Hotels Association of Sri Lanka hails growth in tourist arrivals

Tuesday, 9 January 2024 01:22 - - {{hitsCtrl.values.hits}}

Tourism Minister Harin Fernando

THASL President M. Shanthikumar

SLTDA Chairman Priantha Fernando

SLTPB Chairman Chalaka Gajabahu

Extends appreciation to Minister Harin Fernando, SLTDA and SLTPB heads for their support
Points to record arrivals of over 200,000 in December and earnings to jump by 111% to $ 269.3 m as clear indication Minimum Room Rate in the City of Colombo has had no negative impact despite doomsayers
Insists MRR indeed helped to up the game and hotels to perform better
Expresses confidence over target of 2.3 m tourists and $ 4 b revenue in 2024
Hoteliers to carry out aggressive digital promotional in key source markets to realise higher performance

The Hotels Association of Sri Lanka (THASL) President M. Shanthikumar yesterday hailed the strong rebound in tourism in 2023.

Shanthikumar thanked Tourism Minister Harin Fernando and the Sri Lanka Tourism Board for their tireless efforts to achieve the figures recorded for the year 2023 in terms of arrivals and revenues.

In 2023 earnings from tourism amounted to $ 2 billion with 1.48 million arrivals, both highest since 2019. Arrivals from India at 302,844 were the highest in 2023 followed by 197,498 from the Russian Federation, 130,000 from the United Kingdom, 102,540 from Germany and 68,800 from China.

THASL President said the growth in the month of December is exactly what the hoteliers had wanted. “It gives a good market mix of the short stayers from India and the longer stays from the tourists who travel from the western part of the world. The December pick up is also a clear indicator that Sri Lanka is being perceived as a destination for the upper upscale clientele. The prices during this period are much higher and so are the airfares etc.,” Shanthikumar added.

In December 2023, earnings reached $ 269.3 million, witnessing a substantial 111.4% year-on-year (YoY) increase. Tourist arrivals in December grew by 129% to 210,657.

Shanthikumar reiterated that the performance for the year and in December 2023 is a clear indication that the Minimum Room Rate (MRR) in the City of Colombo has had no negative impact as stated by some. “In fact it has helped up the game and hotels have performed better,” THASL Chief emphasised.

“We are truly delighted and are very confident that the country will achieve the 2.3 million targeted arrivals and $ 4 billion revenue target by end 2024. The faster the roll out of the proposed promotional plan mentioned by the Minister will support achieve the target,” he said.

According to Shanthikumar, hoteliers are supporting the initiatives made by the Government and a request from Minister Fernando for the private sector hoteliers to carry out an aggressive digital promotional push in key source markets.

“Some of the local and international brands have strong distribution networks and PR offices across the world. These communicate directly to the target audience on the attractiveness of the destination for holiday travellers and turn out to be very useful to reach the end consumer,” said Shanthikumar.

Performance in 2023 however still remains before all time of 2.3 million arrivals and $ 4.4 billion earnings achieved in 2018.

Going forward THASL will continue to extend the fullest support to Minister Fernando and Sri Lanka Tourism Development Authority Chairman Priantha Fernando and Sri Lanka Promotion Bureau Chairman Chalaka Gajabahu, who extended their fullest support to hoteliers during 2023.