Guess how much Bali’s hotel supply has grown in Q1

The total supply reached nearly 59,000 rooms during the quarter.

According to a Colliers report, two new hotels from IHG Hotels & Resorts have been added to Bali’s supply: a 3-star hotel with 72 rooms in the Kuta area and a 4-star hotel with 162 rooms in Seminyak. As of Q1 2025, the total supply was noted at 58,822 rooms.

“The upcoming hotel supply in Bali until 2027 is predominantly 5-star hotels, indicating confidence in the leisure and international markets. However, uncertain conditions may impact the market and hotel growth in Bali,” the report added.

Here’s more from Colliers:

During Q1 2025, Bali’s hotel market was primarily supported by the international leisure market. The fasting month of Ramadan in March further reduced domestic activity, significantly affecting hotel revenue.

Hotels in Bali face competition not only from other hotels and villas but also from unregistered independent villas. These villas offer lower rates, attracting long-stay guests and reducing hotel occupancy rates. Lowering published rates may limit hoteliers’ ability to adjust prices in the future. The local government is working to regulate these villas to create healthier competition.

Hotel performance in Bali is expected to improve in Q2, starting from the Eid holiday. However, efficiency measures and declining purchasing power must be considered. Domestic plane tickets, which are often more expensive than international ones, may deter domestic tourists from vacationing.