Indonesia's Tourism Ministry Seizes Weak Rupiah Opportunity to Attract Foreign Visitors

Indonesia's Ministry of Tourism (Kemenpar) is actively capitalizing on the current weakness of the rupiah against the US dollar to boost foreign tourist arrivals. Ni Made Ayu Marthini, Deputy Minister for Marketing at Kemenpar, stated that the depreciating currency presents a significant opportunity that the ministry intends to leverage.

“

This is an opportunity, we never reject it. There are always challenges, there are definitely opportunities. We are working on this opportunity of the weakening rupiah.

"This is an opportunity, we never reject it. There are always challenges, there are definitely opportunities. We are working on this opportunity of the weakening rupiah," Marthini explained at the Bali and Beyond Travel Fair (BBTF) 2026. She elaborated that from a consumer perspective, a weaker rupiah offers international travelers "the best value for money," making their travel budget extend further than before. This enhanced value proposition is seen as a key attraction for potential visitors.

The positive impact of the weaker rupiah is already evident, particularly with an increase in tourists from neighboring Malaysia, which has a relatively strong currency. Marthini noted that the cost of travel packages in Indonesia becomes more affordable for foreigners, prompting Kemenpar to urge tourism businesses to intensify their promotional efforts. However, the ministry also acknowledges challenges, including rising fuel costs due to geopolitical conflicts, which increase airfare prices and may deter potential tourists, especially from Europe who face longer travel routes and security concerns in transit regions.

“

From the perspective of consumers or tourists, especially foreign ones, of course, with the weakening rupiah, this is the best value for money.

In response to these challenges, Kemenpar is shifting its focus from solely targeting long-haul markets like Europe and America to prioritizing closer markets in Asia, ASEAN, and Australia. This strategic pivot aims to mitigate the impact of increased travel costs and security concerns. Additionally, the ministry is addressing the challenge of high import costs for tourism businesses, encouraging them to optimize the use of domestic products as an alternative to expensive imported goods, such as opting for local cheese instead of imported varieties.

“

We are looking for mitigation, we are changing, turning. We used to look for distant markets like Europe and America, now we are being realistic, Asia, ASEAN, Australia. European-American markets stay longer, maybe three weeks to a month, while from Asia it's shorter. This must be combined.