How Concerts Boost a Country's Economy

After being faded for two years due to Covid19 pandemic, now the entertainment industry around the world is starting to rise again. Minister of Tourism and Creative Economy (Menparekraf), Sandiaga Uno said the music industry has been hit hard throughout 2020 starting from recordings have changed greatly, concerts were canceled, artists and singers faced many challenges, and even fans were deeply hurt. The losses obtained reached USD 30 billion or IDR 434.6 trillion (Liputan6.com). 

Many artists and promoters held concerts in Indonesia. Some of the concerts held after the pandemic are PestaPora, We The Fest, Djakarta Warehouse Project 2022, Blackpink, Ne-Yo, NCT, Westlife, Coldplay and many more. Music concerts have the potential to have a significant impact in several sectors.

• Creating Jobs

Running a music concert involves many aspects of production such as event organizing, audio and lighting equipment rental, and crews. This creates opportunities for various related professions, such as concert promoters, event managers, stage technicians, sound designers, production crew, and others. With music concerts, new jobs open up and contribute to the reduction of the unemployment rate. Reporting from IDNtimes, one of the professional agencies, GSH Pro has ushers who have experience handling concerts. In addition to those who have often worked with them, they also recruit general people who want to work as ushers and the status is not as a volunteer. At the BlACKPINK concert last March 2023, Gita (Founder of GSH Pro) said there were 9 people with disabilities out of a total of 350 ushers on duty.

• Economy Sectors

Indonesia has a positive impact on revenue in the form of taxes from concerts held. As we know that the tax currently in effect is an entertainment tax of 15% which will be increasingly profitable for the state. according to a report from the Ministry of Finance that the realization of local taxes in February 2023 jumped to Rp 25.85 Trillion. Also gives a positive impact such as increased income for hotels, restaurants, and small and medium enterprises around the concert venue.

• Promoting Indonesia's Culture

Some of the artists collaborated with Indonesian influencers, for example Jerome Polin who collaborated with Taeyong NCT. Jerome invited Taeyong to taste Indonesian cuisine, Nasi Padang. Jerome and Jessica Jane once gifted him an Indonesian Batik shirt. Of course, the content will attract the attention of fans and create curiosity so that they are interested in finding out about Indonesian culture.

In conclusion, concerts play an important role in boosting a country's economy by creating jobs, promoting tourism and culture thus contributing significantly to the country's overall economic health.