INDONESIA TOURISM INVESTMENT INVITATION

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INDONESIA TOURISM INVESTMENT INVITATION An Invitation to Invest in Tourism Development at Pekanbaru City, Riau Province, Republic of Indonesia

Welcome to the Republic of Indonesia The Land of Smiles... Presenting: Pekanbaru City Our mission is to: 1. Recognize and promote the locations of great natural beauty and social diversity as tourist destinations; 2. Inform international and domestic investors, developers, operators, and visitors about development potentials in these areas; 3. Guide investors towards the comprehensive investment services offered by the Ministry s partners, including the Indonesia Investment Coordinating Board. P a g e 1 12

LOCATION Republic of Indonesia Location Riau Province Location Pekanbaru City Location P a g e 2 12

GEOGRAPHY Capital City : Pekanbaru City Time Zone : WIB (UTC+7) Coordinate : 0 32 0 N, 101 27 0 E Area Width : ± 632.26 Km² Borders : North side : Siak Regency and Kampar Regency South side : Kampar Regency and Pelalawan Regency East side : Siak Regency and Pelalawan Regency West side : Kampar Regency Air Temperature : 26 C 32 C Relative Humidity : 82-85 % DEMOGRAPHICS Population : 1.093.416 Density : 1,729 Peoples/km² ECONOMY After oil was discovered in the region in the 1930s, Pekanbaru's economy has depended heavily on oil revenues which has made it the city with the highest per capita income in Indonesia. Most of Indonesia's petroleum is produced in Riau, and much of Pekanbaru's economy is based on the petroleum industry. The international oil companies, prominently Chevron from US, as well as other Indonesian companies, have established their offices in the region. The city is connected by road to an oil refining and exporting port in Dumai. Many facilities and infrastructures, including airport, stadiums, housing areas, schools and several bridges that cross the Siak River in Pekanbaru as well as the roads in Rumbai area and the road to Dumai were partially or fully financed by oil companies in the area. Pekanbaru is really close with some of the home of mega-company, such as PT Riau Andalan Pulp Paper, PT. Indah Kiat, PT. Chevron Pacific Indonesia, and PT Perkebunan Nusantara V and some wood-sawmill, CPOs, and rubber-processing company and interestingly Pekanbaru is often said as one of the city with the highest money and banking rotation in Indonesia. P a g e 3 12

INFRASTRUCTURE Land Transportation For land transport, Pekanbaru is connected to Padang, Medan, Jambi, Palembang, and other cities or regions in Riau Province and Sumatra Island by the existence of Bandar Raya Payung Sekaki Terminal Bus (Terminal AKAP). Water Transportation Sungai Duku Port (Pelabuhan Sungai Duku) is located by the Siak River, connecting Pekanbaru with some regions in Riau Province and Riau Islands such as Siak, Tanjung Buton, Selatpanjang, Bengkalis and Batam. In the past, there were ferry services travelling from this port directly to Malacca in Malaysia, but the service was discontinued as several ferry companies decided to move their operations to Tanjung Buton. Air Transportation Sultan Syarif Kasim II International Airport serves flights in Pekanbaru from/and to several cities in Indonesia such as Batam, Medan, Bandung, Jakarta, Dumai, Yogyakarta, Surabaya, and others, and international flights to Singapore and several cities in Malaysia. Several prominent domestic airlines serve the route from/and to Pekanbaru such as Citilink, Garuda Indonesia, Lion Air, Batik Air, and Indonesia Air Asia. The international flights are presently served by Air Asia, Firefly, Jetstar Asia Airways, Malindo Air and Silk Air. Telecommunication As one of the large city in Indonesia, Pekanbaru provide a good quality of telecommunication infrastructure, many kind of modern telecommunication is available throughout the city. Energy As one of the large city in Indonesia, Pekanbaru provide a good quality of energy infrastructure, the supply of energy such as electricity is in a decent amount that can support large amount of needs. Water As one of the large city in Indonesia, Pekanbaru provide a good quality of clean water supply, the supply of clean water is in a decent amount that can support large amount of needs. P a g e 4 12

