Bali Tourism

The tourism industry is primarily focused in the south, while significant in the other parts of the island as well. The main tourist locations are the town of Kuta (with its beach), and its outer suburbs of Legian and Seminyak (which were once independent townships), the east coast town of Sanur (once the only tourist hub), in the center of the island Ubud, to the south of the Ngurah Rai International Airport, Jimbaran, and the newer development of Nusa Dua and Pecatu.

The American government lifted its travel warnings in 2008. The Australian government last issued an advice on Friday, 4 May 2012. The overall level of the advice was lowered to 'Exercise a high degree of caution'. The Swedish government issued a new warning on Sunday, 10 June 2012 because of one more tourist who has been killed by methanol poisoning.

An offshoot of tourism is the growing real estate industry. Bali real estate has been rapidly developing in the main tourist areas of Kuta, Legian, Seminyak and Oberoi. Most recently, high-end 5 star projects are under development on the Bukit peninsula, on the south side of the island. Million dollar villas are being developed along the cliff sides of south Bali, commanding panoramic ocean views. Foreign and domestic (many Jakarta individuals and companies are fairly active) investment into other areas of the island also continues to grow. Land prices, despite the worldwide economic crisis, have remained stable.

In the last half of 2008, Indonesia's currency had dropped approximately 30% against the US dollar, providing many overseas visitors value for their currencies. Visitor arrivals for 2009 were forecast to drop 8% (which would be higher than 2007 levels), due to the worldwide economic crisis which has also affected the global tourist industry, but not due to any travel warnings.

Bali's tourism economy survived the terrorist bombings of 2002 and 2005, and the tourism industry has in fact slowly recovered and surpassed its pre-terrorist bombing levels; the longterm trend has been a steady increase of visitor arrivals. In 2010, Bali received 2.57 million foreign tourists, which surpassed the target of 2.0–2.3 million tourists. The average occupancy of starred hotels achieved 65%, so the island is still able to accommodate tourists for some years without any addition of new rooms/hotels,although at the peak season some of them are fully booked.


Bali received the Best Island award from Travel and Leisure in 2010.The island of Bali won because of its attractive surroundings (both mountain and coastal areas), diverse tourist attractions, excellent international and local restaurants, and the friendliness of the local people. According to BBC Travel released in 2011, Bali is one of the World's Best Islands, rank in second after Greece.

In August 2010, the film version of Eat, Pray, Love (EPL) was released in theatres. The movie was based on Elizabeth Gilbert's best-selling memoir of the same name. It took place at Ubud and Padang-Padang Beach at Bali. The 2006 book, which spent 57 weeks at the No. 1 spot on the New York Times paperback nonfiction best-seller list, had already fuelled a boom in EPL tourism in Ubud, the hill town and cultural and tourist center that was the focus of Gilbert's quest for balance through traditional spirituality and healing that leads to love.

Since 2011, China has displaced Japan as the second-largest supplier of tourists to Bali, while Australia still tops the list. Chinese tourists increased by 17% from last year due to the impact of ACFTA and new direct flights to Bali. In January 2012, Chinese tourists year on year (yoy) increased by 222.18% compared to January 2011, while Japanese tourists declined by 23.54% yoy. Bali reported that it has 2.88 million foreign tourists and 5 million domestic tourists in 2012, marginally surpassing the expectations of 2.8 million foreign tourists. Forecasts for 2013 are at 3.1 million.

Based on Bank Indonesia survey in May 2013, 34.39 percent of tourists are upper-middle class with spending between $1,286 to $5,592 and dominated by Australia, France, China, Germany and the US with some China tourists move from low spending before to higher spending currently. While 30.26 percent are middle class with spending between $662 to $1,285.




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