Bali's Economy Contracts Again by 2.47% in 2021

According to the Central Bureau of Statistics (BPS), Bali's economy, measured by Gross Regional Domestic Product (GRDP) at current prices, amounted to Rp219.8 trillion throughout 2021.

However, when measured based on the 2010 constant price GRDP, Bali's economy experienced a contraction of 2.47%, reaching Rp143.87 trillion in 2021.

This contraction was triggered by the accommodation and food service sector, which still experienced negative growth of 10.2%, the transportation and warehousing sector at 17.5%, and the financial services sector at 3.3%.

This is the second contraction experienced by Bali during the Covid-19 pandemic. In 2020, the province, nicknamed the Island of Gods, also experienced a contraction of 9.33%.

As is known, the accommodation and food service sector remains the largest contributor to Bali's economy. However, the contribution of this business field has shrunk to only 16.66% in 2021, significantly lower than before the Covid-19 pandemic, when it reached 23.7% in 2019.

Other major contributors to Bali's GRDP are the agriculture sector, with a contribution of 15.71%, followed by the construction sector with 11%.

Social and tourism restrictions implemented during the pandemic significantly impacted Bali's economy. The drastic decrease in both domestic and foreign tourist visits also affected all business sectors in the province.

(Also Read: After a Near-Death Experience, 10 Business Sectors in Bali Begin to Recover Again)