Pandemic; Bali Economy among Indonesia's Worst-hit



Laila Afifa

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  • TEMPO.CO, Jakarta - The cancelations of numerous travel plans as well as meeting, incentive, convention, and exhibition (MICE) events in Bali hit the island's economy. Bali experienced an economic slowdown of 1.14 percent, which is among the worst in Indonesia.

    "Bali's economy is among those corrected the deepest, along with Yogyakarta," kata Bank Indonesia's (BI) Bali Office head Trisno Nugroho said in an online discussion in Denpasar, May 19. 

    Trisno said that in Q1/2020 Bali's economy slowed significantly because of the Covid-19 pandemic, particularly because the island heavily relies on tourism—contributing more than 55% to its income. Visits declined sharply because of the pandemic, and cancelations were abounding ever since February.

    Foreign visits dropped dramatically, from 500,000 in January to just 165,000 in March. The decline became steeper in April after the government limits international and domestic flights.  

    "As of May 5, foreign arrivals to Bali had fallen by 44.23 percent, while domestic tourist arrivals dropped 35.27 percent," BI Bali deputy director Rizki Ernadi Wimanda said.