The Hotel owners have cited the recent increase in electricity tariffs as a key factor behind the rising costs of lodging in the Federal Capital Territory (FCT). HOFA President Mrs. Funmi Kazeem stated that the higher electricity costs have significantly impacted the operational expenses of hotels, leading to elevated room rates according to an interview with the News Agency of Nigeria.
Kazeem highlighted that the hospitality sector, which includes hotels, resorts, and other tourist facilities, has been severely affected by these increased operating costs. Related Stories Foreign currency loans make up 94% of Nigeria’s capital importation in Q1 2024 Top 10 sectors that attracted most foreign investment in Nigeria in Q1 2024 She noted a reduction in customer patronage and a decline in investment within the sector, which has subsequently decreased its competitiveness and adversely affected the broader economy. Additionally, the tariff hike has impacted the standard of living for many individuals across the country.
“The hike in electricity tariffs has significantly challenged our hotel business and our customers. Addressing these and other challenges is vital for sustaining progress and promoting economic growth.” Despite these difficulties, Kazeem lauded the Bola Tinubu-led administration for its policies aimed at boosting economic growth through privatization and foreign investment.
She acknowledged achievements in the tourism sector, such as increased investment, impro.