DENPASAR, Bali, 10 February 2021: Bali’s high flying hotel
industry has hit rock bottom with single-digit occupancies and properties are
facing imminent closure, Bali Discovery.com reports in its latest weekly
It claims at least 60 hotels are for sales in Bali, with
many more teetering on the verge of financial collapse. In an earlier edition,
the popular newsletter reported the Supreme Court of Indonesia had formerly
declared the Swiss-Belhotel Segara at Nusa Dua in Bali bankrupt and under the
control of administrators.
Quoting heavily from TribuneBali.com, the latest report said
Bali’s tourism economy is taking an increasingly severe beating resulting from
the continuing global pandemic and government policies restricting public
movements and gatherings in Java and Bali.
Bali enters the month of February 2021, with hotel
occupancies across the island mostly in the single-digit range for those hotels
still operating. Bali is home to an estimated 146,000 hotel rooms.
Badung Chapter of the Indonesian Hotel and Restaurant
Association chairman IGN Rai Suryawijaya noted: “At this time, a hotel with 200
rooms may have 9 or 10 rooms occupied – this is very low. This level of
occupancy is not enough to cover the operating costs of the hotel,”
The association is asking the government to provide 10-year
soft loans in INR9.7 trillion with low-interest rates, or many businesses will
simply collapse and go bankrupt.
Suryawijaya said “around 60 hotels are now available for
sale. If tourism is to survive, the central government must quickly help us.
“Several hotel owners have directly said to me that their
hotels are for sale, hoping that I know someone among a network of investors
who might buy their property,” said Suryawijaya.
For full report see Bali Discovery: