Tuesday, 30 January 2018 00:00

Studying the economic impact of two international events at home

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Studying the economic impact of two international events at home bi.go.id

 

In 2018, Indonesia is going to host two international events, namely the 18th Asian Games from 18 August to 2 September 2018 in  Jakarta and Palembang, South Sumatra and the annual meeting of the World Bank and International Monetary Fund -IMF on October 12-18 in Bali. The government must provide a lot of funds for these two international events.

For the 2018 Asian Games, Indonesia's investment as a host reaches approximately Rp 30 trillion and the implementation of the annual meeting of the World Bank and the IMF is not so huge since it is only held in one city.

The organizing of these two international events will serve as a model to calculate the economic impact. The National Development Planning Agency -BAPPENAS is preparing a study on the economic impacts of these two international activities.

It is reasonable to calculate the impact of all costs incur, not only from the financial aspect but also the impact on multi-sectors. Head of BAPPENAS, Bambang Brodjonegoro said that the economic impact assessment of an activity needs to be done to measure how much the activity affects the domestic economy and not just from the financial aspect. He also explained that BAPPENAS will calculate the economic impact of each event twice both pra-event as a projection, and post-event as a description of the realization as well as evaluation materials.

Several countries hosting international events have undergone the study and calculation of the economic impact of each activity. Indonesia should have started to make a study of the economic impact of every international event.

The results of the study are expected to increase revenue from all sectors, not only the tourism sector of the city that hosts the implementation, but also the surrounding areas. The more expected impact, of course, is the involvement of micro, small and medium businesses in every activity.

Hopefully, the model of the study that BAPPENAS will undertake for Asian  Games and the annual meeting of World Bank and IMF can be an input for subsequent economic activities. So, every time Indonesia hosts any international activities, the economic impact will spread to many sectors.

Read 444 times Last modified on Wednesday, 31 January 2018 08:15
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