Hotels hold on despite global financial crisis

Hotels in Bali are yet to experience any significant downturn in occupancy or room-booking rates, as the island's tourism leaders watch nervously for signs the global financial crisis is starting to hit the industry. 

Several hotels in Bali have reported only slightly lower occupancy and booking rates than last year, with the drops attributed to the global crisis and the Australian government's travel warning. 

Meutia Mahardhika, public relations manager of the Bali Hyatt in Sanur, said the hotel's occupancy rate was at about 50 to 60 percent in the first few weeks of December, similar to that experienced in the same period last year. 

She said the Hyatt had not noticed any significant reduction in booking rates for New Year celebrations, as it was already about 80 percent booked until early January. 

"So far we're still doing well, but we are worried about the financial crisis because our base market is Europeans, who might feel less inclined to travel all the way to Bali for their holidays and could opt for closer destinations instead," she said. 

Ani, a reservations officer at the Mercure Hotel in Sanur, reported a downturn of about 10 percent in bookings over the December-January period, to an average occupancy rate of 70 percent this year from 80 percent last year. 

Nevertheless, the hotel is about 90 percent booked for the end of December. 

"So I can say that we're still getting guests despite the financial crisis," she said. 

In Kuta's Seminyak and Legian areas, hotels are experiencing less than encouraging numbers. 

Sukaesih Winjarini, Sales Manager of Oberoi Hotel, said bookings had been slow in December, with occupancy averaging about 60 percent. 

Bali hotels tend to experience 70 to 90 percent occupancy during December to January, a period known as the local tourism industry's traditional peak season. 

"In our case, we've just been having a slow month, whether it's because of the financial crisis or something else," she said. 

With the numbers heading south, Robin Deb, manager of an Accor operated hotel chain, warned another problem for Bali's tourism industry could be coming from the south too -- the Australian government's travel warning issued last month concerning the recent execution of the three Bali bombers. 

"I can say that, at least for Accor hotels in the Seminyak and Legian areas, cancellations have come mainly from Australian tourists, which I suspect is due to the travel warning," he said. 

Head of the Bali Tourism Board, Ngurah Wijaya, confirmed that Bali had experienced lower occupancy rates in the first couple of weeks of December, a sign that tourists were waiting for the financial crisis to subside before going on holidays. 

"Booking rates may remain the same or only slightly lower, but that's still not a telltale sign of what's going to happen in the days to come except that it will not be as high as last year," he said. 

"The deciding point will arrive in January and February, and I hope we'll continue to have guests." 

He urged hotels and tour operators against engaging in price wars, as witnessed after the first Bali bombing in 2002, which nearly destroyed the island's tourism industry. 

"Businesses in the tourism industry must work together by helping each other in promoting the island because it will be in the island's best interests to survive as a whole," he said.

Source: Andra Wisnu , The Jakarta Post , Denpasar | Fri, 12/26/2008 11:21 AM | Bali 

Letter: Bali needs serious attention

I have just returned from beautiful Bali after my second holiday this year to the Island. 

On this trip, I began to notice a few things that require the Indonesian government's attention if the tourist industry on Bali is to carry on prospering and earning large amounts of income for the country: 

- Streamline the chaotic arrivals and visa situation at Denpasar airport. 

- Repair all the sidewalks in tourist areas 

- Remove all garbage and litter from the streets and beaches 

- Put in place a rodent (mainly rat) eradication program 

- And ban all non-registered unscrupulous (criminal) money changers. 

I believe the taxes and entry fees paid by tourists should more than adequately cover the cost of implementing the points mentioned above, and then future tourists will return to their prospective country's with a very high regard of Bali as a premier holiday destination. 

BRIAN GUNN 

For weeks now the beaches of Kuta and Legian -- about a 7-kilometer stretch -- have been covered in rubbish. 

I heard that Indonesia will extend its "Visit Indonesia Year" to 2009. 

Do you really think this is attractive to foreign visitors? Besides the fact that they could be arrested for wearing a bikini, they now have to worry about health risks there too!!!) 

You have reporters in Denpasar, but they obviously do not regard this as newsworthy -- which I honestly think is a shame considering your newspaper calls itself independent. 

MICHAEL BEER

Culburra Beach, Australia

Source: http://www.thejakartapost.com/news/2008/12/27/letter-bali-needs-serious-attention.html

one of the seven Al-Bait Towers Complex: Zamzam Tower

Zamzam Tower is one of the seven Al-Bait Towers Complex. It stands on the same piece of land on which the historical Ajyad Castle once stood, providing a close view of the Holy Mosque of Mecca.

