Move over, Bali and Phuket. Tourists are rushing to this cheaper Southeast Asian gem

Published on: Oct 12, 2025 01:13 pm IST

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This tourist hotspot has been crowned the world’s best value long-haul destination for winter travellers, according to the Post Office

Vietnam’s Hoi An has been crowned the world’s best value long-haul destination for winter travellers, according to the Post Office, the UK’s leading currency exchange agency.

Hoi An, Vietnam named the world's best value destination for travellers(Pixabay)

The annual Post Office Travel Money Long Haul Holiday Report, as published by The Sun, compared prices across 30 popular destinations, based on the cost of everyday holiday items such as water, suncream, and cocktails.

Hoi An emerged at the top with a “basket” of essentials costing just £58.81 (around ₹7,000) – less than 60 pounds for meals, drinks, and tourist staples. A three-course dinner for two with wine costs around £40, while a local lager is just £1.23.

The report said the riverside town, with its cobbled streets, lantern-lit river and idyllic beaches, offers both beauty and bargains.

Hoi An in Vietnam was named the world's most affordable holiday destination.

Asia dominates the top 10

Asia accounted for seven of the top ten cheapest destinations. Cape Town in South Africa, which previously held the top spot, dropped to second place at £64.28 for basic holiday costs.

Bali in Indonesia came in third (£67.79), offering the cheapest evening meal at just £35.48 for a three-course dinner for two with wine. Kenya’s Mombasa (£68.33) and Japan’s Tokyo (£68.61) rounded out the top five.

Other affordable destinations include Colombo in Sri Lanka, Penang in Malaysia, Delhi in India, Phuket in Thailand, and Santiago in Chile.

Price drops across Asia

Many Southeast Asian destinations have seen significant price drops. Penang’s prices fell by 18.6 per cent, while Phuket recorded a 14.1 per cent decline.

Laura Plunkett, head of travel money at the Post Office, said the outlook for winter sun-seekers is positive.

“The prospects for winter sun-seekers look bright – particularly in Far Eastern destinations, where the combination of falling local prices and favourable exchange rates means our money will stretch further,” she said.

“Although sterling has fallen from its high point earlier this year, it’s still stronger against most currencies than a year ago. Local prices are stable in most surveyed destinations, with falls in over 40 per cent of them.”