The Indonesian nation has commited to develop its tourism sector as a part of its long term development and as programmed in the Repelita VII. Tourism industry has become the largest industry world wide and projected to grow faster than the world economy till the year 2000 and beyond. This article mainly presents the national performance in the tourism sector development, policies undertaken until now, opportunities and problems faced at present and in the future. Trends in international tourism are highlighted. Strategies and measures in national tourism are also discussed.