Property Developer
Munshaat Real Estate Projects Company

Project Features
Zamzam Tower provides a range of unique services and advantages that distinguishes it as the best residential project in the Gulf Region:
• Residential suites elegantly furnished according to international 5-star hotels standards.
• Engineered with an architectural concept matching the religious environment of Mecca.
• Direct connection to the Holy Mosque open space.
• Close view to the Holy Mosque of Mecca.
• 36 elevators to serve both residents and visitors efficiently.
• High-tech heating and air-conditioning systems.
• Grand shopping centre on 70,000 square meters, including a wide range of brand restaurants and shops.
• Customized audio system transmitting Azan and prayers from the Holy Mosque direct to residential suites.
• Praying space inside the complex and neighboring areas accommodating 50,000 worshippers.
• Parking lots with a capacity of 1,400 cars.
• Ring roads easily linking the complex to the rest of the Mecca area.
• Flexible interior design dividing the tower suites into five different types.
• Round-the-clock security system.
• Zamzam Tower is managed and maintained by Accord Sofitel, an international renowned hotel chain.  
 
Facilities
With four easily accessible floors, the shopping centre is characterized by an open design allowing visitors to have easy visual access to all showrooms, facilitated shopping and Walk Around. The fourth floor houses a chain of different restaurants, able to simultaneously accommodate 5,000 people.

Source and Other Info : www.oasis-properties.com

Acer starts multibrand strategy with eMachines

Already a market leader in Indonesia's computer market, Acer has further expanded its operations here with the introduction of its new eMachines brand last week. 

After acquiring Packard Bell, Gateway and eMachines, Acer introduced the eMachines desktops and notebooks to the Indonesian market to expand its 37 percent market share here, Acer Group Indonesia president director Jason Lim said. 

Worldwide, the Taiwan-based company is third in terms of sales after Hewlett Packard and Dell. 

"Next, the Gateway brand will be introduced to the Indonesian market in the first quarter of next year," Lim said. 

Gateway computers are aimed mostly at younger users. 

"Students who prefer functionality over frills are our main target." 

Indonesians bought 1.2 million units of notebooks in the first three quarters of 2008, with Acer brands making up 37.7 percent of the total, he said. 

In 2007 full year sales, Acer accounted for 35 percent of the total 750,000 notebooks sold across all brands. 

"We estimate eMachines will expand our market share by 7 percent," he said. 

The figure could be much higher if the next year's projected slowdown in economic growth, which is translated into lower demand, is limited. 

The global economic downturn, which has now tipped many countries into recession, is projected to derail Indonesia's economic growth. Having initially assumed an economic growth of 6 percent for next year, Finance Minister Sri Mulyani Indrawati has said the government would settle for a growth of "above 5 percent". 

"While our average annual sales growth is around 100 percent, we forecast next year's sales growth will be 50 percent due to a decrease in consumers' purchasing power," Lim said. 

Data from consultancy firm Gartner for the third quarter of this year show that Acer Indonesia will maintain its top position with a 23.1 percent market share for computers overall, and shares of 37.7 percent and 9.2 percent for notebooks and desktops, respectively. 

eMachines was acquired by Acer at the end of 2007 through its acquisition of Gateway. Gateway bought former rival eMachines in 2004. 

Since its establishment in 1998, eMachines has sold five million PCs. It was the second largest vendor of desktop PCs sold through U.S. retailers and remains a stand-alone brand. 

Acer spent US$710 million for the acquisition of Gateway, completed last December. Acer also bought another PC company, Packard Bell, with its acquisition completed in February this year. 

Source: The Jakarta Post , Jakarta | Mon, 12/01/2008 10:55 AM | Business 

LPG shortage slows conversion plan

Source: Mustaqim Adamrah,  The Jakarta Post, ,Jakarta | Sat, 12/06/2008 11:45 AM | Business 
The government may be able to procure no more than 35 million liquefied petroleum gas (LPG) cylinders next year, only half of the number it had initially planned for its LPG-to-kerosene conversion program. 

Ansari Bukhari, the Industry Ministry's director general for metal, machinery, textile and miscellaneous industries, said Friday the projected shortfall was due to the domestic industry's capacity to supply only 35 million in the two years since the program was launched. 

"It will take a miracle for us to realize our plan to accelerate the program by distributing 100 million three-kilogram LPG cylinders by 2009," he said. 

The government and state oil and gas firm PT Pertamina -- which is responsible for implementing the program -- have therefore revised down their target from 100 million cylinders to 84 million cylinders, he said. 

With the estimated 35 million to be produced next year, plus the 35 million already in the market, Ansari said the government would not rule out importing more cylinders to meet the revised target. 

"We'll import the remainder if the numbers are insufficient," he said. 

According to Ansari, 42 million cylinders will be for households, with the other 42 million for retail stock. 

The government rolled out the conversion program in December 2006. The aim of the program, which is expected to be completed in 2010, is to slash spending on kerosene subsidies. 

Although the program has been moving slowly because of the shortage of cylinders and refilling stations, the government is accelerating the program. 

The program's target is to replace the use of up to 2.1 million kiloliters of kerosene by the end of 2008. As of November, the replacement level had reached 1.8 million kiloliters. 

Pertamina earlier set a target for 20 million recipients of LPG cylinders and gas stoves nationwide by the end this year and 42 million by next year.

