Q: Could you briefly outline the main challenges facing corporates at this time?
A: Overcoming the psychological impact of the pandemic is a significant hurdle.

The return to normalcy will be gradual because the fear of travelling is likely to prevail. We saw a substantial number of locals travelling, which was a good sign for the industry’s immediate future.

However, it will take time for international travel to return to normal numbers due to numerous restrictions on travel, and subsequent waves and variants of the virus appearing in multiple regions of the world.

Meanwhile, retaining staff and paying salaries are some of the main challenges for corporates. There were months of the business hardly generating any revenue and paying salaries during these periods was a massive drain on the cash flow.

We anticipate that it might take over five years to recover from the financial losses due to COVID-19. But we strongly believe that resilience is the way forward and we continue to be optimistic about the long-term potential of tourism.

Q: What is your take of the ongoing vaccination programme and how critical is it to your company’s prospects this year?
A: The last two years have been merciless on the hospitality sector, beginning with the Easter Sunday attacks in April 2019 to the lockdowns over the past year. People are fearful of travel and large gatherings, but this attitude changed during the Sinhala and Tamil New Year holidays.

Most of our properties recorded considerably higher occupancy rates in April compared to the previous months. The vaccination programme contributed to this as it gave Sri Lankans more confidence to travel around the island.

We also become more hopeful about the possibility of tourism improving by July or August but with the third wave upon us, we’re back to square one.

Q: What are your expectations of the business environment in the next 12 months or so?
A: We hope to see an increase in tourist arrivals, which will help reset how our financial situation has been over the past year.

Meanwhile, Sri Lanka has a lot to gain once the tourism industry steadies its foothold. This will bring in foreign exchange – which the nation is in dire need of – and also help stabilise the US Dollar exchange rate.

The government is also strengthening its initiatives to accelerate the industry’s recovery.