Presentation of the current business climate in Indonesia

On 7 May 2012 a presentation of the current business climate in Indonesia was held. The event was organized by the Embassy of the Republic of Indonesia in Sofia in cooperation with the Indonesian Chamber of Commerce and Industry, the Bulgarian Chamber of Commerce and Industry and the Bulgarian Hotel and Restaurant Association.

The newly-appointed Ambassador of Indonesia to Bulgaria, H.E. Mr. Bunyan Saptomo presented the progress achieved in the economic development of the largest island country in the world with population approximately 240 million people. The Indonesian national motto “Unity in Diversity” reflects the great variety of cultures - there are more than 300 ethnic groups in the country speaking 742 languages, 17 000 islands, of which 6 000 are inhabited.

Indonesia’s economic vision until 2025 envisages an average annual growth of 8 - 9 % and maintaining good fiscal policy with low budget deficit – below 2 %. The debt to GDP ratio should not exceed 20 %. The country’s economy is largely independent of the global economy, because of the strong domestic consumption.

Indonesia exports mainly the following products and materials: natural gas, palm oil, coal, rubber and rubber products, tourist services, apparel, electronics, textiles, paper and paper products, foods. Much of the country’s revenues come from tourist services. Educational, cultural, shopping, SPA, and sports (golf and surf) tourism are well developed in Indonesia.

The Secretary General of BCCI Vasil Todorov addressed the participants in the presentation and said that Bulgaria and Indonesia have a lot in common in their efforts to maintain financial and economic stability. The main difference between the two countries, however, is the size of the market. He explained that Bulgaria promotes exports, investment in the country and the development of tourism. Mr. Todorov said that BCCI is largely committed to activities which aim to promote the development of tourism in our country and participates in several European projects with similar goals.

The Chairman of the Bulgarian Hotel and Restaurant Association Blagoy Ragin shared the achievements of Bulgarian tourism. Annually around 6.5 million tourists visit our country. Tourism is one of the main sectors contributing profits to Bulgarian economy. 70% of the revenues from tourist services are generated by the Bulgarian resorts along the Black Sea. According to Mr. Ragin, for Bulgarian tourists Indonesia means Bali.

The Former Ambassador of Indonesia in Sofia Mr. Immanuel Inkiriwang presented an initiative of the Embassy, the idea for which dates back to 2004 – a visit to Indonesia for business and tourism in 2012. Ambassador Inkiriwang said that Bulgaria is an important partner of Indonesia due to its strategic location in Southeastern Europe. After the country’s accession to the European Union it has an open market, which is extremely interesting for Indonesian companies that wish to enter the common European market and the region.

The visit for business and tourism will take place in the period 15 – 26 October 2012 and will include an attendance of the 27^th Trade Exhibition in Indonesia, as well as trips to some of the most famous tourist destinations in Indonesia, including Bali.

On 8 May 2012 the visit to Indonesia for business and tourism will be presented in Varna with the assistance of Varna Chamber of Commerce and Industry.