TO DISCUSS YOUR PROJECT OR LEARN MORE ABOUT OUR SERVICES:

  • This field is for validation purposes and should be left unchanged.

Bali Not Yet Affected By Rupiah Drop

Category: Hotels, Posted:30 Sep 2015 | 06:00 am

In the year of all things disruptive, currency has once again entered the Asian equation as it did in the mid-Millennium and back in the 1990's.
Indonesia has seen a sharp depreciation of the Indonesian rupiah, highlighted last week when it hit IDR14,700 to the US dollar.
I checked with a number of hoteliers in Bali to see what was the impact on the market in terms of the short term.
One key fact is that Indonesian's remain the number one market for Bali and as such that has mitigated risk to a great extent.
Some hotels post room rates in US dollars hence average room rates and margins are on the rise.
That said a new law has come into effect which requires are products to be quoted in rupiah, hence foreign markets are reacting favorable to the currency bump in what is effectively lower rates.
On food and beverage, these typically are quoted in rupiah, hence static but suppliers are upping prices at the moment.
Bali's key overseas market of Australia is still seeing an impact from the depreciated Aussie dollar and this is being reflected in a lower average length of stay and less discretionary spending.
Overall business remains brisk but the biggest disruption to Bali's hotel market this year was the fallout from the volcanic ash during peak summer trading and not currency.
Longer-term the rupiah is expected to further deteriorate so stay tuned to see how this plays out.

Other News

Read more

C9 Hotelworks Releases Mid-Year Phuket Hotel Market 2023

Category: Hotels|Tourism, Posted:10 Sep 2023 | 15:42 pm In the first half of 2023, Phuket experienced a resurgence, signaling a promising path toward recovery. International and domestic flights both saw significant increases, accounting for 75% of the total flights in 2022. Airlines and travelers alike are eager to reengage with Phuket’s offerings. In terms of passenger arrivals, the first half of 2023 displayed […]
Read more

The Green Minute – PHIST 2023

Category: Hotels, Posted:10 Sep 2023 | 14:11 pm For those of you who missed PHIST 2023 and those of you who did attend, please find a selection of video short Green Minutes from the event. Sustainability has to be a priority for the hotel and travel sectors and hopefully the ideas and messages here, give you your own inspiration to go green. PHIST […]
Read more

TG’s Big Birds Set To Fly Phuket Bangkok Route Again

Category: Tourism, Posted:08 Sep 2023 | 16:14 pm One good indication of Phuket’s return to tourism recovery is airlift growth. Making news this week is Thai Airways International’s reported resumption of service on the high-traffic Phuket Bangkok route. The airline will start a once-daily right on 1st October 2023. Thai Smile (WE) will still operate other flights til the end of November when […]
SiaJai logo

Thailand's Leading Homecare Marketplace