The Importance Of National Interest In Indonesia

Decent Essays
1 No National Interest or Environmental Concern in Indonesia’s GATS Schedule
There is evidence to suggest that trade agreements can and do contain provisions aimed at ameliorating environmental damage caused as a result of tourism development. However, Indonesia has not included any such provisions in its own agreements. Indonesia’s schedule under the GATS (especially in mode 3) allowed the presence of FDI in tourism in Bali. This schedule potentially contributes to environmental damage associated with tourism because it has not yet put any concern to national interest or public interest that justifies the government to impose measures in order to protect those interests, including the environment.
This research will show how other
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In Finland’s schedule, especially on mode 3, it expressly states that:
Acquisition of shares by foreign owners giving more than one third of the voting rights of a major Finnish company or a major business undertaking (with more than 1000 employees or with a turnover exceeding 1000 million Finnish markka or with a balance sheet total exceeding 1000 million Finnish markka) is subject to confirmation by the Finnish authorities; the confirmation may be denied only if an important national interest would be jeopardized.
Some WTO members have gone further by putting a particular concern on FDI in tourism to protect what they have categorised as economic, social and environmental interest. In European Communities’ schedule in tourism stated that FDI authorisation ‘can be denied in order to protect areas of particular historic and artistic interest’ in Spain, Greece, and Portugal. Meanwhile, in Italy, a local economic needs test has to be done before opening of new bars, cafés and restaurants that owned by foreigners. In Switzerland, its tourism schedule expressly requires that:
‘Federal law enables cantons to grant licence for [foreign] restaurants based on economic needs (assessment of economic needs is based on criteria such as population, degree of built-up area, type of neighbourhood, touristical interests, number of existing restaurants).
In relation to the establishment of hotels and restaurants, China tourism schedule then stipulates that:
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