Investment and Downstreaming Minister Rosan Perkasa Roeslani highlighted the substantial capacity of the sports industry to elevate multiple economic sectors during a statement released the day after the signing. He observed that activities in this field generate benefits that spread well beyond host cities to encompass tourism along with various supporting businesses. The two ministers formalized their partnership through a memorandum of understanding on risk-based business licensing and investment promotion in the sports sector.
Roeslani explained that the agreement strengthens coordination between his ministry and the Youth and Sports Ministry to unlock fresh investment avenues in an industry projected to reach US$521 billion or roughly Rp8,000 trillion. Under Government Regulation No. 28 of 2025 the Online Single Submission system can automatically grant permits when other approvals remain pending beyond the stipulated service level agreement. The minister added that this approach has already produced more than 250 permits while the new pact aims to improve service delivery and oversight for sports-related enterprises.
Youth and Sports Minister Erick Thohir described the global sports industry as currently valued at around US$521 billion and expanding by 8 percent each year which exceeds the economic growth rates recorded in many countries. He noted that the calculation does not yet incorporate sports tourism which stands near US$600 billion and is experiencing comparable upward momentum. Thohir said the combined potential offers Indonesia a strategic opening to advance both its sports infrastructure and associated economic streams.
A Morgan Stanley assessment placed the worldwide sports industry at $521 billion in 2024 with approximately half of that total generated by event revenues while projecting continued 8 percent annual expansion. Fortune Business Insights separately forecast the global sports tourism market to rise from $618.7 billion in 2024 to $2.09 trillion by 2032. These benchmarks supply context for Indonesia’s push to integrate sports development into its wider growth strategy.
The initiative supports Indonesia’s target of 8 percent GDP expansion by 2029 in which sports and tourism figure as important drivers according to government planning documents. Officials at the Indonesia Sports Summit 2025 outlined goals that include lifting GDP by 0.75 percent annually through sports activities while trimming inflation by 0.6 percent. With a population of 280 million that accounts for 40 percent of the ASEAN total the country maintains a sizable domestic base capable of sustaining expanded sports consumption and related investment.
The memorandum additionally provides for joint efforts on workforce training data sharing on licensing matters and closer compliance monitoring across the sector. Both ministries intend to ensure that new investments deliver measurable social and economic returns for communities throughout the archipelago. The partnership marks a concrete step toward establishing Indonesia as a more competitive player in regional sports commerce and tourism.
