Qatar Investment Authority (QIA) has signed a memorandum of understanding (MoU) with the Indonesian government to invest up to $500 million in the Southeast Asian country’s tourism sector, according to local media reports.
Under the MoU, QIA will invest the capital in a series of ongoing projects within Indonesia’s top 10 priority destinations, more famously known as the “10 New Balis”.
These destinations, which include Lake Toba in North Sumatra, Wakatobi in Southeast Sulawesi and Morotai in North Maluku, have been identified to help make tourism the largest contributor to Indonesian GDP by 2030.
The MoU also allows QIA to invite other co-investors to join the project.
The MoU was signed by Indonesia’s Coordinating Minister for Maritime Affairs, Luhut Binsar Pandjaitan, and QIA chief executive, HE Sheikh Abdulla bin Mohamed bin Saud al-Thani.
“I am sure this partnership, along with commitments from both parties, will benefit not only our two governments but also Indonesians living close to these destinations. I hope QIA will begin to implement its investment plans in Indonesia soon,” Pandjaitan said.
Al-Thani said the investment presents “an exciting opportunity for QIA to grow our strong portfolio of tourism-related investments around the world”.
Qatar Investment Authority was founded in 2005 to strengthen the country’s economy by diversifying into new asset classes. It has previously expressed interest in investing in the Mandalika Special Economic Zone in Lombok, West Nusa Tenggara.