INDONESIA TOURISM INVESTMENT INVITATION

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INDONESIA TOURISM INVESTMENT INVITATION An Invitation to Invest in Tourism Development in Humbang Hasundutan Regency, North Sumatra Province, Republic of Indonesia

Welcome to the Republic of Indonesia The Land of Smiles... Presenting: Humbang Hasundutan Regency, North Sumatra Province Our missions are: 1. To promote the best of Indonesia s tourism development projects; 2. To inform both international and domestic; investors, developers, operators, and visitors about investment opportunities on Indonesia tourism development ; 3. To provide guidance for investors about the comprehensive investment services that are being offered by the Ministry s partners, including the Indonesia Investment Coordinating Board. Page1 13

LOCATION Republic of Indonesia Location North Sumatra Province Location Humbang Hasundutan Regency Location Page2 13

GEOGRAPHY Capital City : Dolok Sanggul Time Zone : WIB (UTC+7) Coordinate : 2.2655 N 98.5038 E Area Width : ± 251,765.93 km2 Area Width : ± 251,765.93km2 Borders : North : Samosir Regency West : Pakpak Bharat Regency South : Central Tapanuli Regency East : North Tapanuli Regency Air Temperature : 17-29 C Relative Humidity : 85.94 % DEMOGRAPHICS Population : 182.991 (2015) Density : 73/km² Labour Force : 98,348 Ethnic Group : Batak, Javanese, Malay and other Religion : Christianity, Catholic, Islam, Buddhism, Hinduism and Confucius Language : Indonesian (official) and Batak (local language) BUSINESS ENVIRONMENT In 2015, Humbang Hasundutan economy have grew by an overall 5.24%, which occurred in all of the business fields. Agriculture, livestock, forestry and fishery has the highest growth by 45,78%, followed by wholesale and retail trade; repair of motor vehicles and motorcycles 14,05%, construction 13,83%, public administration and defense compulsory social security 11,45% and accommodation and food service activities 3,36%. The performance of accommodation and food service activities confirms the characteristics of Humbang Hasundutan Regency that has a great chance to be developed as a city of services and tourism. Page3 13

ECONOMY In 2015, the GDP Per Capita at Current Market Prices in Humbang Hasundutan Regency has reached IDR 24,492,560, with the economic growth rate reached 5.24% remained above economic growth in North Sumatra Province in the amount of 5.17%. Until now, the economic structure of Humbang Hasundutan Regency still dominated by three sectors, which are agriculture, trade and construction. INFRASTRUCTURE Transportation The transportation system in Humbang Hasundutan Regency consists of road transport only. Land transportation infrastructure supported by the network of national, provincial and regency levels. Overall, the existing transportation infrastructure has reached almost all parts of Humbang Hasundutan Regency. Telecommunication Telecommunication infrastructure has been well implemented and have covered the entire city with an easy access. Energy In terms of electricity, the National Electricity Company is the main power supplier of the city. The National Electricity Company in 2017 will add 625 MW of electricity supply in North Sumatra were obtained from two new power plants and one ship power plant. Water Most areas of Humbang Hasundutan Regency is flowed by rivers. These rivers are connected to Lake Toba as the largest lake in Southeast Asia. The existence of the rivers and also Lake Toba in addition to water and other residence needs. Page4 13

TOURISM FACTS ATTRACTION There are many tourist attractions in Humbang Hasundutan Regency, starting from the national historical, cultural attractions, and etc. The uniqueness of the tourist attraction in Humbang Hasundutan Regency is formed from diverse ethnic and national characteristics of Indonesia. Some of the most famous tourist attractions are: 1. Aek Sipangolu Located in the Village District of Baktiraja, Aek Sipangulu is a small beautiful waterfall. According to the story, the spring came after King Sisingamangaraja XII stuck his stick to give drink to the thirsty elephant. It s said that this water can cure various diseases, and those who bathe here can be ageless. 2. Binanga Janji Waterfall Binangan Janji Waterfall is located in MarbunVillage, it iswaterfall with a height of 30 meters and can also be used as a bath with a water depth of about one meter. The name of this waterfall comes from a great deal, namely the signing of the peace between the Three Kings were brought together by King Sisingamaraja. The three kings are King Marbun, King Sinambela and King Manullang. This peace includes Tipang village, Marbun and Bakkara. If the feud between the three Kings are happening again, it is believed that Binangan Janji Waterfall will stop flowing. 3. Sipinsur Located in the hills above Sipinsur village, Paranginan district, this place has a magnificent scenery. Overlooking the hill tourist will be amazed by the beauty of Lake Toba and natural scenery that includes three (3) districts, which are North Tapanuli, Tobasa and Samosir. Other that its attractive landscape and fresh air, the place is perfect for recreation, campsites (Camping Ground), and also equipped with children's playground and cross country area. 4. Tao Silosung and Sipinggan Lake Located in the Silaban Village, Tao Silosung and Sipinggan lake attracts tourist with its natural beauty. The lake, according to local folklore story was formed by two siblings, Datu Dalu and Sangmaima that was fighting over a heirloom. Page5 13

