Indonesia Popular as Investment Target for Hotel Construction
Investors regard Indonesia as one of the most attractive countries in terms of tourism. This statement is evidenced by investments in Indonesia's hotel construction sector. In 2012, Indonesia was ranked third of the whole Asian region in terms of largest investments in hotel construction. Total investments - both domestic and foreign investments - in this sector of Southeast Asia's largest economy amounted to USD $869.8 million in 2012, a 210 percent increase compared to the previous year.
Meanwhile, the Indonesian government is trying to stimulate the establishment of green hotels, which optimize the use of natural resources and minimize the environmental impact. Although the green hotel-concept entails a larger investment at first, in the long run it will save money as the green concept aims to save energy. The government has, however, not announced any incentives for the green hotel-concept yet.
Hotel Borobudur (located in Jakarta) won the 2013 Green Hotel Award.
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