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Taking Care of Business

Bali to Spend US$6.25 million on Tourism Promotion in 2014

(2/21/2014) The Bali Daily (The Jakarta Post) reports that the provincial administration of Bali and the private tourism sector will combine forces to fund US$6.25 million in tourism promotion.

The funds are to be administered by the recently formed Bali Tourism Promotion Board (BPPD).

A member of BPPD, Ida Bagus Ngurah Wijaya said: “Sixty percent of the budget will be provided by the Bali administration and the remaining 40 percent will be procured by tourism businesses.”

The BPPD is entrusted with formulating tourism promotion plans and policies for Bali. The BPPD is focusing on five major market segments: meetings, incentives, conferences and exhibitions (MICE); leisure; sports; silver tourism (targeting retirees and elderly tourists); and creative endeavors.

Wijaya insists a well-developed program of promotion has been developed by the BPPD.

Bagus Sudibya, another member of the BPPD Board, said that double-digit growth in tourism was the goal in the coming year in order to try to fill the Island’s current over supply of hotel rooms

“We are facing a major problem of decreasing occupancy rates due to the oversupply of hotel rooms. If the administration is eager to issue licenses to build hotels, it should also be willing to provide higher funding and work harder to promote Bali,” he stated.

Although a record amount by Bali standards for tourism promotion, the budgeted amount is still considered below par for the ideal promotion of Bali tourism.

How BPPD will raise the private sector portion of the proposed promotion fund has yet to be revealed.