Tourism in Kenya and Africa must have a paradigm shift not only in products, but mentality and markets as well.

By Hon. Najib Balala

The year begun on a positive note for Kenya’s tourism with the country receiving 1,444,670 arrivals between July 2019 and February 2020; compared to 1,423,548 over the same period last year.

What followed is the greatest health emergency of our times: The Coronavirus Disease (COVID-19) – an emergency that has almost brought the entire world to a standstill, with sectors that contribute to the thriving of economies being affected, tourism being one of the industries hit hard globally.

The disease which first broke out in Wuhan, China in November of 2019, has now found itself across the globe with over 1.3 million infections as of the last count. This has resulted in total lockdown in some countries and with this, the closure of businesses and travel.

Governments around the world have also put in place stringent travel and social restrictions to curb the spread of the disease. The Government of Kenya has in turn taken bold, but necessary steps to fight this scourge which include stopping of conferences and events, as well as halting international flights from coming to the country as among a raft of precautions against the spread of the disease.

Consequently, the tourism industry in Kenya is predicting losses in the Billions owing to the disruption that has been occasioned by COVID-19 globally. Currently, several hotels and hospitality establishments have temporarily closed as human traffic to the outlets has significantly reduced as a result

of the limited movement and restrictions imposed to curb the spread of the disease.

This said, it is not all gloom and doom for the travel industry. We first need to accept that recovery from this pandemic will take time and we must be patient as we recover from it.

Secondly, we need a paradigm shift on the mentality that we have if we want a quick recovery and better tourism. It is no longer about waiting for international visitors to come in for tourism to thrive. As a country, we must start appreciating the domestic market and offer them products that are right for them. Therefore, we need not be dependent on foreign tourism and start investing heavily on the domestic and regional market. Many of the international markets established initially with first their own domestic and regional markets, before looking further. For instance, most of the 82 million tourists that flock into Spain are domestic or from the neighboring countries in Europe.

Also, we need to start thinking about promoting intra-Africa tourism. Africa has a population of about 1.2 billion people, but only receive 62 million tourists, which is disappointing. As the African adage says, ‘if you want to go fast, go alone; but if you want to go far, go together.’ Now is the time for Africa. African states must unite and form a federation to promote tourism within the continent. If we can just have 300-400 million people travelling within the continent, we can surely boost each other’s jobs and generate revenue without being dependent on international tourists. As a continent, let us have a strategy on connectivity within the continent, open sky policy will increase travelers, trade and investment, we should also think about infrastructure development within Africa from road network, maritime as well as railway network. Once we have done so, the region is going to open up and the improved infrastructure is going to upscale the economy.

Free movement of people is another key aspect we need to look into. We need to ensure that people can travel from one country to another without any hindrance of Visas and travel bureaucracy. In Europe, most of the

people can move around in about 27 countries with neither visas nor border posts. This is the way to go for Africa. This will take time to implement, but if we start now, in 5 years we will be resilient from any shocks whatsoever, even travel advisories imposed by the western countries.

Tourism is a leading foreign exchange earner, contributing to about 10% of Kenya’s GDP. But the impact of tourism goes beyond 20% as it cuts across other sectors, ranging from manufacturing, agriculture, financial services, education and many others. The more we focus on promoting travelling within the continent, the more we shall create jobs and develop our economies.

So, in Kenya, for the next 2 years, it is imperative for us to look into the opportunities in our domestic and regional markets. This can only be achieved when we rethink our marketing strategy, redesign our products and make the destinations affordable and interactive.

COVID-19, can be an opportunity to act now and expand further to create more jobs and be self-reliant. This time we should also take care of the communities around us and be sensitive to the environment.

Hon. Najib Balala is Kenya’s Cabinet Secretary for Tourism and Wildlife

The Kenya Wildlife Service (KWS) Tuesday withdrew a notice increasing park fees by up to 300 percent for Kenyans across the country from July following public uproar.

KWS said in a statement that the higher fees had been suspended. Tourism and Wildlife Cabinet Secretary Najib Balala earlier termed the Business Daily report of the park fees hike misleading.

The March 30 notice announcing the date when the new higher rates would take effect was linked to an October 18 notification from Mr Balala.

The higher fees drew protest from Kenyans on social media who argued that the timing was wrong, citing the effect of coronavirus-related travel restrictions on Kenya’s tourism sector.

“This is to inform the public that KWS in consultation with Ministry of Tourism has suspended the implementation of the new rates until further notice due to the prevailing circumstances occasioned by the coronavirus,” said KWS in a statement.

