A decent winter season is expected for Sri Lanka’s tourism industry as the country makes her slow return to normalcy post-pandemic, with at least 450,000 international arrivals projected to stream in between November 2021 and April 2022.
The Sri Lankan government lifted a six-week-long islandwide lockdown on October 1, gradually easing restrictions on hotels, restaurants and shops.
“Things are falling into place. I expect between 450,000 and 500,000 arrivals during November to April, with positive signs from operators in traditional markets like Western Europe and the UK,” said Nilmin Nanayakkara, managing director of NKAR Travels & Tours and former president of the Sri Lanka Association of Inbound Tour Operators.
Nanayakkara added that large numbers of travellers from Russia and Ukraine are expected. Both markets have been main contributors of arrivals to Sri Lanka since the airport reopened in mid-January 2021.
Returning traffic from Western Europe and the UK would signal other source markets to follow, he opined.
Sri Lanka is allowing fully vaccinated travellers to enter without PCR tests and quarantine, provided they carry a valid negative Covid-19 test result on arrival.
Echoing Nanayakkara’s optimism, Dimuthu Tennakoon, president, Board of Airline Representatives (BAR), said airline bookings for the winter season have picked up, particularly from Eastern and Central Europe.
In recent times, Russia and Ukraine have topped the list of arrivals to Sri Lanka, with a little more than 13,500 last month.
While performance is still a far cry from pre-pandemic times – a typical September would see more than 100,000 arrivals, Nanayakkara said the return of international flights was a confidence booster.
Come next month, Air France will resume flights to Sri Lanka while Swiss carrier Edelweiss will increase operations from Western Europe. National carrier SriLankan Airlines has also resumed flights to Germany and has increased frequencies to Russia.
Equally encouraging is Sri Lanka’s progress with her national vaccination campaign. The country has vaccinated over 60 per cent of her population against Covid-19, and the vaccination rollout for the rest of the population is progressing at a rapid pace.
The country has also seen a decline in daily average cases. As of October 16, there were 649 daily average cases, compared to more than 2,000 in mid-May 2021.
Indonesia’s Artotel Group has completed a Series B funding for an undisclosed sum, led by Indies Capital Partners, a leading South-east Asian alternative asset manager, with participation from creative industry-focused Benson Capital.
Artotel Group will utilise the proceeds to drive expansion through an aggressive merger and acquisition strategy in Indonesia’s hospitality sector, and invest in strengthening the group’s core business infrastructure, digitising operations, and enhancing sustainability throughout the organisation.
Erastus Radjimin, founder and CEO, Artotel Group, told TTG Asia: “With the rapid development of second- and third-tier cities like Sentul, Malang, Cepu and Banyuwangi, and the improved infrastructure across Indonesia, we see the opportunity to reach out to the (various) domestic market with many options that the Artotel brand alone cannot.”
The group is in the process of rolling out 29 new properties across the country, plumping up its portfolio to over 50 by 2023.
In tandem with the investment, Artotel Group has acquired the Indonesia franchise of Kyriad, a hospitality brand created by France-based Louvre Hotels Group. The deal includes 11 managed properties in the country, adding 1,300 rooms to Artotel’s portfolio. The group will continue to manage the properties under the established Kyriad brand and develop new two- and three-star hotels under the brand in second-tier cities throughout Indonesia.
Erastus said: “Kyriad is the first non-standardised hotel chain at the three-star level. We see the opportunity to develop (the brand) in cities like Purwoketo and Jember where an Artotel brand is (not feasible) due to the project cost or the (local) price level.”
The Kyriad acquisition brings Artotel Group’s total room count to around 3,000.
Erasutus revealed that another acquisition would be announced next month.
Pandu Sjahrir, managing partner at Indies Capital Partners, said: “Artotel Group has demonstrated resilience in this pandemic through effective management and streamlining business operations. Looking ahead, we will support Artotel’s long-term ambitions by strengthening the group’s corporate and technology infrastructure, as well as implementing strategic business plans geared to drive sustainable growth,”
Avina Sugiarto, senior vice president at Indies Capital Partners, expects Indonesia’s tourism industry to continue to grow post-pandemic on the basis of a burgeoning domestic middle-class and strong International appeal.
Meanwhile, Ben Soebiakto, co-founder at Benson Capital, revealed that the company would leverage its expertise in the creative industry to support Artotel’s unique art-inspired offerings.
Prior to this, Artotel Group’s Series A investment had come from Intudo Ventures.