Hotels in Bali are seeing a gradual recovery following the nightclub bombing last October that killed nearly 200 people.
Hoteliers say occupancy, which plunged to about 16-20% after the bombing has recovered to about 20-30%. However, this is normally 50-60% at this time of year.
According to the Pacific Asia Travel Association, inbound tourist numbers averaged just 1,000-2,000 a day this January, compared with 4,500-5,000 a day last September. "We are in a state of limbo at the moment," said David Wilson, general manager of the Ritz Carlton Bali Resort and Spa.
Domestic and regional travel from Japan, China, South Korea, Taiwan and Indonesia was buoying up trade, but hoteliers say the looming war with Iraq is holding back long-haul passengers.
Wilson said his resort has had few visitors from the UK, USA and Australia, the countries most committed to a war in Iraq. Also, Bali is a traditional holiday resort for Australians, who were the main victims of the bombing.
Mark Griffiths, general manager of Le Méridien Nirwana Golf and Spa Resort in Kediri, said trade was better than expected but still not that healthy, and bookings were more last-minute. Australian tourists were beginning to trickle back but more at the lower end of the market.
Chris Norton, regional vice-president for the Four Seasons Resorts at Jimbaran Bay and Sayan, believed government warnings against travelling to Indonesia, although downgraded, were still deterring customers. "We need to de-CNN-ise people's perception of Bali," he said.
Although small numbers were returning from Australia, the USA, Germany and Switzerland, the "most fearless" long-haul travellers were coming from Portugal, Turkey and Mexico.
Norton said there had been "pockets of hope". The Four Seasons resorts were 60% full over Christmas, almost full over New Year and half-full for the Chinese New Year. Norton and other hoteliers anticipate occupancy of 50% or more in April during Japan's Golden Week holiday period.
Norton said he was "humbled" by the response to the bombing of the Balinese, who largely rely on tourism. "They have been very positive, looking forward and supporting each other," he said. "I have not heard one word about hatred or revenge."
Source: Caterer & Hotelkeeper magazine, 27 February - 5 March 2003