Sri Lankan hoteliers are struggling to sell their rooms as tourists continue to travel anywhere except Sri Lanka which has today become synonymous as a country in a deep economic crisis. The industry is back to seeking out moratoriums and Sri Lanka is destined to miss the 800,000 arrivals expectation for this year. “We expected [...]

Business Times

Numbers fall in tourism; 2022 target unlikely

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Sri Lankan hoteliers are struggling to sell their rooms as tourists continue to travel anywhere except Sri Lanka which has today become synonymous as a country in a deep economic crisis. The industry is back to seeking out moratoriums and Sri Lanka is destined to miss the 800,000 arrivals expectation for this year.

“We expected to achieve much more but unfortunately things didn’t happen the way we expected,” Hoteliers Association President M. Shanthikumar told the Business Times.

He said that occupancies remain low in the city at around 25 per cent while the overall occupancy including the resorts is currently at about 30 per cent.

Inspite of the country’s attempts to achieve normalcy hotels continue to see low occupancies due to the lack of the much needed consumer promotions, he said.

Consumers are not aware of the country’s ground situation and as such the industry is talking to the Sri Lanka Tourism Promotion Bureau (SLTPB) to get the right message across, Mr. Shanthikumar explained.

He pointed out that they expect tourist arrivals to the country to reach 700,000 by end January. Arrivals are currently more than 600,000 having generated a revenue of US$1.1 billion.

Consumer promotions are being planned to be held at the end of winter, Mr. Shanthikumar said in a bid to generate increased arrivals for the next summer and winter seasons.

Authorities have now realised the importance of tourism and are attempting to support the industry, he said adding that if the tourism industry falls it will result in a simultaneous downfall of the economy.

The highest arrivals are currently from India as a result of the India promotion that was recently carried out, it was noted.

However, he pointed out that due to the poor winter traffic the industry has made representations to the Central Bank Governor and the Tourism Minister to consider granting some “breathing space” through a moratorium.

The industry is expecting an extension of the Saubhagya Loan and the Enterprise Loan by a further 24 months, it was noted.

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