Weekly demonstrations by the Azimio La Umoja One Kenya Alliance are likely to hurt the tourism sector. This comes after concerns that some international tourists who were already in the country for holiday had started seeking exits after the Monday demonstrations despite the coast region, the country’s leading holiday destination, remaining relatively calm.
On Monday, Nairobi hotels recorded cancellation of conferences and meetings even as Deputy President Rigathi Gachagua indicated at least Kshs 2.0 billion had been lost in the economy.
Read: Analysis Of The Kenya Tourism Performance Report-2022
The tourism ministry had last month projected a stronger performance this year, after a rebound on international arrivals, which grew by 70.5 percent to 1.5 million visitors, up from 870, 465 the previous year.
The Tourism Research Institute (TRI) report attributes the growth to the reopening of the economy and accommodation facilities, which were temporarily closed as a result of the Covid-19 pandemic.
This year, TRI has projected international arrivals will hit a record 2.3 million with an estimated revenue of Kshs 425.4 billion, up from Kshs 268.1 billion.
Read: Businesses Count Losses as Azimio Protests rock Nairobi and Kisumu
Meanwhile, hoteliers are banking on the domestic market to continue supporting the industry, with optimism of good business over the Easter holidays.
The tough economic times amid high inflation, both locally and other global markets, however remains a concern for industry players, who are worried households could be forced to cut on travelling and holiday spending.
Kenyan households have been battling a high inflation, which increased to 9.2 percent last month, up from 9.0 percent in January mainly on increased food and commodity prices.
Political instability could however dampen the sector going forward. Opposition chief Raila Odinga has announced that the Azimio La Umoja One Kenya Alliance will carry out mass protests twice a week, a move that has sent shivers across the hospitality industry.