NTB lines up investors to develop Lombok tourist site

Three investors want to develop Mandalika, one of West Nusa Tenggara (NTB)’s top tourist spots, after a raft of money woes forced a Dubai company to rethink its proposal, says NTB’s governor.

NTB Governor M. Zainul Majdi said that the province’s Investment Coordinating Board (BKPM) was currently processing a new investment plan,
but did not elaborate on the new investors’ identities or the size of their proposed investments.

“Just wait and see,” he said at the Tourism Indonesia Mart and Expo 2010 in Senggigi, West Lombok.

Mandalika, located in the south of Central Lombok regency and 45 kilometers north of the provincial capital, Mataram, was formerly under the control of the Lombok Tourism Development Corporation.

The 1,250-hectare area was named as one of the province’s 15 top tourist destinations, along with Senggigi and the Gili Islands.

A planned US$600 million investment from Dubai-based EmaarsProperties to develop a resort at Mandalika never materialized.

Emaar had not completely canceled its investment in Lombok, but the firm was facing financial difficulties and had to rearrange its investment plan, Majdi said.

“Emaar is still interested in investing in Lombok but asked to reschedule due to financial problems. We received this information from BKPM and the President’s envoy in the Middle East, Alwi Shihab,” Majdi said.

The provincial administration subsequently offered the Mandalika resort area to any interested party, he said. “Many investors expressed interest. After the selection process, we found three prospective serious investors,” he said.

The investors all want to build tourist and hotel facilities at the Mandalika resort area.

The government expedited construction of Lombok International Airport in Pujut district, Central Lombok, to accelerate development of Mandalika.

The 538-hectare airport is 40 kilometers southeast of Mataram.

State-run airport management company Angkasa Pura I provided Rp 829 billion ($92.84 million) to build the airport, which was supplemented by Rp 110 billion from the provincial administration and
Rp 40 billion from the Central Lombok regency.

The airport, located about 10 kilometers from Mandalika, would facilitate the arrival of foreign visitors.

“We expect that the airport will start operation by March next year. Access to the airport from Mataram will be completed at the end of this year,” Majdi said.

He said the central government, under the direct supervision of Vice President Boediono, has monitored the airport’s development.

“The airport is expected to present the tourism potential of Lombok and Sumbawa to the international market,” he said.

The airport is also expected to bolster the 2010 Visit Lombok-Sumbawa campaign, which intends increase tourists to the province from 600,00 to one million a year.