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SLTDA removes minimum room rate

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Minister of Tourism John Amaratunge, Chairman, SLTDA, Kavan Ratnayaka, business personality Kishu Gomaz, Project Coordinator, Trevine Gomez, Director General SLTDA, Upali Ratnayake and other officials launching the Tourism awards website. Picture by Sudat

Sri Lanka Tourism has decided to remove the minimum room rate (MRR) imposed on Colombo City Hotels, Chairman of Sri Lanka Tourism Development Authority (SLTDA) Kavan Ratnayaka said.

He said that they have allowed the market forces to decide the room rates rather than the SLTDA dictating terms to them. Ratnayaka addressing a gathering in Colombo yesterday said that it was a temporary move and would be re imposed as and when required.

Speaking at the re launch of Sri Lanka Tourism awards after a lapse of six years he also said that they were in the process of introducing several new entertainment options to the Colombo city to woo more travelers to Colombo. He said that in a bid to encourage this they will also bring in a new tax incentive scheme.

Chairman City Hotels Association Shanthi Kumar said that they have had meetings in this regard with SLTDA and are working towards this.

He also added that they are keen to do away with the informal tourism sector, which he considers as illegal sector to provide better security for tourists.

“We are looking at revenue in the excess of US$ 5.9 billion for 2018 end and 6.5 billion for 2019 end and a target of US$ 7 billion for 2020.

He said that there are issues of delays at the Colombo international airport and also lack of capacity for new airlines to fly to Colombo. “We hope to address these issues soon and also request airlines to patronize the Mattala international airport as well.”

He also said that the tourism promotional budget running in to several million US dollars would be forwarded for Cabinet approval this month and it should be active from September. “We will only use funds generated from the Industry (CESS) for this.”

Leading business personality Kishu Gomes has been appointed as the head of the Judging committee along with Otara Gunawardane., head of EDB, Indira Malwatte, Chandra Mohotti and Rajeeva Meewenwell. There would be 50 awards presented on December 8 at the tourism awards ceremony.

Source : http://www.dailynews.lk/2018/08/14/business/159621/sltda-removes-minimum-room-rate

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