Investment Potential in the Hotel and Restaurant Sector in Bali

DENPASAR – Bali is believed to still have great potential to get investment in the hotel and restaurant sector despite the ongoing Covid-19 pandemic.

Deputy Director of the Bali Province Bank Indonesia Representative Office M. Setyawan Santoso said investment is a long-term decision so that the current pandemic condition is not the only reference for investors’ decisions.

Moreover, new investment returns will appear in the next 1 to 1 year so that if investors continue to invest at this time, it will be used as a step to meet tourism conditions in 2024 – 2025.

In addition, investors are considered to be much more profitable if they invest in the midst of an economy affected by the Covid-19 pandemic. The reason, the costs incurred tend to be lower than normal conditions.

“Profits will be received by investors in the next 3-4 years, in fact investors are now more profitable because currently the price of building goods and construction costs are cheap,” he told Bisnis, Monday (1/3/2021).

Based on data from the Bank Indonesia Bali Representative Office, domestic investment in the Island of the Gods during 2020 reached IDR 5,432.7 billion for 2,513 projects and foreign investment (PMA) in the same period amounted to USD 293.3 million for 3,967 projects.

The FDI portion consists of 52 percent for the hotel and restaurant sector, 15 percent for the electricity, gas and water sector, 11 percent for housing, industrial and office areas, 8 percent for other services, 7 percent for transportation, warehouse and telecommunications, 3 percent for industry. food, 2 percent of trade and repairs, and another 2 percent.

Domestic Direct Investment realization by sector during 2020 consisted of 45 percent of hotels and restaurants, 18 percent of construction, 13 percent of transportation and telecommunications, 8 percent of housing, 7 percent of other services, 3 percent of trade, 2 percent of the food industry, 2 percent of food crops, plantations and livestock. , and another 2 percent.

The head of the Bali Tourism Office, Putu Astawa, said the data showed the Island of the Gods was still attractive to investors. Investors are considered still optimistic about the growth of the tourism sector in Bali in the midst of the Covid-19 pandemic.

“There are investors who are optimistic, some are realistic, but there are also those who have cold capital, those with large capital will definitely be interested in tourism,” he said.

Just for the record, the Investment Service and One Stop Integrated Services (DPMPTSP) collected a total investment realization in Bali for 2020 worth IDR 9.66 trillion with a total of 6,480 projects.

The realization of this investment was dominated by domestic investment (PMDN) of IDR 5.43 trillion and foreign investment (PMA) of IDR 4.2 trillion.

The good news is that the digital era has made it easier for hotel marketing strategies. This allows hoteliers to reach potential customers more quickly and easily.

Understanding the hotel’s digital marketing strategy can be said to be one of the success factors in building a hotel business in Bali.

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Author: Ni Putu Eka Wiratmini
Editor : Amanda Kusumawardhani