Indonesia to impose new visa tariffs on foreign tourists

Producer: Yvonne Gomez
First broadcast: 21 January 04, Radio Singapore International

Foreign tourists from the United States, some countries in Europe and South
America, as well as Japan, will have to pay between 10 and 30 US dollars,
depending on the length of stay.

The Jakarta post also reported that money obtained from the visas would be
used to help finance counter-terrorism measures in the country.

For a reaction to the new visa policy, Yvonne Gomez spoke to Dr Aris Ananta (AA), senior research fellow at the Institute of Southeast Asian Studies in Singapore.

AA: I think it's fair, because I see, in the competitive world, in international competition, that Indonesians have an unfair position. Just take America for example, when Indonesians want to go to the United States, they have to pay a fiscal tax, which is imposed by the government of Indonesia itself, and they have to pay for a visa to enter the United States. In absolute terms, that's more expensive than what the Americans now have to pay to enter Indonesia. In relative terms, it is much, much more expensive for Indonesians pay for the American visa, comparing it with the income of Americans. So I think this puts us on equal levels, if the Americans are also made to pay for a visa to come to Indonesia. Especially now, when it's very difficult for Indonesians to visit the United States. So Indonesia and America were not on equal terms.

How feasible do you think it is to rely on money obtained from the new visas to finance the fight against terrorism in the country?

AA: I don't know much about that but I think if you've got the money and you want to use it to finance the fight against terrorism that's good. Because it's very expensive, so why not?

Earlier you mentioned that it's quite expensive or difficult for Indonesians to enter the United States. The over 20 countries that the new visa rule applies to include the United States, Japan and much of Europe. But citizens of those countries that provide free visas to Indonesians will still be allowed into the country without paying. So how much of this new policy, do you think, is a tit-for-tat measure?

AA: Not just that, but I think for other countries, like Europe, a visa to Indonesia is very cheap. The competition is not just between the Indonesia and the United States, but also in advanced countries like in Europe. Indonesia wants to compete but they are burdened because when they want to go out into the world, they have to pay such high transactions costs to compete. Think of the income of Indonesians - it's very low, and they are expected to pay that amount of money. But the people in advanced countries can come to Indonesia freely. Is that fair competition?

Players in the tourism sector are worried that the new policy will affect their business, which has already been suffering from the Bali and Marriott attacks, and SARS. What's your take on this?