See Other info about mining, coal, others

Facing the global crisis: The labor and The company must help each other

Employers and labor must help each other people can not gladly welcomed the policy, Bank Indonesia (BI) reference BI lower interest rate. Yesterday, BI lower the BI rate of 0.25 percent or 25 basis points to 9.25 percent .. become Now, let's have urged the bankers want to lower the interest credit. Thus, it should, be done decrease interest and the interest of savings deposits, interest loans, such as the Home Ownership Loan (KPR) or working capital. Many bankers are still estimated to be reductions in interest rates. The reason, banks still need time to make adjustments. 

The impact of the global crisis has been felt. Industry compact product exceptionally paper consumption began to run out because of hot demand. Order export abundant in the normal end of the year is now deserted. Labour and employers also are in the same ravine lips. Working with a solid now required to rebut the impact of the crisis. 

Global crisis has begun to undermine us. If not solid, prospective employers and workers alike affected global crisis, which started Fall of the financial sector in the United States and Europe. 

U.S. experiencing the worst levels of unemployment during the last 14 years. Some 600,000 people lost their jobs in the last three months and become a part of the 1.2 million new unemployed people in the U.S. this year. 

Workers manufacturing, property, metal, and financial services sector is the most to be unemployed. Goldman Sachs economist, U.S. research bureau, estimates, the level of unemployment reached 8.5 percent 2009. 

They do not work, which will reduce spending, driving two-thirds of national economic activity. This condition is a pressing demand and take market to U.S. products of other countries. 

Textile producers, textile products, and electronic components or vehicles with Indonesia began to interview. 

The export-oriented producers lose market now. Sluggish market, coincides with the end of the year routine determination of the new minimum wage 2009. 

Industry moving distraught. They begin to reduce the production of at least 30 percent. No less a labor termination of employment while. Labor contracts and suppliers of raw materials also forced unemployed. 

Soliditas laborers and entrepreneurs are needed now to prevent massive lay if the crisis more severe. International donors also should not use the terms again that burden when the country provide loans outstanding debtors. Even if the shift starts from the discussion of working hours, termination of employment while, until finally there is a termination of employment, not all of sudden. Thus, workers can better prepare for manages 

If workers need jobs, so employers must maintain with the company. Investment new may not have expected at this time. So, there is no way other than maintaining existing. Employers need only the tranquillity that 

The worst to come in H1 of 2009: Mulyani

The impact of the global economic slowdown will likely peak in the first half of 2009, with exports and investments the hardest hit, Finance Minister Sri Mulyani Indrawati said Tuesday.
“In 2009, the government sees the risk to growth as very real. Exports and investments will be hit hard due to the (poor) performance of the financial sector,” Mulyani said at a hearing with the House of Representatives’ Commission XI, which oversees financial affairs.
“The impact will mainly materialize in the first half (of 2009).” 
However, she said that because private consumption growth could be maintained at 5 percent next year, the economy would likely grow between 5 and 5.5 percent.
“The threat of high inflation is not real, so the level of household consumption can be held at 5 percent,” she said.
In the worst case scenario, she warned, Indonesia’s economy could slow to 4.5 percent next year.
The central bank predicts inflation in 2009 will hover between 6.5 and 7.5 percent, down from the 11.5-12.5 percent range it straddled this year. Inflation in November rose 11.68 percent from a year earlier, according to the Central Statistics Agency (BPS).
Private consumption usually makes up about 70 percent of Indonesia’s economy, with exports and investments contributing the rest.
In the third quarter of 2008, the country’s economy grew by 6.1 percent from a year earlier, the BPS reported.
Indonesia began feeling the impact of the global economic slowdown in October, when exports dropped by about 12 percent from the previous month as importing countries slashed demand.
Top global research and advisory firm, the Economist Intelligence Unit, predicted Indonesia’s economy would grow by 3.7 percent in 2009, while Swiss-based financial firm UBS projected 2.5 percent growth.
However, local economists remain upbeat the economy can grow more. Danareksa Research Institute chief researcher Purbaya Yudhi Sadewa said the economy could grow by 5.9 percent in 2009, supported by domestic demand, while renowned economist Faisal Basri forecast 5.8 percent growth.
Mulyani said the government was providing a trade financing facility to help exporters and importers. Imports of unessential consumer goods will be reduced to help local industries compete with cheap imported goods, while support for market diversification for exports will be maintained.
To support the real sector, the government will inject Rp 120 trillion (US$9.68 billion) this month and spend another Rp 90 trillion as early as next year to build infrastructure, including roads, bridges, ports, railways and telecommunications infrastructure, Mulyani said.
Rural areas will be given Rp 10.3 trillion to develop infrastructure. Agriculture subsidies have been raised from Rp 27.9 trillion this year to Rp 33.4 trillion in 2009, including Rp 17.1 trillion for fertilizer. 
The government is also offering Rp 12.5 trillion in the form of waived income and value added taxes, as well as import duties, to help industries cope with the economic downturn.

Source: Aditya Suharmoko , The Jakarta Post , Jakarta | Wed, 12/03/2008 6:55 AM | Headlines