Sept 12, 2011 (LBO) - The Sri Lankan government plans to set up a listed company to manage 'rest houses' - state-owned budget tourist hotels often sited in scenic locations, according to its new tourism strategy.
It said it was considering "greater involvement" by government agencies in investing in and managing the rest houses, which are currently leased to the private sector.
"A government company with some shares issued to the public will be formed to manage these properties," the tourism strategy by Sri Lanka Tourism, the tourism promotion agency, said.
It is also considering better use of 'circuit bungalows' - homes owned by various government ministries and agencies scattered around the island, again many at scenic locations, meant to house visiting officials.
"Once upgraded to the required standards these bungalows can be marketed through a common marketing unit or Sri Lanka Tourism website where a rooms booking engine is already in place."
These moves were part of a planned effort to cater to growing domestic tourism - travel by locals who during the war years had helped keep rooms filled and the industry going.
The 30-year ethnic war ended in May 2009 resulting in a tourism boom.
"While looking to the foreign tourists to generate additional foreign income to the country we cannot neglect the increasing demand from domestic tourists whose per capita income is on the rise," the strategy paper said.
"With the increasing demand for better quality hotel rooms the pricing structures in the hotel trade are bound to increase and this can have a negative impact on domestic tourism.
"Hence the government is currently looking at a few alternatives to facilitate domestic tourism."
source - www.lbo.lk
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