Has Tourism to Bali Really Recovered?

(11/13/2003)

Following a meeting among representatives of local government agencies and key figures from tourism stakeholder organizations in Bali a tersely worded joint communique has been issued challenging those officials in Indonesia's central government who insist that Bali's tourism industry has largely recovered following the shocks of last year's terrorist attack, the woes of the Iraqi war, and the SARS panic.

Pointing to the presence of nearly 36,000 hotel rooms in Bali, the representatives from every tourism organization in Bali issued a statement insisting that tourism can only be deemed to have "recovered" when:

• Occupancy rates return to levels of between 70% to 80% for six consecutive months.

• Total room nights sold during a single month equal between 756,000 to 864,000.

• Based on currently achieved reduced length of stays of only 5 nights, when the number of tourist arrivals in a single month begin to achieve totals of between 151,200 to 182,800 visitors.

A Healthy Tourism Economy?

The obvious message being delivered by Bali's tourism professionals who issued the statement is that with current arrivals in Bali of 111,828 and 115,546 for July and August, respectively, it is premature at best to describe the island's tourism industry as anything approaching its former robust and healthy condition.