Restrictions, Lack of Inbound Travel Have Limited Southeast Asia’s Hotel Performance

STR | February 1, 2023

Southeast Asia sits at the lower end of recovery compared to other STR-defined subcontinents, exceeding only the gains of Northeastern Asia in terms of occupancy and average daily rate (ADR) in 2022. This was due to strict and long-lasting COVID mitigation strategies and the region’s reliance on international travel, particularly from China, which has been slower to resume international flight capacity. According to OAG data, Southeast Asia was still missing 35% of flight seat capacity during the last week of January 2023 (compared to the same week in 2019). While that was better than the 50% gap of six months prior, it shows ...