The hotel industry in Nigeria is grappling with the impact of soaring inflation, leading to closures and operational challenges, according to industry insiders.
Stakeholders are urging government intervention to tackle the rising costs of running hotels in the country.
Recent data from the National Bureau of Statistics revealed that inflation in the restaurants and hotels sector significantly contributed to Nigeria’s overall inflation rate, which reached 32.70% in September.
President of the Nigeria Hotel Association, Dr. Patrick Anyanwu, expressed concerns over the harsh effects of high fuel prices and unreliable electricity supply on the hospitality sector, describing the situation as “unbearable.”
Anyanwu pointed out that challenges faced by hoteliers have escalated, especially due to increased fuel costs and inconsistent electricity supply, resulting in inflated bills for establishments.
He emphasized the need for immediate government action to alleviate the pressures faced by hotel owners, urging authorities to prioritize the well-being of the masses who rely on these businesses.
Gbenga Sumonu, President of the Nigeria Hotel and Catering Institute, echoed the grim outlook for the industry, citing the destabilizing effects of hyperinflation on investors and operational costs.