This thesis examines how Indonesian government approached tourism development from 1945 to 2014. It shows that their focus remained on the development of international tourism in Bali, despite the many tourism opportunities existing throughout Indonesia. It describes how successive governments’ policies were based on a Bali First Policy (BFP) instead of developing multiple international tourism destinations as proclaimed in decrees, regulations, master plans and tourism promotion and awareness programs. As argued in this thesis, this reflected Bali’s longstanding success as an international tourism destination. With 80% of all holidaying tourists, Bali continues to be central to Indonesia’s tourist growth and foreign exchange, while the tourist sector outside Bali remains significantly underdeveloped. The thesis explains the imbalance through describing and analysing the measures taken by Sukarno, Suharto, the transition Governments of Habibie, Wahid and Sukarnoputri, and Yudhoyono. Drawing from Easton’s Systems Theory (1965), Butler’s Tourism Area Life Cycle (1980), and the factors affecting tourism development identified by Ritchie and Crouch (2013), the thesis outlines a Public Policy-based Stages of Tourism Development (PPSTD) model that provides a better understanding of tourism policymaking and implementation in Indonesia 1945-2014.