesian population is a major contributor to medical tourism in the region, with more than two million citizens traveling abroad in 2019 to obtain health services worth US$6 billion,” the statement noted.

As a new investment, the Sanur SEZ is estimated to absorb around 43 thousand workers, and by 2045, it is expected to add total foreign exchange earnings of up to US$1.28 billion.

Additionally, the projected increase in the number of tourists visiting Bali is expected to reach 24.6 percent during the 2020-2024 period, and the growth of medical tourism in Southeast Asia is projected to reach around 18 percent during the same period.

Meanwhile, Acting President Director of Indonesia Heath Corporation (IHC) stated that the Sanur SEZ will provide high-quality, integrated international-standard health services with the latest medical care.

The IHC, as a holding for state-owned hospitals, hosts 75 hospitals and 143 clinics across the country.

The SEZ is built on 41.26 hectares of land owned by PT Hotel Natour Indonesia, with an investment value of US$664 million.

As an effort to integrate health services with tourism, a revitalization process for the existing tourism infrastructure in the Sanur SEZ will also be conducted, including increasing the hotel class rating, from 4 to 5 stars.

“This revitalization process will further increase the added value of Sanur SEZ that carries the concept of integrated end-to-end service. Thus, it can further attract the interest of people seeking world-class medical services while traveling to Bali,” Injourney’s President Director, Dony Oskaria, explained.

The revitalization will include the Grand Inna Bali Beach Tower Hotel, Grand Inna Bali Beach Garden, and the construction of a Convention Center, with a capacity of five thousand people.  

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