Sunbird Tourism Limited has said the recent devaluation of the Malawi Kwacha and government austerity measures have affected business.
This is contained in its half year statement where the hospitality company disclosed the austerity measure, especially the ban on lakeshore meetings and conferences has derailed the recovery of the industry.
Vilipo Munthali, Chairman of Sunbird said: "The lakeshore ban for Government meetings and conferences in the resorts has negatively affected the growth and performance of the industry."
The Chairman said despite the recovery disruption, the positive trajectory due to increase in tourism and travel activities is expected to continue to the year-end, and key is the increasing of routes by Malawian Airlines and anticipated resumption of other airlines, which will help in opening up Malawi further for international arrivals."
Total revenue for the company as at June 2022 amounted to K10 billion which was 58 percent higher than prior year’s first half revenue of K6.4 billion.
The profit after tax at K400.2 million compares favorably to the loss of K475.8 million achieved in the same period last year.
Munthali said looking ahead to the rest of the year, the tourism industry is expected to continue recovering from the impact of the COVID-19 pandemic which adversely affected its performance in the past 2 years.