Domestic economic deceleration has affected Bali’s tourism sector as the hotels’ occupancy rate decreased by 10 percent. Last year it was 70-75 percent, now it is 60-65 percent.

A hotel and property developer PT Hotel Sahid Jaya International Tbk had been experiencing an occupancy rate drop since the people’s weakening purchasing power was reported. In 2014, Hotel Sahid recorded 70-75 percent occupancy, but in 2015 occupancy was only 60-65 percent.

“The slower purchasing power has led to a significant reduction in local tourists’ contributions to our income,” said the president director of Hotel Sahid Jaya, Hariyadi Sukamdani, to kontan.co.id.

He expected the occupancy rate in his hotel to improve in the second half of the year, as the government boosted budget spending.

In line with that, Public Relations and Communication Manager Accor Indonesia Herna Lesmana admitted the occupancy rate in their hotel in Bali drastically declined due a budget efficiency program.

“At the moment, 70 percent of Accor’s guests in Bali come from local tourists, and only 30 percent come from foreigners. In order to attract more guests, hotel managements in Bali launched price discount and promotion programs,” Herna said.

Source: http://www.thejakartapost.com/news/2015/09/30/bali-s-hotel-occupancy-decreases-economy-slows-down.html