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BALI Governor Wayan Koster has instructed the Bali Tourism Office to coordinate with the Badung Tourism Office and the Licensing Agency to verify reports that a number of hotels on the island are being put up for sale. News regarding the sale of tourism accommodation assets has recently gone viral.
Hotels across various regencies are listing their properties at prices ranging from tens to hundreds of billions of rupiah. Speculation suggests that these companies are facing bankruptcy or a decline in foreign and domestic tourist numbers.
“I have tasked the Head of the Bali Tourism Office with coordinating with the Badung Tourism Office and the Licensing Agency to gather data on the reports regarding hotels being sold,” Koster said.
Koster asserted that Bali’s tourism sector is currently in a normal, stable, and positively growing state, with no significant decline.
Daily statistical data shows that foreign tourist arrivals in Bali remain stable at between 20,000 and 24,000 people per day, while domestic tourist numbers range from 12,000 to 14,000 daily.
“Regional tourism dynamics are not facing significant obstacles that would cause hotels to be sold off. The phenomenon of certain hotels being sold or closed is purely due to internal business dynamics, not a slump in regional tourism,” Koster stated.
According to him, many hotel owners have business networks outside Bali that are under financial strain. Operational profits generated in Bali are being diverted to cover losses elsewhere, forcing them to sell their assets on the island.
“Tourism is actually on the rise; this is certainly linked to their businesses. Things are good in Bali, but difficult outside of Bali. Ultimately, profits made here are siphoned off there; unable to sustain the situation, they close and sell the properties here.
The Bali Provincial Government also dismisses allegations that the hotel sales are caused by an oversupply of rooms (overcapacity),” Koster said. Koster stated that the occupancy rate for star-rated hotels currently remains strong at 80–90%, provided they are managed professionally. [JPNN/special photo]
