Kenya Association of Travel Agents (KATA) chief executive Nicanor Sabula. FILE PHOTO | NMG
Travel agents Monday blamed the violent encounters between
protesters and police for a Sh1.5 billion loss through cancellations in
the past two months and tipped the amount to double.
Kenya
Association of Travel Agents (KATA) chief executive Nicanor Sabula who
urged political dialogue said the future looked bleak as tourists
continue to cancel air and hotel bookings.
“With
average monthly ticket sales of about Sh5 billion, the industry has in
the last two months lost about Sh1.5 billion worth of sales. This could
rise to over Sh3 billion if the current impasse is not quickly
resolved,” he said.
The travel agency earnings have
further been hurt by the government move to ban official travel, which
contributes up to 60 per cent of domestic sales.
“To
redeem Kenya’s global image, violent demonstrations that have been met
by fierce State security force must be stopped to instill confidence in
our visitors and investors. President Uhuru Kenyatta and his rival Raila
Odinga must hold peace talks for the sake of providing a political
solution to the current impasse,” said Mr Sabula.
He
said the cancellations largely came from delegates intending to attend
the UNAIDS Global Prevention Coalition Meeting and the 2018 Africa
Nations Championship, among other high-level corporate meetings that
have since relocated to other countries.
“Overall, air
ticket bookings have dropped by about 10 per cent from Sh1.7 million to
Sh1.5 million for the period ending September compared to same period
last year. October could record a drop of more than 50 per cent,” said
Mr Sabula.
He said advance bookings for air tickets and
hotel accommodation for the December holidays had also been cancelled,
leaving local firms with huge debt as they grapple with requests for
refunds.
Mr Sabula said Nairobi’s stature as a hub for
East and Central Africa was fast-eroding with global agencies and firms,
that largely contribute to cross-border travel business, putting on
hold activities
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