ACCESSIBILITIES Humbang Hasundutan Regency are relatively easy to reach by both domestic and international tourists, the main entry is from Silangit Airport located in Siborongborong, North Tapanuli Regency. It takes only 2 hours from Soekarno-Hatta International Airport, Jakarta. From the airport, tourists could access the city which takes 30 minutes by car, though it depends on which destination that the tourists are going to visit, considering the area of the regency. Page6 13

REGIONAL TOURISM POLICY TOURISM POSITION ON REGIONAL DEVELOPMENT 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 Humbang Hasundutan Regency tourism resources and its potential for economic contribution through tourism development. They are welcoming 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 Humbang Hasundutan Regency. REGIONAL TOURISM DEVELOPMENT OBJECTIVE The tourism development at the North Sumatra 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 Page7 13

INVESTMENT OPPORTUNITIES 2 1 Legends: 1. Sipinsur 2. Lake Toba Flower Garden Page8 13

1. SIPINSUR Page9 13

1. Located at Pearung Village, Paranginan Districts, Humbang Hasundutan Regency, North Sumatra, Indonesia 2. Location Coordinate : N 02 19'45.91" E 098 52'51.81" 3. Location Width : 4.3 ha 4. Owner : Local Government 5. Tourism Business Opportunities: a. 1 unit of Three Star Hotel (5511) with 80 rooms. Estimated required initial funds: IDR 44 Billion (Excluding land lease, license and permit fees) b. 1 unit of Restaurant (56101) Estimated required initial funds: IDR 5 Billion (Excluding land lease, license and permit fees) c. 1 unit of Café (56303) Estimated required initial funds: IDR 2.5 Billion (Excluding land lease, license and permit fees) d. 1 unit of Recreational Park (93232) Estimated required initial funds: IDR 15 Billion (Excluding land lease, license and permit fees) 6. Available cooperation The Investors are encouraged to invest in collaboration with the Local Government through the following cooperation: a. Build, Operate and Transfer (BOT) b. Joint Venture c. Any agreeable cooperation form Page10 13

2. TOBA LAKE FLOWER GARDEN Page11 13

1. Located at Paruluhan Village, Litongnihuta Districts, Humbang Hasundutan Regency, North Sumatra, Indonesia 2. Location Coordinate : N 02 19 26.53 E 098 50 46.66 3. Location Width :± 453 ha 4. Owner: In transfer process from Ministry of Environment and Forestry to Executing Board of Lake Toba Authority. 5. Tourism Business Opportunities: a. Integrated Tourism Area (68120) Estimated required initial funds: IDR 4.500 Billion (Excluding land lease, license and permit fees) b. 1 unit of 18 Holes Golf Course (93112) Estimated required initial funds: IDR 32 Billion (Excluding land lease, license and permit fees) 6. Available cooperation The Investors are encouraged to invest in collaboration with the Local Government through the following cooperation: a. Build, Operate and Transfer (BOT) b. Joint Venture c. Any agreeable cooperation form Page12 13

INVESTMENT OPPORTUNITIES SUMMARY Business Fields Amount Needed Required Funds Per Business Field Total Required Fund Per Business Field Category Three Star Hotel 1 IDR 44 Billion IDR 44 Billion Integrated Tourism 1 IDR 4.500 Billion IDR 4.500 Billion Area 18 Hole Golf Course 1 IDR 32 Billion IDR 32 Billion Recreational Park 1 IDR 15 Billion IDR 15 Billion Restaurant 1 IDR 5 Billion IDR 5 Billion Cafe 1 IDR 2.5 Billion IDR 2.5 Billion Total Required Fund in the Region (Excluding Land IDR 4.598,5 Billion Lease, License and Permit) Page13 13

Welcome to Humbang Hasundutan Regency Tourism Investment 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 E-Mail: indonesia.tourisminvestment@gmail.com Website: www.indonesia-tourism-investment.com www.indonesia.travel Page14 13