Kenya has confirmed 172 cases of the coronavirus pandemic that has hit the tourism sector with the borders closed and social distancing rules prompting hotel shutdowns.

The new rates were to see locals pay Sh1,500 to visit Lake Nakuru and Amboseli national parks during the peak period and Sh800 during the off-peak period, up from the current Sh500. This reflected a 300 percent rise.

The Peak is between July and March and low season between April and June. Entry fees for locals in the Nairobi National Park were to go up to Sh1,500 and Sh800 during peak and off peak seasons respectively, up from Sh300.

Meru Park, Aberdare, Mt Kenya, Tsavo charges were to jump from Sh350 to Sh1,000 during the peak season and Sh400 the rest of the time.

Foreigners were to pay $70 in Nairobi National Park up from $40 in peak season, with off-peak rates remaining unchanged at $40.

At Amboseli and Lake Nakuru peak entry fees for foreingers were to be cut to $70 from the current $80 while off-peak charges were to drop from $60 to $40.

Source: https://www.businessdailyafrica.com/corporate/companies/KWS-reverses-park-entry-fees-increase/4003102-5517252-vtf3anz/index.html

SafariBookings.com, an online marketplace for African safari tours, has conducted a second survey which involved 443 safari tour operators to ascertain the impact that the coronavirus is having on the safari industry. It revealed that almost all tour operators are experiencing a decline of 75% or more in bookings. This is a significant increase compared to our first survey that was conducted in the beginning of March. As one operator told us, “things are very bad at the moment as the whole world is on lock-down and people are scared to book anything until the fear subsides and this virus is brought under control.”

More than 90% of operators said they had lost at least 75% of bookings they normally rely upon at this time of year. It’s a devastating blow for local staff, “COVID-19 has really destroyed our business – it came so suddenly, without any warning. We have staff who entirely depend on this industry for their survival.”

More than two thirds of operators surveyed said that cancellations on existing bookings were up at least 75% while less than 1% said it was business as usual. One Kenyan operator noted, “we are receiving about 90% cancellations due to COVID-19, and no new booking requests at the moment. We have hit rock bottom.”  

For the full survey report, including 187 quotes from individual operators, please visit: www.safaribookings.com/blog/coronavirus–outbreak

For more information: https://www.safaribookings.com/

Long-distance passenger transporters are counting losses with the prospect of job cuts after being forced to suspend operations due to the State directive that restricts movement in and out of Nairobi, Mombasa, Kilifi and Kwale counties for 21 days to curb the spread of coronavirus.

Managers of domestic airlines, bus firms and railways services told the Business Daily that hundreds of their staff face pay cuts or losing jobs now that their fleets have been grounded.

“Our buses are grounded following the State directive to restrict movement across the four counties,” said Easy Coach managing director Azym Dossa.

He said the firm, which mainly plies between Nairobi and western Kenya, has started issuing out ticket refunds but passengers are also allowed to change bookings to travel at a later date.

Easy Coach workers will be sent on leave but should the situation improve, they will be recalled to work, he added.

Guardian Coach, which plies routes such as Nakuru, Kericho, Kisumu-Mbale, Kakamega and Busia, also confirmed that their services remain suspended.

A representative of the company said the firm would allow passengers to rebook their tickets to travel in the next three months, following which it will be deemed to have expired.

“We are not giving back cash. A passenger who had booked a ticket will be allowed to reschedule travel within three months duration,” he said on condition of anonymity.

Kenya Railways said they have also suspended Madaraka Express trains service to Mombasa and Naivasha.

The standard gauge railway freight services will continue uninterrupted, on a 24-hour schedule.

The Nairobi Commuter Rail service to Ruiru, Embakasi, Syokimau, and Kikuyu stations will also continue to operate normally, given that these destinations fall under the Nairobi metropolitan area.

“The two Madaraka Express trains that operated daily at 10:30am between Nairobi and Mombasa have been withdrawn forthwith,” said Kenya Railways managing director Phillip Mainga in a statement yesterday.

The restriction has also seen domestic air carriers including Kenya Airways and its subsidiary Jambojet, Fly 540, SafariLink, AirKenya, East African Safari Air Express (formerly Fly-SAX), Jetways among others suspend operations.

Jambojet ruled out the possibility of making refunds, encouraging affected passengers to consider rescheduling their flights to a later date at no extra charges.

The airline said the tickets cancelled would remain valid for 12 months starting April 7.

“Jambojet will temporarily suspend its operations for the period between April 7 and April 30,” said the airline in a statement yesterday.

