Tourism collapses 87% in August

chico bill

Lobotomy Surgeon
May 6, 2016
7,250
1,286
113
I saw that article. It was as predictable as the sun rising in the morning.
You can sense the panic as the DR finally realizes that dollars aren't coming into the country those flying aluminum tubes in people's pants pockets like before.
The harm done may become permanent for many failing businesses.
 

TropicalPaul

Bronze
Sep 3, 2013
1,109
302
83
No. They merely borrow incoming dollars today, pay off existing obligations, then put them back as new dollars enter the country.

If that sounds akin to a Ponzi scheme...........it should. They always need a new steady supply of dollars to pay back prior existing obligations. When the new dollars stop/slow, as is the case now, the trouble begins.

And when/if that trouble gets out of hand...........they appeal to the IMF (the lender of last resort) for a bailout.

Respectfully,
Playacaribe2
But that's why you have an exchange rate. The exchange rate rises, so people get more pesos per dollar. So peso become more attractive, people trade pesos for dollars.
 
Jan 9, 2004
9,170
512
113
But that's why you have an exchange rate. The exchange rate rises, so people get more pesos per dollar. So peso become more attractive, people trade pesos for dollars.

So what people are trading dollars for pesos? Tourism which supplies a very large portion of dollars is almost non-existent. There is little demand for pesos these days...........thus why the government just "placed" a 3.8 billion dollar bond offering.........a/k/a borrowing.

There is little to no demand for pesos.......and the government needs dollars to pay its international obligations. If you believe that increasing the peso rate per dollar will somehow attract more dollars, I offer Venezuela and Argentina as regional examples of why that theory will not work.

Without tourism and the dollars it brings...............the economy will be challenged.......at best.

And no tourist recovery is in sight.............no matter what the government does/says..........until at least November 2021 (my observation). The situation is beyond their control now.


Respectfully,
Playacaribe2
 

johne

Silver
Jun 28, 2003
4,053
768
113
So what people are trading dollars for pesos? Tourism which supplies a very large portion of dollars is almost non-existent. There is little demand for pesos these days...........thus why the government just "placed" a 3.8 billion dollar bond offering.........a/k/a borrowing.

There is little to no demand for pesos.......and the government needs dollars to pay its international obligations. If you believe that increasing the peso rate per dollar will somehow attract more dollars, I offer Venezuela and Argentina as regional examples of why that theory will not work.

Without tourism and the dollars it brings...............the economy will be challenged.......at best.

And no tourist recovery is in sight.............no matter what the government does/says..........until at least November 2021 (my observation). The situation is beyond their control now.


Respectfully,
Playacaribe2
Can the government manipulate the peso in such a way in order to trade the peso against the dollar and in effect gain an unfair (and illegal) means to obtain dollars?
 

chico bill

Lobotomy Surgeon
May 6, 2016
7,250
1,286
113
So what people are trading dollars for pesos? Tourism which supplies a very large portion of dollars is almost non-existent. There is little demand for pesos these days...........thus why the government just "placed" a 3.8 billion dollar bond offering.........a/k/a borrowing.

There is little to no demand for pesos.......and the government needs dollars to pay its international obligations. If you believe that increasing the peso rate per dollar will somehow attract more dollars, I offer Venezuela and Argentina as regional examples of why that theory will not work.

Without tourism and the dollars it brings...............the economy will be challenged.......at best.

And no tourist recovery is in sight.............no matter what the government does/says..........until at least November 2021 (my observation). The situation is beyond their control now.


Respectfully,
Playacaribe2
Yes it is beyond their control.

As many of us said, people make plans for vacations in advance and since the DR was under the death-to-freedom protocol this was a destination scratched off many lists.

So while is too late to rescue the full tourism for winter 2020/2021, it is more than likely it can be rescued for next year, but that will take more action on DR's part.
It will take less doom and gloom numbers for Covid being ballyhooed by 'experts' and the end to curfews. Yes the end.
What is particularly disturbing is the lower weekend hours (Friday-Sunday)

Yes even tourists and expats still realize weekends as 'time to get out' here in DR.
Everyone wants the normal to return and businesses to prosper.
 

william webster

Platinum
Jan 16, 2009
24,846
1,336
113
Tourism may be suffering..... that didn't deter the gov't from the $1M fine to Riu Bambu

These guys are serious..... Bambu broke etiquette & got caught

No 2nd fine... a closure
 

chico bill

Lobotomy Surgeon
May 6, 2016
7,250
1,286
113
Tourism may be suffering..... that didn't deter the gov't from the $1M fine to Riu Bambu

These guys are serious..... Bambu broke etiquette & got caught

No 2nd fine... a closure
That was probably for show because people posted photos.
If they really want to shoot themselves in the foot then they can close the AIs, which would cancel some people who have made reservations and that will cascade.
They won't close anyone who is paid up on kick backs, and that and a $17,000 dollar fine is not likely being actually enforced anyway.
 
  • Like
Reactions: NanSanPedro
Jan 9, 2004
9,170
512
113
Can the government manipulate the peso in such a way in order to trade the peso against the dollar and in effect gain an unfair (and illegal) means to obtain dollars?

In theory the government does that every Friday, when they set the exchange rate. Example being, they give you 57.2 pesos for a dollar........and then when you want that dollar back.......you must pay them 58.2 pesos.

Not sure if its unfair/illegal........but it is what happens.

