As Bali continues to attract more visitors year after year, investors continue to add capacities on the Island, meaning infrastructure and maintenance will need to keep up with the pace!
Bali remains Indonesia tourism’s biggest success story. In 2016, while foreign tourist arrivals to Indonesia grew by 15.5% to reach 12.02 million, Bali saw total foreign arrivals jumping by 23.6% to 4.88 million! The island alone accounts for almost 41% of all arrivals to the country. According to data for January-April 2017, Bali recorded another 25% jump in international visitors. In a February report, consulting cabinet Horwath HTL expressed some concern over Bali’s unabated development. In 2015, Horwath HTL recorded a total of 335 hotels and more than 40,000 rooms with the opening of a further 12 hotels in the first 9 months of 2016 or 1,600 rooms. Until 2020, another 74 hotels should open, a 20% increase over current hotel stock.
Occupancy in the luxury segment was down by 1% with ADR down by 4%. However Upper Upscale (four star) performed better in terms of occupancy (+5%) while ADR in US$ remained depressed (-4%).
Horwath HDL underlines the fact that “the maintenance of infrastructure and the development of long-term sustainable development goals are essential to ensure Bali continues attracting people from all corners of the globe”.