“We, therefore, regret to inform all our customers and business partners that all the flights for the said period are cancelled with immediate effect.”

Safarilink chief executive Alex Avedi told the Business Daily that the airline’s operations in the domestic route remain grounded until June 1 in compliance with the state directive on restricted movement.

He, however, indicated that the carrier would continue offering charter flights.

Source: https://www.businessdailyafrica.com/economy/Transport-jobs-at-risk-on-Covid-19-travel/3946234-5517290-rmykyu/index.html

 

 

Like other businesses, local airlines are feeling the pinch of the coronavirus pandemic that, among other things, has forced the operators to cut fares on the domestic routes due to limited demand.

Some have had to suspend operations due to the virus-related restrictions, including social distancing while some businesses have scaled-down activity, hurting travel margins.

But even as the airlines struggle with the health-related turbulence, they are still saddled with mandatory costs including loans and regulatory fees like spare parts inspection, which end up causing more pain. Although the State has announced some relief plans, there is a need to offer the sector more headroom like subsidized loans while suspending some of the regulatory payments.

Aviation, being one of the most complex businesses, requires special protection during these turbulent times to reduce the mounting losses and also give them enough runway to resume normal business after the virus attack.

Source: https://www.businessdailyafrica.com/analysis/editorials/Ease-aviation-sector-pain/4259378-5516032-rjubjq/index.html

 

Airfares on domestic routes have hit rock bottom in the wake of reduced travel following the coronavirus outbreak that has seen some local carriers like Safarilink and AirKenya stop operations.

One-way fares to Kisumu and Mombasa from Nairobi have more than halved to a low of Sh3,540 on peak days — the lowest ticket prices have sunk.

Carriers such as Kenya Airways  and its budget subsidiary, Jambojet, have grounded planes and cut frequencies to save costs amid reduced passenger numbers because of travel restrictions imposed by the government Jambojet charged Sh3,800 to Kisumu from Nairobi on the peak day of Friday while Fly 540 was charging Sh3,540 including on the Mombasa route.

Fares on the routes rarely fall below Sh7,500 on peak days. The recent declines have seen Safarilink and AirKenya suspend operations until June 1.

“We have cancelled most of the flights mainly because most lodges and parks which form part of our key destinations in the country have also closed down,” Alex Avedi, CEO of Safarilink told the Business Daily in an interview.

“If we see demand, we will resume operations because we have the pilots and aircraft”.

Kenya has so far confirmed 142 cases of Covid-19 disease and its crucial tourism and farm export businesses have already been hit by the impact of the outbreak.

Social distancing, night curfew and restriction of businesses like schools, bars and restaurants as well as mass gathering have been impacting on consumer spending and travel.

This has derailed Jambojet’s plan to more than double its annual passengers to 1.5 million in the next three years by opening new routes in East Africa and flying planes more often.

The no-frills carrier, founded by Kenya Airways six years ago, is cutting back amid the slump on travel.

“Following a decline in passenger numbers due to the ongoing Covid-19 pandemic, Jambojet wishes to inform its customers and the general public that we have reduced our flight frequencies to all local destinations,” said the airline.

Like budget carriers in Europe and South Africa, Jambojet passengers only pay for seats.

The airline charges extra for services such as baggage and meals, allowing ticket prices to compete with buses and trains. Its premium parent company, Kenya Airways, is also suffering from the drop in domestic travel and has cut prices.

Kenya Airways, whose charges on Mombasa and Kisumu routes rises to Sh12,000 on Fridays and weekends, has cut fares to a low of Sh6,140 on the two routes from Nairobi.

The peak Easter season that starts this week is not offering a letup to the carriers, suggesting many travellers have postponed travel plans following the coronavirus outbreak.

Jambojet fares to Kisumu, Mombasa and Malindi on Good Friday will rise to Sh4,300 for those who booked on Sunday.

This is less than half the Sh12,500 that passengers paid on the routes during the Easter holiday last year amid full bookings.

The high demand for passengers seeking to travel for Easter holidays last year saw Kenya Airways deploy the premium high capacity Dreamliner plane on the Mombasa route and additional flights to Kisumu from Nairobi to match the demand.

Mr Avedi noted that following the outbreak of Covid-19, cancellation of flights especially by foreign tourists who use the airlines to connect to destinations such as Maasai Mara has been on the rise.

The domestic carriers lobby has urged the government to offer immediate financial support to the carriers to avoid collapse.

