Tanjung Lesung has the status of Special Economic Zone (SEZ) in tourism sector which is launched by the Government of Indonesia in 2012. It has benefits for investors in terms of fiscal and non-fiscal incentives. SEZ Tanjung Lesung is also one of the 50 National Tourism Destinations stipulated by the Ministry of Tourism and Creative Economy of the Republic of Indonesia.

SEZ Tanjung Lesung is located in Pandeglang, Banten, part of the western region of the Sunda Strait (170 km from Jakarta). With total area of 1,500 ha, it offers natural beauty, panoramic views and other tourism attractions. SEZ Tanjung Lesung is managed by PT. Banten West Java, a subsidiary of PT. JABABEKA, Tbk which has more than 20-year experience in township development including the flagship Kota Jababeka project in Cikarang, West Java, Indonesia.

Land Use Plan

Business Models

Proposed Future Development Projects

INDONESIA is primed for economic takeoff. With debt to GDP ratio is at low 27%. The IMF forecasts the economy will expand to US$1.5 trillion by end-2015, while McKinsey expects Indonesia to become the world’s 7th-largest economy by 2030. In 2013 The ADB and The World Bank project Indonesia’s economiy growth to increase from 6.3% to 6.5, the largest in Southeast Asia. The IMF also projects Indonesia will be at the top 3 fastest economic growths among G20 countries. Moreover, according to the Ministry of Tourism and Creative Economy the number of tourists increased from 766,966 visitors in 2012 to 807,422 visitors in 2013.

National GDP Growth Projection

Overall Investment Realization

BB+/STABLE BBB-/STABLEJuly 2013

Source: IMF Source: BKPM

May 2013

International Credit Ratings: Indonesia Snares Investment Grade

Marina -Hotel & Residential -

Theme & Water Parks -18/36 Holes-Golf Course -

or any infrastructure support -

a. Land Salesb. Land Rentalc. Joint Ventured. Build-Operate-Transfer (BOT)

Existing Facilitiesand Infastructure

Facilites: Kalicaa Villa, Tanjung Lesung Beach Hotel, BlueFish Hotel, Beach Club, Sailing Club and Water Sports. Infrastructure: Electricity, Telecommunication Networks, Water Supply, Waste Management, 24-Hour Security and High Quality Road Works.

SEZ Tanjung Lesung will be the new tourist destination. It occupies a natural peninsula on the west coast of the western Java and bordering the Sunda Strait. Tanjung Lesung is a prestige development that offers a wide range of investment opportunities.

100 % of capital share can be owned by foreign investors for the following businesses:

3 to 5 Star Rated Classified Hotel• Tourism Resort• Golf Course & Driving Range• Convention & Exhibition Center• International Hotel Operator• Tourism Consultant (included Hotel Management)•

Foreign Equity Participation (50% share owned by foreign investor) for the following business:

1 and 2 Star Hotel;• Non Classified Hotel;• Motel & Lodging Service;• Home-stay;• Catering;• Spa;• Amusement Center;• Bar, Café, Singing Room (karaoke);• Restaurant;• Recreational Parks;• Tour Operator;• PCO (Professional Conference Organizer)• Impresario;• Tourism Attraction;• Culture and Nature Tourism (except in conservation site).•

N

1. Remarkable Location 2. Potential Tourism Attractions

Peucang Island

14,217,1

15,0

23,427,9

34,8

44,3

8,3

2006 2007 2008 2009 2010 2011 2012 2013

2,3

DDI(USD Billion)

FDI

3,92,3

4,2

6,8

8,4

10,2

14,2

6,010,3

14,910,8

16,619,5

24,6

30,1

H-1: GULF HOTEL H-2: MARINA POINT HOTEL H-3: GOLF HOTEL RESORTH-4: EXCLUSIVE LUXURY HOTEL H-5: BAYSIDE HOTEL H-6: KRAKATAU OR SUNDA VIEW HOTEL R-1-3: ISLAND HOTEL AND FRONTR-4: MARINA VILLAGE – SOUTHR-5: MARINA FRONT – ISLANDR-6-7: MARINA FRONTAGER-8,9: INLAND HILLSIDER-10-12: EAST BAYSIDER-13-14: MARINE VILLAGER-15, 16: WEST OCEANSIDER-17-27: GOLF COURSE (EAST SIDE)C-1: MARINA VILLAGE C-2 : COMMERCIAL NEIGHBOURHOODC-3: GOLF, RACQUET AND SWIM CLUBC-5: SALES & VISITOR INFORMATION CENTER C-6 : BOATYARD, PUBLIC LAUNCH C-7: RESTAURANT & SERVICE DESK

Bodur Beach Area ● Kalicaa Villas ●

Sailing Beach Club ●Bay Villas Cottage ●

SEZ Tanjung Lesung has remarkable location offering beautiful landscapes and panoramic views of the sea.

