TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
Government asked to stop issuing licenses for hotel construction
Change text size
Gift Premium Articles
to Anyone
Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!
Indonesian Hotel and Restaurant Association (PHRI) chairman Hariyadi Sukamdani said there are too many hotels in places like Bali, Yogyakarta and Bandung. (tribunnews.com/Seno)
T
he Indonesian Hotel and Restaurant Association (PHRI) has called on the government to stop issuing licenses for hotel construction because currently the country has a surplus of hotel rooms.
The association said there are 2,300 start-rate hotels with 290,000 rooms across the country.
“I think we need a moratorium. Several regions like Bali, Yogyakarta and Bandung, already have too many hotels,” said PHRI chairman Hariyadi Sukamdani in Jakarta on Monday as reported by tribunnews.com.
He called on property developers to stop constructing new hotels to help increase the occupancy rate of the existing hotels and to prevent further oversupply in hospitality businesses.
He questioned the many new proposals from businesspeople to develop new hotels, while existing hotels were struggling to increase occupancy.
“Why would they want to develop new hotels if they know they would face difficulty,” asked Hariyadi, who is also chairman of the Indonesian Employers Association (Apindo). (bbn)