Source: https://www.businessdailyafrica.com/news/Domestic-airfares-halve-as-carriers-halt-operations/539546-5515562-nwvn2pz/index.html

 

The Kenya Utalii College has postponed its 24^th edition of the National Tourism Competition due to the COVID-19.

The cancellation follows a government directive issued in March 2020 that set out guidelines and conditions for the control and containment of the virus.

“The hospitality and tourism industry is among the worst hit by the crisis. Consequently, we wish to notify you that the planned National Tourism Competitions, 2020 are hereby postponed until further notice,” said the Tourism Industry Kenya Utalii College Liaison Committee Chairman Mr. Tonny Muiruri.

The annual competitions seeks winners in various fields in the travel, tourism and hospitality sector that are trained in the institution.

The objectives of the competition are to enhance the quality of service in the hotel and tourism industry, to tap ingenuity, creativity and innovation, to create motivation for industry employees and to assist in benchmarking.

The first competition was held in 1988 which only involved cooks and waiters, years later, the competition has 14 categories.

Globally, the travel and tourism industry provides a source of livelihood to millions, both directly and indirectly, supporting and enabling for the achievement of various Sustainable Development Goals (SDGs). The industry is one of the largest economic sectors, with an estimated revenue generation of $8.8 trillion annually, according to the World Economic Forum (WEF). It is, therefore, quite vital for various economies to ensure there are sustainable crisis mitigation strategies in the wake of pandemics as it is currently the case. These strategies should seek to preserve the current benefit of the industry, such as the 320 million jobs generated globally.

The coronavirus poses the biggest challenge to the travel and tourism industry since World War II, and this could see the industry take its biggest financial hit since the 1939-1945 war period. The medical crisis poses a challenge to both developed and developing economies. Currently, the impact of the coronavirus is being felt, with most airlines grounding their fleets to help curb the spread of the virus. This has been initiated by some destinations locking down their borders as a precautionary action, a case in point being Italy, which has been hit devastatingly with the crisis. According to the head of the World Travel and Tourism Council (WTTC), the virus could cost 50 million jobs worldwide, and Kenya is not immune to these ugly statistics.

Locally, the tourism industry has gone through several crisis phases, with the most recent being the post-election violence of 2007/2008. It is from this crisis that the industry was recovering and making a possible comeback to its glory days, with last year’s data indicating slight improvements in terms of revenue generated and guest arrivals. Data from the International Air Transport Association (IATA) reflect a 4.3% increase in revenue passenger kilometers (RPK) for airlines operating in Africa in last year’s trading period. The Kenya Tourism Board (KTB) forecasted this data to play a critical role in tourism growth in the year 2020 that would enable the industry to bounce back to its heydays. The predictions were based on current political stability and heightened security in the country.

It is at this point that we, as travelers need to evaluate the impacts of the current actions on the industry both locally and globally in the short and long term. Despite all the current pandemic, there is a silver lining, experts at Tourism Economics expect a full recovery by 2023 based on past slumps after the situation has stabilized. The question at the moment is, how can we contribute to helping the industry at this trying moment? Based on previous global crises, after the recovery process, there is usually some significant increase in travel and tourism activities. In as much as the coronavirus is continuing to spread around the world at an alarming rate, the following actions may help the tourism industry to avoid major slump than it is already facing.

Don’t panic.

According to airline industry expert Robert Mann, ‘the reaction of businesses to the threat does not necessarily match reality, but the impact is still real.’ That the impact of governments’ directories not to travel is relatively adverse to various stakeholders in the industry. Mann adds that the medical crisis is more of a behavioral economic problem where people throw probabilities out the window, react irrationally. Socially oriented businesses are left to pay the price. With the increase in victim numbers worrying is warranted, it is safe to remember that your panic actions will have an impact on the destination both in the short and long run.

Stay informed.

Staying informed to critical and credible news relating to both the crisis and its impacts on the industry is crucial, the information you receive and circulate are both held in high esteem, in an era where almost everyone is a marketer. Checking in with a trusted source like the World Health Organization (WHO) or the Centre for Disease and Control regularly enables one to be informed with the latest updates. It is also essential to understand the available options concerning your earlier planned vacation and travel. Call your travel consultant to make changes to earlier bookings. Remembering that once the crisis is over, travelling will go through the roof as people will be lusting to travel and see the world.

Consider traveling at a later date.

