Hotel business grows by leaps and bounds in Ukraine
December 18, 2013
Ukraine’s hotel business is on the upswing again, for
the first time since the world financial crisis hit in late 2008. However, the
reasons for this latest recovery are slightly different from those that caused
a surge over 2005-2008.
Over that period, this business sector was seen as
quite promising, showing 10-15% growth every year with a very large number of
new projects being launched. However, in the first wave of the global crisis,
opportunities to raise loans for building and upgrading hotels dropped off
sharply and new building projects were shut down.
However, 2013, especially the second half, showed that
this sector has started to recover its attractiveness for private investors
thanks to a number of factors.
Firstly, visible growth in demand for 2-3 stars hotels
built along with modern standards and equipped with up-to-date technology.
Statistics show that, so far, Ukraine still has only 4 hotel rooms for 1,000
population, whereas in the EU this number varies between five and 10 rooms.
Secondly, Ukraine’s main business tourist destinations
such as Kyiv, Lviv and other cities with a population of at least a million, as
well as traditional tourist regions such as the Carpathian Mountains, Crimea and
the Black Sea oblasts have become more and more attractive. Ukraine also has
many unique sites of historical and religious significance.
Thirdly, demand for good hotels is growing steadily
among Ukrainians themselves, who have started to travel abroad more and are
gaining a better insight into the quality of services that the hotel business
should provide.
Source: bizrating.com.ua
Tags: hotel
Ukraine
