Indonesia Advances Green Tourism Drive, Empowering MSMEs Through National ILO Partnership

ILO Country Director for Indonesia and Timor-Leste Simrin Singh underscored the strong partnership between the ILO, UN agencies, and the Indonesian Government.

Indonesia is accelerating its transition toward green and sustainable tourism, with the Ministry of Tourism and the International Labour Organization (ILO) convening the Policy Forum on Green Tourism MSMEs in Jakarta on 5 December 2025. The high-level forum brought together government officials, development partners, training institutions, and tourism stakeholders to strengthen national strategies that support environmentally responsible micro, small, and medium enterprises (MSMEs).

Presiding over the forum, Minister of Tourism Widiyanti Putri Wardhana emphasized that green tourism is no longer optional—it is a fundamental requirement for securing the future of Indonesia’s tourism sector. “MSMEs are the backbone of the national economy,” she said, highlighting their vital role in job creation, cultural preservation, and sustaining local livelihoods. She noted that Indonesia is shifting away from attraction-based tourism promotion toward a value-driven model rooted in sustainability, aligning the sector with global trends and climate commitments.

Alignment with National Development Goals

The transition supports the country’s 2025–2029 National Mid-Term Development Plan (RPJM). Key priorities include:

• Strengthened and inclusive tourism supply chains

• Effective destination management

• Adoption of Blue, Green, and Circular Economy (BGCE) principles

• Development of green infrastructure

• Enhancement of workforce competencies

• Responsible and climate-friendly financing mechanisms

Minister Widiyanti highlighted that MSMEs can initiate meaningful change by integrating eco-friendly operations—such as reducing waste, conserving water, using renewable energy, protecting biodiversity, and preserving traditional local wisdom. These practices help businesses grow sustainably while delivering benefits for communities and enhancing Indonesia’s global reputation for responsible, ethical tourism.

ILO Reinforces Its Commitment

ILO Country Director for Indonesia and Timor-Leste Simrin Singh underscored the strong partnership between the ILO, UN agencies, and the Indonesian Government. “Green tourism is a powerful driver of sustainable development and decent job creation across the tourism ecosystem,” she stated. “Its impact extends beyond the sector, contributing to biodiversity conservation, cultural heritage preservation, and global climate mitigation.”

The ILO emphasised that advancing green tourism is not solely about adopting eco-friendly practices—it also strengthens resilience, inclusiveness, and competitiveness across Indonesia’s tourism value chain, particularly for MSMEs that often lack access to skills training and sustainable financing.

Capacity Building for a Greener Tourism Workforce

During the forum, the Ministry of Tourism and the ILO awarded certification to 19 trainers who play a key role in guiding MSMEs through the green transition. These trainers are part of a larger effort under the Partnership for Action on Green Economy (PAGE), a global UN initiative launched in Indonesia in 2023.

Under the partnership, the Ministry and ILO have:

• Developed comprehensive green tourism training modules covering entrepreneurship, financial literacy, and sustainable practices

• Conducted Training of Trainers (ToT) programmes

• Delivered direct training for hundreds of MSMEs

• Organized a Green Jobs Forum focusing on tourism development in biodiversity-rich regions

Nationwide Impact Reaches Over 900 MSMEs

In its initial phase, PAGE implemented four pilot projects in Central Java, Yogyakarta, North Sumatra, and West Nusa Tenggara, directly benefiting 172 tourism MSMEs. Due to the success of these pilots, the programme expanded dramatically.

To date, PAGE-supported green tourism initiatives have reached 30 cities and regencies, including: Yogyakarta, Central Java, West Java, North Sulawesi, West Papua, Riau, Lampung, North Maluku, West Nusa Tenggara, South Kalimantan, and Bangka Belitung — collectively benefiting more than 900 tourism MSMEs nationwide.

These MSMEs are now equipped to integrate waste reduction systems, adopt low-carbon operations, enhance community-based tourism models, and build stronger market competitiveness through sustainability branding.

A Pathway Toward Global Leadership in Sustainable Tourism

Indonesia’s expanding partnerships, policy reforms, and capacity-building programmes signal a robust national commitment to green tourism. With tourism as one of Indonesia’s key economic pillars, the government views sustainability as central to long-term growth, community wellbeing, and climate resilience.

As Minister Widiyanti emphasized, Indonesia’s MSMEs are poised to lead the transition: “Through the green transition, MSMEs not only grow sustainably but also deliver tangible benefits for communities while strengthening Indonesia’s position as a leader in responsible tourism.”