Background

About Aceh

About Aceh




Geographic

Aceh Province is located at the northern tip of Sumatra Island and is the westernmost and northernmost province in Indonesia. Aceh Province is bordered by North Sumatra Province in the south, the Indonesian Ocean in the west, the Malacca Strait in the east, and the Bay of Bengal in the north.

The total area of Aceh Province reaches 72,034.87 square kilometers with 78.8% of it being land. It contains 119 islands, 73 major rivers, and 35 mountains. Aceh Province consists of 18 regencies and 5 cities with the capital city being Banda Aceh and several other main cities, including Lhokseumawe, Meulaboh, Langsa, Sigli, Bireun, and Sabang.

Read more: About Aceh - General | Invest in Aceh (investaceh.id)

Economy

In the last two decades, the economic growth of Aceh Province has been recorded to be volatile and lower than the national one. This condition is caused by several phenomena that have a major impact on the economy, namely prolonged conflicts, depletion of natural gas (SDA) reserves, as well as earthquakes and tsunamis. Aceh’s growth has only started to recover after the earthquake and tsunami with the Government’s extraordinary reconstruction efforts.

In 2020, the economy of Aceh Province contracted by 0.37%, compared to the national growth of -2.07%. This was mainly due to the negative impact of the COVID-19 pandemic on various sectors, especially transportation and trade. Gross Regional Domestic Product (GDP) at current prices was recorded at Rp. 166.38 trillion (without oil and gas of Rp. 161.30 trillion) with GRDP per capita of Rp. 30.47 million (without oil and gas of Rp. 29.54 million).

The economic structure of Aceh Province is still dominated by the agriculture, forestry and fishery sectors at 30.06%, followed by trade (14.3%), government administration (10.3%), and construction (9.4%). Some of Aceh’s leading commodities include coffee, patchouli, nutmeg, cloves, pepper, rattan, rice, and seafood (fishery). Tourism is also a potential sector for Aceh’s economic growth, as it has a positive impact on income, employment, and foreign exchange.

Tourism 

Aceh Province offers a rich and diverse tourism experience, encompassing natural, religious, cultural, historical, and culinary aspects. The province boasts 797 tourist attractions and 774 cultural heritage sites, distributed across 23 regencies/cities. Among the most popular attractions for both foreign and domestic tourists are the Baiturrahman Grand Mosque, the Tsunami Museum, Apung PLTD, and Putroe Phang Park in Banda Aceh City, Lampuuk Beach, Lhoknga Beach, and Jantho Nature Reserve in Aceh Besar Regency, Gunung Leuser National Park in Southeast Aceh Regency, the Marine Park in Sabang City, and the Marine Park in the Banyak Islands, Aceh Singkil Regency.

Various modes of transportation are available to access these tourist destinations, including land, sea and air. There are also international flights from Penang, Kuala Lumpur, and Jeddah. The attractiveness and accessibility of Aceh Province have contributed to the increasing number of tourists over the years. In 2019, tourist visits to Aceh Province were estimated to reach 3 million people, up from 2.5 million people in 2018.

Recognizing the huge potential of the tourism sector, the Aceh Government has given high priority to the tourism sector in order to make it one of the economic pillars of the province. One of the current flagship programs of the Aceh Provincial Government is the development of the tourism sector in conjunction with the development of community creative businesses.


About DPMPTSP Aceh

DPMPTSP Aceh is the agency that handles the affairs of investment and integrated licensing and non-licensing services in Aceh Province. It aims to facilitate and accelerate the process of investment and business licensing, as well as to provide information and complaint services to the public. DPMPTSP Aceh has two representative offices, one in Banda Aceh City and the other in Lhokseumawe City, to coordinate and serve the 23 regencies/cities in Aceh Province

About Bank Indonesia

Aceh Province has two Bank Indonesia Representative Offices, one in Banda Aceh City and the other in Lhokseumawe City. The Banda Aceh Office coordinates all the Bank Indonesia Representative Offices in Aceh Province, covering 13 districts/cities: Banda Aceh City, Sabang City, Aceh Besar Regency, Pidie Regency, Pidie Jaya Regency, Simeulu Regency, Aceh Singkil Regency, Aceh Jaya Regency, Nagan Raya Regency, West Aceh Regency, Southwest Aceh Regency, South Aceh Regency, and Subulussalam Regency. The Lhokseumawe Office serves 10 other districts/cities: Lhokseumawe City, Aceh Tamiang Regency, Central Aceh Regency, Southeast Aceh Regency, East Aceh Regency, North Aceh Regency, Bener Meriah Regency, Bireuen Regency, Gayo Lues Regency, and Langsa City.

share this pages
image
image
Starting Invest in Aceh

These investment incentives and scheme is specifically designed to encourage potential investors and thus reap the positive effects of foreign direct investments (FDI).

Contact Us