TO DISCUSS YOUR PROJECT OR LEARN MORE ABOUT OUR SERVICES:

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

HOTEL RATES Currency Appreciation Creating Trading Volatility

Category: Hotels, Posted:20 Apr 2010 | 06:00 am

Currency has been a major regional dilemma for hotels ever since the 1997 Asian financial crisis which saw many markets flock to quote rates in the then stable USD. Coming into this decade and economic recovery which then pushed many to move back into their own currency.
It's been a roller coaster ride for much of the decade, first the Euro was pegged to be the new universal standard, which never quite materialized. Mini tourism booms over the past years were created when the Korean Wan devalued against the Japanese Yen and saw a flood of travelers taking advantage of the bargains. A similar thing happened with the Aussie dollar when it declined during the global financial crises and created huge value for Asian visitors.
In Indonesia the Rupiah has moved from 10,500 up to 9,000 in a move which has tourism operators concerned. As packages are denominated in local currency the only choice they have is to raise prices to maintain operating profits.
Vietnam which has suffered hyper inflation and two major devaluation's of its currency work on primarily USD rates and has been able to mitigate currency losses though its reliance on the American currency.
While China has been in the news recently with speculation over a possible drop of the RMB peg, there continues to be heated debate over the countries longer term strategy.
Here in Thailand while the country does indeed boost considerable foreign reserves, the Thai Baht has inexplicably continued to strengthen despite fairly defined political and economic indicators over the past month.
Expect the roller coaster world of currency to continue to impact travel destination worldwide in the foreseeable future; except for those in Europe who can't currently can't see the sky from the clouds.

Other News

Read more

Asia’s Largest Hotel Investment Conference Next Week

Category: , Posted:16 Oct 2020 | 15:28 pm HICAP, Asia’s biggest hotel investment event of the year is set for next week in a 3-day virtual format. Scheduled for 21st to 23rd October, this is the first year the conference will be live online and not in person, in Hong Kong. C9 Hotelworks Bill Barnett will be moderating a special Thailand panel of […]
Read more

Funkytown – Inside the Cultural Melting Pot

Category: Tourism, Posted:14 Oct 2020 | 09:24 am Join C9 Hotelworks and Delivering Asia Communications on Tuesday 20th October, 2:00 pm Bangkok | 3:00 pm Singapore/Hong Kong for a special one-hour virtual event about the latest trends  in urban Bangkok and the latest from Phuket Town. Registration is free here. Ready, steady, go, straight down the urban rabbit hole of funkytown. Tripping down […]
Read more

Phuket International Reopening Next Week

Category: Tourism, Posted:30 Sep 2020 | 09:33 am The resort island of Phuket is preparing to welcome 120 Mainland Chinese overseas travelers from Guangzhou next week on October 8th. As per government guidelines, the visitors will stay in Alternative Local State Quarantine (ALSQ) hotels for 14 days. According to news sources and the Phuket public health office, there are presently nine hotels approved […]