Govt initiative

Turkey to support Pakistan in hotel, tourism industry

The Turkish government will soon initiate a project of skills development in Pakistan aimed at producing skilled workforce for the local industry of hotel and tourism.

The plan to establish a state-of-the-art Centre of Excellence for Hospitality and Construction in Pakistan is underway in that regard.

The center would be established at the National Skills University in Islamabad under the skills development institution of Turkish Cooperation and Coordination Agency.

Under the project, Turkey would support National Vocational and Technical Training Commission (NAVTTC) for the development of skills in Pakistani youth.

It is the first project of its kind in Pakistan launched by Turkey as it has special expertise in the sectors of hospitality and construction in the world.

According to the NAVTTC data, currently, the country has more than 10,000 hotels including three, four and five stars with more than 50,000 rooms, he added.

The hotel and tourism industry of Pakistan produces employment opportunities for around 1.5 million people, which is 2.5 per cent of the total employment annually produced by the country.

CPEC investments lift Pakistan’s hospitality industry

China-Pakistan Economic Corridor (CPEC) project offers unique opportunities to revitalise Pakistan’s hotel and hospitality industry.

Infrastructure investments for the China-Pakistan Economic Corridor (CPEC) have given a helping hand to Pakistan’s hospitality industry as new hotels and guest houses are emerging in different parts of the country.

The role of the services industry is static or rather on the decline in third world countries and Pakistan is no exception. Pakistan is a country that has an unstable economy and just received its 6th bailout package from the International Monetary Fund (IMF). The Foreign Direct Investment (FDI), like CPEC in Pakistan, will surely lift the economy out of the shambles, but the prerequisite is the proper materialization of resources and investment. In Pakistan hotel management, tourism and the hospitality industry are unknown to the general public, whereas there are countries where the scope of hotel management and hospitality contributes immensely to the national GDP. The industries related to travel and hospitalist domain in Canada contribute nearly 11% to the GDP and in Italy, they contribute around 12%. The goal of hospitality and hotel management is to make sure that guests in general, and particularly foreign guests, have a pleasant stay in the host country.

In the modern globalized era, such services have got the spotlight on the country’s growing industries. The member countries of ASEAN (Association of South-East Asian Nations) have also initiated a common agenda to train the people in the tourism and hospitality industry. Unfortunately, the scope of hospitality and hotel management is very depressing in Pakistan. There are few short-term courses and higher educational institutes have yet to commence a comprehensive degree in hospitality and hotel management. Pakistan has a long road to cover until the outcome of such initiatives will become visible.

Moreover, security issues and a lack of hospitability and hotel services have exacerbated the concerns of foreign investors. In such a scenario, government intervention is crucial to provide leverage to the services sector related to hotel management and the tourism industry. But having such a fragile economy, public and private relationships are the need of the hour to avail the opportunities of CPEC. For meantime, the government can lease out land to private investors to develop properties and once the infrastructure is available, there will be an increase in the flow of foreign investment. Security issues have improved unprecedentedly since the National Action Plan (NAP) of 2015. The opening of the new International Airport in Islamabad can host the Boeing Airbus A380. British Airways has also started its direct flight from the airport, which will increase the flow of foreign investment and tourism. These developments will surely intensify the demand for services; which in Pakistan are still under development.

Good News for Hospitality Industry of Pakistan

Hospitality industry of Pakistan is at the stage of boom and increasing at a fast pace due to the increased economic activities in the China Pakistan Economic Corridor (CPEC), Gwadar and the improved law and order situation in the country.

The developments which are linked to the China Pakistan Economic Corridor (CPEC) are expected to meet the business targets in hotels since CPEC projects have convinced a large number of foreigners to resume visiting Pakistan; this will help business grow as well.

CPEC has led to long duration room occupancy by foreigners which usually last up to two to three months.

Government has made estimates that 125000 trucks and long-haul vehicles and 25000 passenger vehicles be on the roads of Gwadar and Kashgar in China every day due to CPEC. So definitely, many of the travelers will be in need of hotels and motels on both sides of the roads network between the two countries.”