The recovery of the country’s economy from the Covid-19 pandemic is currently progressing well. However, The Minister of Tourism and Creative Economy of Indonesia, Sandiaga Salahuddin Uno, believes that the economic movement could be even better if the government makes it easier to obtain permits for potential events such as music concerts, cultural shows, and sports events.
According to Sandiaga, easing permit requirements for such events could create an economic movement of up to Rp170 trillion.
In line with this, the President of Indonesia, Joko Widodo, has expressed his desire for digitalization to integrate all permits that are currently handled manually.
Sandiaga has shared that the President’s goal is for permits to be issued no later than 45 days before an event, with the aim for large events to receive principle approval six months in advance and technical permits three months before the event.
The integration of permits from both central and regional governments, as well as police permits, will be overseen by the Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Pandjaitan.
Sandiaga has emphasized the benefits of a standardized and digitalized permit process, which is expected to facilitate 3,000 events planned for this year and boost the national economy by up to Rp170 trillion.
Sandiaga has also cited a survey by the Indonesia Event Industry Council (Ivendo), which reveals that the value of event activities in Indonesia has decreased due to the pandemic.
The economic contribution of 130 members of the Ivendo is estimated to be Rp423 billion, which is relatively small compared to pre-pandemic levels of Rp164 trillion per year.
Sandiaga believes that a standardized and digitalized permit process can help events become more accessible and, in turn, help boost the economy.
He says, “This standardized and digitalized event permit process will greatly simplify the process of obtaining permits, both at the central and regional government levels and across various ministries/institutions, including the police. The impact of the economic movement that can be created through these events is enormous, and the digitization process is expected to facilitate this impact.”
In summary, Sandiaga Salahuddin Uno has expressed the importance of easing permit requirements for potential events in Indonesia to create an economic movement that could contribute up to Rp170 trillion to the country’s economy.
The President has called for digitalization to integrate all permits, and the Coordinating Minister for Maritime Affairs and Investment will oversee the integration of permits from both central and regional governments, including police permits.
The Indonesia Event Industry Council has revealed that the value of event activities in the country has decreased due to the pandemic, but Sandiaga believes that a standardized and digitalized permit process can help events become more accessible and, in turn, help boost the economy.