PHRI predicts gloomy year for tourism<\/p>\n
JAKARTA (JP): Indonesian tourism may suffer again this year
\nfrom the political impact of the upcoming presidential election
\nin March, the chairman of the Indonesian Hotel and Restaurant
\nAssociation (PHRI), Pontjo Sutowo, has said.<\/p>\n
Uncertainty over the presidential election during the People's
\nConsultative Assembly (MPR) meeting in March might make
\nprospective tourists cancel or delay their trips to come here for
\nfear of social unrest, Pontjo said Thursday.<\/p>\n
Members of MPR, mostly made up of members of the House of
\nRepresentatives, will elect a new president and approve the State
\nPolicy Guidelines during the March meeting. The dominant Golkar
\npolitical faction said it would support the reelection of
\nSoeharto, which has ruled the country for three decades.<\/p>\n
"Social unrest is the worse enemy of tourism," Pontjo said
\nafter the association's breaking of the fast ceremony.<\/p>\n
The economic turmoil which had hit several Asian countries,
\ndropping the value of their currencies, would also continue to
\ncontribute to the dismal prospects of tourism, at least in the
\nfirst half of this year, he said.<\/p>\n
Last year, the growth in the number of foreign tourist
\narrivals fell to its lowest level in a decade due partly to the
\nhaze problem, which blanketed most parts of Kalimantan and
\nSumatra in the second half of last year, and sporadic riots ahead
\nof the general election in May.<\/p>\n
Tourists from Asia made up 40 percent of all foreign tourist
\narrivals, he said.<\/p>\n
Pontjo said many star-rated hotels had suffered more from the
\ncrisis than non-star hotels.<\/p>\n
Star-rated hotels, which charged in U.S. dollars, had already
\nlost their domestic market, he said.<\/p>\n
He did not say how far occupancy rates had dropped during the
\nmonetary crisis, which has seen the rupiah's value fall 75
\npercent against the dollar.<\/p>\n
However, non-star hotels have been benefiting from the crisis,
\nhe said.<\/p>\n
These hotels, which charged their customers in rupiah, had
\ngrabbed the domestic market, he said.<\/p>\n
Pontjo said the Indonesian hotel industry must adjust to the
\neconomic turmoil in order to lure visitors from the region again.<\/p>\n
"One way of doing it is by using the Asian currency basket,"
\nhe said.<\/p>\n
He said the exchange rate should be adjusted to the average of
\nthe Asian currencies to the U.S. dollar.<\/p>\n
The measure could be done with the cooperation of other
\ncountries in the region, he said. The measure could use
\ninstruments such as vouchers.<\/p>\n
"If we do not adjust to the decrease (of arrivals) from Asian
\ncountries, our market could be grabbed by other countries in the
\nregion which are more competitive than us," he said.<\/p>\n
He said the measure could make inter-Asian traveling similar
\nto domestic traveling.<\/p>\n
"We can persuade Malaysians who cannot afford to go to London,
\nfor example, to go to Indonesia instead," he said. (das)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/phri-predicts-gloomy-year-for-tourism-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}