G20: Catalyst for Change in Indonesia's Regional Economies

MICE (Meetings, Incentives, Congresses, and Events) serve as a significant catalyst in driving economic growth. During 2021-2022, Indonesia hosted one of the largest MICE events, the G20 Presidency. This study aims to determine the impact of hosting the G20 Presidency in Indonesia, including factors such as the number of domestic and international tourists, the Open Unemployment Rate (TPT), the Monthly Average Expenditure Per Capita for consumption (RPK), and local taxes which include taxes on restaurants, hotels, and entertainment, on the Gross Regional Domestic Product (PDRB) in five host provinces of the G20 Presidency. This research adopts a data panel analysis using multiple linear regression with secondary data sourced from the Central Bureau of Statistics and the Directorate General of Fiscal Balance, from 2010 to 2022. The results show a significant influence of the G20 Presidency organization, tourist numbers, TPT, and local taxes on the PDRB in these five provinces. Conversely, the Monthly Average Expenditure Per Capita for consumption (RPK) does not significantly impact the PDRB in these regions. These findings provide practical implications in the form of recommendations for the development of the MICE sector, infrastructure enhancement, and an integrated tourism approach. This research potentially offers important insights for the government as policymakers and industry stakeholders in optimizing MICE events to boost regional economic growth.