Indonesia Establishes Two Special Economic Zones to Boost Education and Healthcare

Berita Baru, Jakarta – President Joko Widodo has officially designated two new Special Economic Zones (SEZs) in Tangerang, Banten, and Batam to strengthen Indonesia’s education and healthcare sectors. The move aims to attract significant investments and create thousands of new jobs, according to government officials.

The International Education, Technology, and Health SEZ in Tangerang, Banten, and the International Health Tourism SEZ in Batam began operations on October 7. These zones are expected to have a substantial impact on the country’s economy.

“Each SEZ has a specific development focus and is expected to significantly impact the economy, create jobs, and attract investments,” said Rizal Edwin Manansang, Secretary-General of the National SEZ Council, in a statement, Reported from the Malaymail page on Wednesday (9/10/2024).

The Banten SEZ spans 59.68 hectares and is expected to attract investments worth 18.8 trillion rupiah (US$1.2 billion). It aims to create 13,446 jobs and will host international education institutions such as Monash University, while focusing on digital technology and integrated healthcare services.

Meanwhile, the Batam SEZ targets 6.91 trillion rupiah (US$442.3 million) in investments and is expected to generate over 105,000 jobs. The SEZ will enhance Indonesia’s healthcare sector through a partnership with Apollo Hospitals, an Indian multinational healthcare group, which will develop international-standard healthcare facilities to support the growing medical tourism industry. The Batam SEZ is projected to be fully operational by 2026.

“With the collaboration of Apollo Hospitals, the SEZ will provide international-standard healthcare services, enhancing Indonesia’s competitiveness in the health tourism sector,” added Manansang.

These new additions bring the total number of SEZs established by the president to 24, with eight more currently in the process of designation. The 22 existing SEZs encompass industrial, tourism, digital, and maintenance zones. Collectively, they have attracted 205.2 trillion rupiah (US$13.14 billion) in investments and created 132,227 jobs across 368 active businesses.