TOURISM FACTS As Pekanbaru is prominently known as a major gateway for tourists from Singapore and Malaysia, the city has become a favourite stop before travellers go further inland to other regions in Sumatra Island such as Padang and Jambi. The Pasar Pusat (Central Market) is a food-trip destination and is considered a household-goods trove. Pasar Bawah and Pasar Tengah, located near to the port and Siak Riverbank are particularly the places for selling Chinese goods, including ceramics and carpets. In the other hand, there are many developments of shopping malls and shopping centres surrounding Pekanbaru area such as Plaza Senapelan, Plaza Citra, Plaza Sukaramai, Mal Pekanbaru, Mal SKA, Mal Ciputra Seraya, Lotte Mart, Metropolitan Trade Center, The Central, Ramayana and Giant Grocery Store. Additionally, there are a lot of housing areas have been developed since 2000's surrounding the city, particularly in Panam area whereby the housing project along the road has been tremendously established and now becoming one of the most populous area in Pekanbaru even though it is located not that close to the down town. Favorably, there are several landmarks that have been built in this city, for example The Great Mosque of An-nur, Mesjid Raya Pekanbaru, Pasar Bawah or Tourist Market, Riau Bank Tower, Riau Government Office Tower, Zapin Dance Monument and many to come. P a g e 5 12

REGIONAL TOURISM POLICY TOURISM POSITION ON REGIONAL DEVELOPMENT Pekanbaru City has been one of the main priority for the tourism development in Riau Province, the city and its surrounding area has been appointed by the Ministry of Tourism, Republic of Indonesia as one of the National Tourism Development Zone in Riau Province area. Tourism has become one of the main priority sector for development by the local government. The government and the community have fully aware of the Pekanbaru City strategic location and it s potential for economic contribution through tourism development. They are welcoming every investors that are willing to cooperate not only on developing more tourism attraction and facilities but also to develop in all of tourism aspects of Pekanbaru City. REGIONAL TOURISM DEVELOPMENT OBJECTIVE The tourism development at Pekanbaru City must be implemented in compliance with the following principles: 1. Community based tourism Maintain the involvement of the local community and the stakeholders on every tourism development activities 2. Sustainable tourism Continuous improvement and preservation of the environmental, cultural and community aspects of tourism development 3. Cultural preservation Implement and integrate the local culture elements on all of the tourism development activities 4. Collaborative cooperation between stakeholders Cooperate and accommodate all of the stakeholder s aspirations P a g e 6 12

INVESTMENT OPPORTUNITIES RINDU SEMPADAN TOURISM AREA BANDAR KAHYANGAN LEMBAH SARI LAKE P a g e 7 12

RINDU SEMPADAN TOURISM AREA P a g e 8 12

1. Location Width : 37 Ha 2. Owner : Private 3. Tourism Business Opportunities (including the investment code of the Standard Classification of Indonesian Business Fields for Tourism): a. Star hotel (5511) b. Restaurant (56101) c. Café (56303) d. Spa (96122) e. Villa (55194) f. Sport Centre (93118) g. Swimming Pool (93114) h. Recreational Park (93232) i. Theme Park (93210) 4. Available cooperation The Investors are encourage to invest in collaboration with the Private Owner through the following cooperation: a. Build, Operate and Transfer (BOT) b. Joint Venture P a g e 9 12

BANDAR KAHYANGAN LEMBAH SARI LAKE P a g e 10 12

1. Location Width : 18 Ha 2. Owner : Local Government 3. Tourism Business Opportunities (including the investment code of the Standard Classification of Indonesian Business Fields for Tourism): a. Star hotel (5511) b. Restaurant (56101) c. Café (56303) d. Spa (96122) e. Villa (55194) f. Sport Centre (93118) g. Swimming Pool (93114) 4. Available cooperation The Investors are encourage to invest in collaboration with the Local Government through the following cooperation: a. Build, Operate and Transfer (BOT) b. Joint Venture P a g e 11 12

Welcome to: Pekanbaru City Tourism Zones... Deputy for the Development of Destinations and Tourism Industry Ministry of Tourism, Republic of Indonesia Sapta Pesona Building, 4th Floor, Medan Merdeka Barat Street No. 17 Central Jakarta, 10110 Contact us: Phone: +62(0) 21 383 8040 Fax: +62(0) 21 3483 3865 E-Mail: indonesia.tourisminvestment@gmail.com Website: www.indonesia-tourism-investment.com www.parekraf.go.id P a g e 12 12