The Rise of Phu Quoc: How Vietnam’s Pearl Island Is Outpacing Bali and Phuket

In early 2026, Vietnam’s Phu Quoc island achieved a remarkable milestone: it welcomed nearly one million visitors in January alone, including 278,347 international arrivals, a 122.9% year-on-year surge, based on recent data from STR/CoStar. Generating VND 6.128 trillion ($240 million USD) in monthly revenue, the island set an aggressive trajectory that carried through the first half of the year.

By mid-2026, Phu Quoc recorded over 5.7 million total visitors (up 30.2% year-on-year) and more than 1.3 million foreign arrivals (up 50.3%). These arrivals generated an estimated VND 31.507 trillion (nearly $1.2 billion USD) in tourism earnings, accounting for more than 80% of the entire province's tourism revenue.

Data from STR (CoStar Group) highlights that room occupancy on the island reached over 90% in early 2026, up from just 50% during the same period in 2024. This surge placed Phu Quoc well ahead of established regional resort giants like Bali (60%) and Phuket (80%). While mature destinations grapple with environmental degradation, heavy supply pressure, and overtourism, Phu Quoc has hit a sweet spot: controlled luxury supply paired with a rapidly expanding ecosystem of entertainment, culture, and high-yield hospitality assets.

The financial transformation of Phu Quoc is reflected in its Revenue Per Available Room (RevPAR). Once competing heavily on price with a RevPAR below $50 in 2024, the island saw RevPAR surge into the $160–$170 range in 2026. High-end international hotels regularly post occupancy rates near 80%, while boutique beach villas maintain consistent averages between 71% and 77%.

Domestically, Phu Quoc’s momentum outpaces competing Vietnamese resort corridors. While Da Nang holds steady with occupancy around 70% and the Nha Trang–Cam Ranh area rebounds past 60%, Phu Quoc leads national growth metrics. This expansion is supported by growing digital interest, evidenced by a 49% increase in international accommodation searches on platforms like Agoda, along with global rankings such as Travel + Leisure naming it the second-best island in Asia-Pacific.

Phu Quoc’s evolution from a quiet fishing enclave into a world-class tourism powerhouse is driven by four structural growth engines:

1. Frictionless Visa Policy
Designated as a Special Economic Zone, Phu Quoc offers a universal 30-day visa exemption for all foreign nationalities. While mainland Vietnam requires e-visas or prior paperwork, global travelers can board direct flights to Phu Quoc with zero visa friction. This advantage has spurred inbound traffic from key growth markets like South Korea, Taiwan, India, and Eastern Europe.

2. Aviation Connectivity
Expansions at Phu Quoc International Airport have enabled a significant increase in wide-body long-haul flights. Direct air corridors operated by international carriers connect the island to major global hubs, supplemented by domestic flight capacity increases of nearly 40% during peak holiday months.

3. Integrated "Fly-Stay-Play" Conglomerate Ecosystems
The island’s tourism offerings are anchored by two coordinated mega-entertainment zones:

• The Southern Hub (Sunset Town & An Thoi): Developed heavily by Sun Group, this area features Mediterranean-inspired coastal architecture, the world’s longest over-sea cable car (Hon Thom), the iconic Kiss Bridge, and nightly multimedia light, laser, and fireworks spectacles.
• The Northern Hub (Grand World & Ganh Dau): Anchored by Vingroup, the North functions as a 24/7 sleepless city with a Venetian-style canal system, VinWonders theme parks, and the Vinpearl Safari conservation park.

Unlike over-commercialized alternatives in Bali or Phuket, Phu Quoc offers 150 kilometers of white-sand coastline and dense tropical terrain within Phu Quoc National Park. Master-planned luxury resorts coexist alongside protected marine zones, appealing to high-yield travelers who value both natural exploration and high-end comfort.

Decentralized Growth: Geography of the Island
Phu Quoc’s geography splits into three distinct operational zones, each catering to different visitor demographics and asset classes:

The South (Sunset Town, An Thoi, & Khem Beach)
The South is currently the fastest-growing zone on the island, receiving substantial capital injections as preparations ramp up for the APEC 2027 Economic Leaders' Week. Centered around Sunset Town and the Bai Dat Do hotel precinct, which hosts 13 international mega-brands, this area emphasizes luxury, culture, and high-yield nightlife. Shophouses and beachfront rental apartments here consistently maintain strong occupancy rates year-round.

The North (Ganh Dau & Bai Dai)
Functioning as a self-contained, family-oriented tourism market, the North relies on large-scale entertainment attractions. With Grand World Phu Quoc, Vinpearl Safari, and Vietnam's primary licensed casino, this region attracts high visitor volumes, packaged tour groups, and multi-generational families.

The Center (Duong Dong & Long Beach)
Serving as the administrative and logistical heart of the island, Duong Dong hosts the Phu Quoc Night Market, street food corridors, and independent midscale hotels. Running south along Long Beach, a strip of luxury properties, including the Regent and InterContinental, offers a balance between central accessibility and beachfront resort leisure.

Looking ahead, local tourism authorities aim to exceed 9 million visitors by the end of 2026, targeting at least 2 million international tourists. As preparations for the APEC 2027 Summit accelerate, provincial authorities are upgrading infrastructure, deploying AI-enabled digital tourism tools, and establishing specialized response teams to maintain service standards.

By pairing frictionless entry policies with world-class entertainment, luxury hospitality, and proactive destination management, Phu Quoc has established a resilient growth model. As global travel preferences shift toward emerging, experience-rich destinations, Vietnam’s Pearl Island is firmly positioned to outperform mature regional hubs like Bali and Phuket in the Asia-Pacific market.