Failed to Hold the U-20 World Cup, Indonesia Suffered Losses and Domino Effects

Indonesia canceled to host the U-20 World Cup 2023. This was conveyed by FIFA through its official website on Wednesday (29/3) yesterday. This suddenly made football lovers in Indonesia disappointed. In fact, this is one of the international events that have been awaited since 2021 but was forced to be postponed to 2023 because of the Covid-19 Pandemic. Indonesia itself has also made all preparations for the event. The trillions of rupiah have been disbursed for the big event.

According to Yoyok Sukawi, PSSI Executive Committee, said that the Ministry of Youth and Sports (Kemenpora) requested a funding of around IDR 400 billion for the implementation of the 2021 World Cup U-20 which was postponed to the U-20 2023 World Cup. Then, in June 2022, additional Funds of IDR 3 trillion, which amounting to IDR 500 billion is used in preparation for the U-20 World Cup.

In addition, the Ministry of Public Works and Public Housing (PUPR) in 2020 said that the stadium renovation project for the U-20 World Cup requires funds of around IDR 400 billion with a scheme in the plural contract (MYC), so the allocation was carried out in 2020 and 2021. And this year, the Ministry of PUPR has disbursed funds of IDR 175 billion for the revitalization of the stadium that will be used for the U-20 2023 World Cup event. Spend around IDR 1.4 trillion.

National tourism observer, Taufan Rahmadi said in the tourism sector, Indonesia would lose 50 thousand tourists who watched the event. Indonesia suffered a big loss by failing to host the U-20 World Cup. Especially in terms of tourism, because it is certain that foreign tourists who will watch the event will not come to Indonesia.

With the cancellation of the U-20 World Cup in Indonesia, the potential loss will also be felt by the hospitality. The cancellation of the arrival of 50,000 foreign tourists will certainly make hotels in the city that became the U-20 World Cup venue did not get income. The potential loss from the failure of Indonesia to hold the U-20 World Cup will also spread and present domino effects to other industries such as culinary, MSMEs and transportation which will certainly lose the potential income from the world class event.

“With the failure to be the host of the U-20 World Cup, Indonesia will lose the potential of foreign exchange, both at the center or in the area of the number of spectators who are expected to reach more than 1.2 million people,” concluded Taufan.

March 30, 2023, detikFinance and detikTravel

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(https://finance.detik.com/berita-ekonomi-bisnis/d-6647435/menghitung-boncosnya-ri-dari-batalnya-jadi-tuan-rumah-piala-dunia-u-20)