SEZ Tanjung Lesung as one of West Java’s leading tourist areas has an impressive variety of natural attractions and cultural wealth, such as Ujung Kulon, Mt. Krakatoa, Baduy Ethnic, Panaitan Island and Peucang Island.

marina

residential

water parkstheme parksgolf course

Baduy Ethnic

Peucang IslandUjung Kulon

Panaitan Island

Mt. Krakatoa

Fiscal Facilities Non-Fiscal FacilitiesNo. Incentives Treatment in SEZ Tanjung Lesung

1. Income Tax AllowanceWill be given for the business entity and individual who run business in SEZ Tanjung Lesung.

2. Value-Added Tax (VAT) & Luxury Sales Tax

Exempted for taxable goods.

3. Import DutiesPostponement for import goods to SEZ Tanjung Lesung.

4. ExciseExempted for raw direct materials and supporting materials for production purposes.

5. Import Income Tax Not Levied

6. Tax Agency Incentives Not Levied

7. Property TaxReduction in conpliance to the provision of law and regulation.

No. Incentives Treatment in SEZ Tanjung Lesung

1. Employment

Permission to hire foreign workers • who have position as directors or managers.Within the SEZ will be established:•

Wage council;1. Trade/Labor Unions to create 2. effetive communication and harmonious industrial relation;Tripartite cooperation institution.3.

2. Immigration Easiness for foreign business people.

3. Licensing

Administered in Integrated One-• Stop Service;Easiness for business licensing, • industry and trade activity, port activity and other busines activities.

4. Land

Easiness to obtain land rights and • land acquisition;Granted land rights for those who • already have land.

5. SecuritySEZ Tanjung Lesung will be a vital object (according to Indonesian police’s policy)

6. Local Government Support

Tax and local retribution reductions• Commitment for SEZ • Administration's operation

In the near future, Banten Province will have an airport and toll road that's located not far away from SEZ Tanjung Lesung. In additon, the government has planned to build the Selat Sunda Bridge which will connect Sumatera Island and Java Island.

Utility

5. Future Infrastructure

Labor

Utilities DescriptionElectricity 100 MVA

Drinking Water 100 ltr/second

Industrial Water 300 ltr/second

Sewerage Waste Water Treatment Plant

RoadsMain Road (width 50 m) Secondary Road (width 35 m) Extension Road (width 23 m)

Data Connection Wireless and Fiber optic

Green Space 34%

Banten Province (Source: Statistic Bureau - 2013)

Population ± 11 million people

Workforce ± 5 million people

Regional Minimum Wages

USD 130 / person / month

DAMAC Properties is one of the largest held luxury property development companies

in the Middle East, based in Dubai, United Arab Emirates (UAE).

Hanking Industrial Group Co., Ltd, China was established on August 8, 1992, focusing on the businesses of mining, metallurgy, commerce,

electronics, and precision manufacturing, property.

Indonesia Investment Coordinating Board (BKPM)Jl. Gatot Subroto No. 44, Jakarta 12190,PO. Box 3186, IndonesiaPhone : +6221 5292 1334; 5292 1304Fax : +6221 5264 211; 5253 866Website : www.bkpm.go.idEmail : info@bkpm.go.id

PT. Banten West Java Tourism DevelopmentPhone : +6221 5727 225Fax : +6221 5727 221Website : www.tanjunglesung.comEmail : info@tanjunglesung.com

Prospective Investors

3. Investment Incentives

4. Utility and Labor

There have been 2 (two) companies signing the Memorandum of Understanding (MOU) with SEZ Tanjung Lesung: DAMAC Properties (Oct 2012) and Hanking Group (Aug 2013).