Hotels hurled a double whammy

Hoteliers are facing a further blow to their earnings since the latest outbreak of COVID- 19 as the only guests that patronized them, the Sri Lankans, are now steering clear of holiday travel.

With the outbreak of the coronavirus in Minuwangoda, the government had placed a number of clampdowns on social gatherings and restricting numbers that forced the closure of many events.

While some even cancelled their weddings others are however, going ahead, to the blessing of some hotels, since the auspicious times to perform these rituals cannot be forgone.

“All our hotels are suffering and whatever local business we used to get they (locals) have cancelled all stays due to the current scare – so we are once again badly hit,” Hotels Association of Sri Lanka President Sanath Ukwatte told the Business Times on Wednesday.

The only (local) business they had amounted to about 20 per cent of their pre-COVID earnings “and now even that is all gone,” he lamented.

Takeaway food delivery services were carried out by hotels in the city but not all hotels can carry these out and in the resorts it is clearly not possible, he noted.

Meanwhile, the industry is facing more problems as banks are refusing to go ahead with the loans to the leisure sector for the payment of wages, Mr. Ukwatte said adding that: “We request the government to support the wage support scheme.”

This had obtained Cabinet approval on June 10, but since then there has been no arrangements by banks to approve of such loans to the hotels. Jetwing Symphony Hotels Chairman Hiran Cooray said their group of hotels do not have any guests and people have cancelled bookings with only about 3-5 per cent occupancy on the weekends.