Respectfully,
Playacaribe2
 

scot_tosh

On Extended Vacation
May 21, 2010
428
164
43
Since Riu Bambu reopened with local tourists streaming into the resort on weekends, it has trashed the good reputation it had on tripadviser. People talking about the lack of hygeine protocols, lack of control on numbers and drug taking round the pools. The difference in pre and post lockdown reviews are stark and will be very damaging for the Riu chain in Republica Dominicana going forward. This is the last thing that the countries tourism industry needs.I'm surprised the Riu chain have allowed things to get so bad so quick.
 

Caonabo

LIFE IS GOOD
Sep 27, 2017
6,307
2,199
113
Since Riu Bambu reopened with local tourists streaming into the resort on weekends, it has trashed the good reputation it had on tripadviser. People talking about the lack of hygeine protocols, lack of control on numbers and drug taking round the pools. The difference in pre and post lockdown reviews are stark and will be very damaging for the Riu chain in Republica Dominicana going forward. This is the last thing that the countries tourism industry needs.I'm surprised the Riu chain have allowed things to get so bad so quick.

Like many other services, TripAdviser was ONCE a reliable source of information. While the occasional good hearted poster still contributes, many competing entities use the platform to slam their competition with false narratives in order to steer business away towards them. "Waiter, there's a fly in my soup!", has been around forever.
Although I believe it is still useful for location information, and photos.
 

scot_tosh

On Extended Vacation
May 21, 2010
428
164
43
Like many other services, TripAdviser was ONCE a reliable source of information. While the occasional good hearted poster still contributes, many competing entities use the platform to slam their competition with false narratives in order to steer business away towards them. "Waiter, there's a fly in my soup!", has been around forever.
Although I believe it is still useful for location information, and photos.
I always look at tripadviser with an open mind too. But it is the difference between the on the whole decent reviews pre lockdown with the critical reviews post lockdown and it does not look good.
 
  • Like
Reactions: Caonabo

scot_tosh

On Extended Vacation
May 21, 2010
428
164
43
Like many other services, TripAdviser was ONCE a reliable source of information. While the occasional good hearted poster still contributes, many competing entities use the platform to slam their competition with false narratives in order to steer business away towards them. "Waiter, there's a fly in my soup!", has been around forever.
Although I believe it is still useful for location information, and photos.

Things were bad enough at that hotel last weekend for the government to issue a $RD 1,000,000 fine for breaches of the Covid19 safety protocols.
 
  • Like
Reactions: Caonabo

bob saunders

Platinum
Jan 1, 2002
28,114
1,730
113
dr1.com
Since Riu Bambu reopened with local tourists streaming into the resort on weekends, it has trashed the good reputation it had on tripadviser. People talking about the lack of hygeine protocols, lack of control on numbers and drug taking round the pools. The difference in pre and post lockdown reviews are stark and will be very damaging for the Riu chain in Republica Dominicana going forward. This is the last thing that the countries tourism industry needs.I'm surprised the Riu chain have allowed things to get so bad so quick.
It is amazing that people can stay at the resort at the same and write totally opposite opinions on TripAdvisor. I find in general women are nitpickers far moreso than men.
 

bob saunders

Platinum
Jan 1, 2002
28,114
1,730
113
dr1.com
So what people are trading dollars for pesos? Tourism which supplies a very large portion of dollars is almost non-existent. There is little demand for pesos these days...........thus why the government just "placed" a 3.8 billion dollar bond offering.........a/k/a borrowing.

There is little to no demand for pesos.......and the government needs dollars to pay its international obligations. If you believe that increasing the peso rate per dollar will somehow attract more dollars, I offer Venezuela and Argentina as regional examples of why that theory will not work.

Without tourism and the dollars it brings...............the economy will be challenged.......at best.

And no tourist recovery is in sight.............no matter what the government does/says..........until at least November 2021 (my observation). The situation is beyond their control now.


Respectfully,
Playacaribe2
Many remittances are in American dollars.
 

user123

Active member
Aug 16, 2017
369
233
43
This push by the government on hotels to slash their prices is going to backfire in a big way. Every time I went to a resort there were always a few Dominican families but you could tell they were educated people, this new dembow crowd are animals. They're turning the resorts into corner colmados and car-washes, and I feel sorry for the stuff who have to put up with the BS.
 

johne

Silver
Jun 28, 2003
4,053
768
113
This push by the government on hotels to slash their prices is going to backfire in a big way. Every time I went to a resort there were always a few Dominican families but you could tell they were educated people, this new dembow crowd are animals. They're turning the resorts into corner colmados and car-washes, and I feel sorry for the stuff who have to put up with the BS.
I noticed that you point with a very big brush. Do you have a medium sized one in your tool box just in case?
 

chico bill

Lobotomy Surgeon
May 6, 2016
7,250
1,286
113
Like many other services, TripAdviser was ONCE a reliable source of information. While the occasional good hearted poster still contributes, many competing entities use the platform to slam their competition with false narratives in order to steer business away towards them. "Waiter, there's a fly in my soup!", has been around forever.
Although I believe it is still useful for location information, and photos.
A fly in my soup ?

bkfly.jpg
 

SKY

Gold
Apr 11, 2004
10,046
372
83
A note about Tripadvisor reviews. Many well known hotels post phony reviews themselves to boost their business. Some have been caught, but most get away with it.

You can always tell a real review from a phony. The real review is longer and covers more facts of the visit. The phony is always headed by Best Stay Ever, or Great Service,etc. They are very short and totally full of it. And when someone posts a real negative review, out of nowhere comes about 6 or 7 one or 2 line reviews telling how great the place is. This buries the bad review, as it moves off the cover page.

So buyer beware.
 
  • Love
Reactions: Caonabo