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View all search resultsBusiness players say the 80-hectare infrastructure project aimed at Indonesian pilgrims could transform Indonesia’s haj-umrah economy, but only if the government secures a prime location.
he Indonesian Haj and Umrah Travel Association (AMPHURI) has welcomed a planned 80-hectare property development to serve Indonesian pilgrims in Mecca, which promises business opportunities far beyond accommodation, but says a lack of clarity on funding and location, as well as regulatory gaps, could undermine the viability of Haj Village.
“The government must ensure that cross-border cooperation between Indonesia and Saudi Arabia is supported by a strong regulatory framework, including clear rules on ownership, operations and the economic zoning of the area,” the association’s secretary general, Zaky Zakaria Anshary told The Jakarta Post on Saturday.
He added that, “since the project involved substantial funds and was located overseas, it is essential to establish transparent financial mechanisms to maintain public trust.”
Proximity would determine whether the facility could serve both haj and umrah pilgrims year-round, noting that Indonesia sent an estimated 1.8 million pilgrims annually, a number expected to grow as household spending power grows and as the country is the world’s largest source of haj and umrah travelers.
“Because if the Haj Village is located too far for umrah pilgrims, it will only be used once a year for the regular haj and operate for just 70–80 days annually,” he added.
Indonesian state asset fund Danantara has confirmed it is participating in a tender for land in Mecca that would serve as the designated site for Haj Village, a project it envisions as an integrated “one-stop service” for accommodation and supporting facilities for Indonesian pilgrims.
“We have heard that the Indonesian government, through Danantara, is in the process of bidding for a site in [Mecca]. If this is indeed a location that falls within the Masar Project Jabal Omar [area], then it would be the right choice, when compared with the previous options,” Zaky added.
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