Bali Blames Economy & RI Policies for Business Downturn

Kompas.com quotes the chairman of the Bali Chapter of the Indonesian Hotel and Restaurant Association (PHRI-Bali),  Tjokorda Oka Artha Ardana Sukawati (Cok Ace), who reports that Bali hotel occupancies over the 2025 Lebaran Holiday only hit 50-55% of targeted levels. 

Cok Ace suspects that the cutting of government travel and seminar budgets and the general state of Bali’s economy are to blame for low hotel occupancies. “Based on Lebaran Holidays, one year before 2024, hotel occupancies were expected to average between 80-85 percent,” said the PHRI-Bali chairman on Wednesday, 02 April 2025. Cok Ace also blamed lower hotel occupancies on the boom of commercial villas built in Bali. 

Targeted hotel occupancies for Lebaran 2025, mirroring the average 80-85% achieved during the 2024 holiday period, ended up closer to a dismal 50% average occupancy. 

Cok Ace said that some regions of Bali performed moderately well. He reported that Sanur reached 80-85% occupancies, Ubud 70-75%, Nusa Dua 70%, and Kuta 70-75%. Hotel operators in Bali are linking the business downturn to the public’s reduced purchasing power. 

Cok Ace reiterated, “The domestic economic situation is causing the public to reconsider taking trips.” He said other factors are coming into play, such as extreme weather and the Nyepi and Lebaran Holidays’ collision of dates.

Related Links

PHRI: RI Hotel Occupancies Down 20% During Lebaran 2025

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Domestic Demand Boosts Hotel Occupancy

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