rewrite this title For every two hotel rooms, there are three Airbnb rooms

The Dominican Republic faces the proliferation of short-term rentals through digital platforms such as Airbnb, which already outnumber hotel rooms in the country. In the country, for every two hotel rooms, there are three of Airbnb, so its regulations are under review in the executive power.

With more than 126,000 rooms offered by individuals, the digital rental industry requires regulation that provides protection to both tourists and formal operators in the sector, and begins with the payment of taxes.

“I can't tell you if it is good or bad, that is, until there is regulation for this type of digital platform projects that protects the security of tourism growth in the Dominican Republic.”

commented to ACCENT that the growth of digital platforms in the tourism sector must be regulated and provide a safe environment that does not harm the vacations of non-resident foreigners.

“We have that amount (126,416 rooms) of projects on digital platforms carried out by individuals and not by (formal) companies that offer insurance, responsibility and control, well no, it is not something that is neither good nor bad… it is something “That from the sector we advocate for it to be regulated,” he expressed.

In the country, expert Juan Lladó highlighted that it was the Jack Tar Village hotel in Playa Dorada in the 1980s, becoming the offer of choice for 4,969,079 non-resident foreigners between January-October 2024.

The average rate was US$199 per room in August of this year, placing it below destinations such as the Bahamas (US$366), Jamaica (US$303) and Cancun in Mexico (US$230). The housing supply of Quisqueya It is 84,128 units, double that of Cancún (41,387) and almost triple that of Jamaica, which registers 26,334.

“The destination must be strengthened to be competitive, and the rooms must grow to be competitive,” said the technical vice minister of the Ministry of Tourism, Jacqueline Mora. He said that a reservation in a housing unit in Jamaica It can cost US$138 per night, an amount that drops to US$91 in Quisqueya.

“To maintain or grow our share of the global tourism market, it is essential to keep current hotel rooms updated and add more new rooms, otherwise we will not be taking advantage of this natural growth,” commented Llibre, highlighting a study by Asonahores establishes that for every 2 million additional visitors it is necessary to have an investment of US$ 5.6 million in tourism projects.

Current definitive classification projects from 2020 to date, the minors highlighted an investment of US$ 4,567 million that will impact 10 provinces. This capital is intended for the construction of 27,309 new hotel rooms.

When breaking down the data, 20 are retail projects, 18 hotels, three mixed and four unclassified. In addition to a convention center.

Incentives to differentiate yourself from your counterparts

The Law 158-01 allowed the Dominican Republic to promote tourism development in provinces and localities with potential and the creation of the Council for the Promotion of Tourism (was stabbed).

The president of the National Hotel Association of the Dominican Republic (Asonahores), David Llibre, considered that the Government “has made a good bet and a good investment by creating with the Law 158-01 the incentive scheme that has promoted the growth of tourism and its notable contributions to development.”

“Investing and doing business in the Dominican Republic can be expensive and tax incentives serve to mitigate this reality,” he said.

Furthermore, he added that in a “highly competitive” global market, tax incentives They are an important tool to improve the country's competitiveness as a tourist destination.

Llibre explained that 52 hotel projects with the Tourism Development Council (was stabbed) approved will create some 11,552 hotel rooms representing US$ 2.6 billion in investment.

Saint Dominic It has 6,000 rooms distributed in 65 hotels, but the Ministry of Tourism indicated that two hotels are being built that will add 561 new units. Punta Cana It is the destination where more than half of air arrivals are registered, which is why it has 87 hotels offering 43,110 rooms.

Although the municipality that belongs to Altagracia It receives 2,240 visitors per square kilometer, exceeding 150 foreigners nationwide, 24 projects are in plans that will add 22,721 rooms.

The Roman It has 2,196 traditional rooms in 11 hotels, a figure that will increase to 480. Meanwhile, Samaná, in the northeast of the island, 414 rooms will be added to its offer of 2,117 in the 33 hotels.

In The Bride of the Atlantic, Puerto Plata, A hotel is registered under construction with 165 hotel rooms. The destination where tourism in the Dominican Republic began and the first tourist hub, has 7,230 rooms distributed in 46 establishments.

Competitiveness through experiences

The Dominican Republic stands out for its “all inclusive” offer. For Jacqueline Mora, technical vice minister of Ministry of Tourism, This traditional model is a driving force for the Dominican economy, highlighting that 231,270 tourists generate US$31.4 million per day, since each foreigner consumes six more than a local.

He noted that 29% of the foreign exchange generation in Dominican Republic It is attributable to tourism. He exemplified that US$ 3 of every US$ 10 in foreign currency generated comes from the sector.

However, he highlighted that foreigners demand alternative experiences and vacations while spending the night in a hotel. “We are faced with the fact that tourists seek to create memories, 77% care more about adequate travel experiences than the cost of the trip,” he clarified.

He added that 68% leave unplanned time on their trip to experience the culture and activities.

Mora cited American Express Travel's Global Travel Trends report indicating that 84% of travelers plan to “spend more,” but 89% travel at off-peak times or use their credit card points.

The case of Mexico and Jamaica

Deloitte projects that global tourist arrivals will double by the 2040s, reaching 2.4 billion passengers. Although the Dominican Republic breaks “records” month after month, destinations in Latin America and the Caribbean They have participation in global tourism.

Mexico received 6.3% more international tourists between January and September 2023 and the same period in 2024, according to the Ministry of Tourism (Sectur). This means 32.6 million international tourists who generated US$ 22,320 million.

Americans (64.1%) dominate the Mexican tourism market, followed by Canadians (11.2%), Colombians (2.8%), English (2.1%) and Spanish (1.7%).

He Ministry of Commerce, Industry and Tourism Colombian indicated that between January and October 2024, 5,325,486 non-resident visitors arrived, a variation of 9.4% compared to the same period in 2023, when 4,866,802 were counted. USA contributed 979,782 passengers, while Mexico and Ecuador about 304,622 and 289,493, respectively.

In the case of JamaicaThe Minister of Tourism, Edmund Bartlett, pointed out that the Caribbean country welcomed 2.5 million visitors until August 2024.

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