Other than cancelling your travel plans, your organized event, or seminar, how about you reschedule to a later date when things go back to how they were. It is vital to be considerate of the sector that ranges from transportation, food, and beverage, entertainment, among other connected industries, and the impact of a cancellation on all these players. As the travel industry is trudging on these uncharted territories, most of the industry stakeholders will surely reward those who will have stood by them during their lowest moments. Businesses in the tourism industry are witnessing evaporation in consumer demand, so cancelling at this moment proves to be detrimental to the businesses involved.

Take virtual travels.

Take virtual tours through live streaming, reading books, and articles on travel destinations that you’d love to travel to soon or the ones that you had booked earlier. Google maps and other navigation applications have made it easy for one to travel virtually and half quench their thirst to visit a destination. In this period, one should not lose their curiosity and desire to learn of other countries and cultures; learning the destinations and the primary language is a start if you are not conversant with it. Taking these activities ensures minimal contact with strangers while at the same time enjoying the pleasure that travels bring with it. Try the destination’s typical recipes at your home, of which you can go a step further by sharing the content online with your followers.

Travel remotely locally

According to the UNWTO directive by some government to citizens not to travel, will not stop the spread of the COVID-19 virus. The world governing agency on matters travel and tourism encourage the industry to develop adequate measures that prevent the spread of the virus and, at the same time, support the industry’s existence and sustenance. For example, one should consider a no-contact drop-off delivery from local restaurants and businesses, engaging in low social impact tourism activities such as meditation tourism and staying at a remote forest cabin. Travel to faraway destinations while at the same time follow the local government’s directives relating to the crisis, such as self-quarantining for the specified duration.

Stay at home

We love to travel; we love to meet and interact with new faces that offer us that warm, welcoming smile to that new destination we’ve never been to before or keep going to over and over again. Well, given the nature of the current crisis, those are quite some problematic moves at the moment. It is would only be prudent to shelve those immediate travel plans that you had made this week and the few weeks to follow. Staying at home will also help in keeping you and all your loved ones safe from contracting the virus.

Remembering that there are people’s lives and future at stake during this time is very paramount and taking your part in helping fight the pandemic. During this time, the Sustainable Development Goal number 17 will be significantly tested on how the world can come together to solve a common problem through partnership and collaboration. Throughout history, humans have been identified as social beings; our strengths as humans is through our cooperation and coming together. The coronavirus is testing the ability to come together and solve the common problem. Remember to take care; keep safe. Wash your hands!

Source: https://www.standardmedia.co.ke/ureport/article/2001365605/how-you-can-contribute-in-saving-the-tourism-industry

 

Did you have plans to travel upcountry for Easter or to greet your relatives?

Well, there is a change of plans as Health CS Mutahi Kagwe has banned upcountry travel to curb the spread of Covid-19.

“Those who planned to travel for Easter… don’t. Even when you are in Nairobi, unless there is something that you are doing, stay at home. It is important for us to start training ourselves to do so,” he said.

Kagwe spoke on Thursday during the daily briefing on Covid-19.

The CS also announced 29 new Covid-19 cases, bringing the the total past the 100 mark to 110 patients.

 

Out of the new Covid-19 cases, 28 are Kenyans, while one is Congolese.

In the last 24 hours, the government tested 662 samples, out of which the 29 people tested positive.

 Kagwe said mass testing for the 2,050 quarantined individuals is ongoing.

The CS also announced the death of two more Covid-19 patients.

This brings the total number of deaths to three.

 The first patient to die last Thursday was a businessman. Morris Namiinda, 66, had a pre-existing condition – diabetes.

One of the new deaths reported on Thursday was of a Kenya Ports Authority employee.

The woman, 58, was buried at Mbaraki Cemetery on Thursday.

CS Kagwe on Thursday banned travel upcountry to contain spread of the disease.

Source: https://www.the-star.co.ke/covid-19/2020-04-02-upcountry-travel-banned-in-new-measures-to-curb-covid-19-spread/

 

Domestic air travel operators are seeking a Sh3billion government bailout to cushion the carriers from reduced bookings in the wake of the coronavirus (Covid-19) pandemic.
The operators have been recording a drop in revenues after the State banned the entry of travellers from coronavirus-hit countries, closed schools indefinitely and encouraged working from home, a move which has seen few passengers book flights.
Kenya Association of Air Operators (KAAO) executive secretary Eutychus Waithaka Tuesday said they had sent a request for the bailout through the Ministry of Transport.
The associations represents the interest of all licensed commercial air operators such Fly 540, Safarilink, East African Safari Air Express (formerly Fly-SAX), Jetways among others.
They are seeking the funds to settle staff salaries as well as navigation and landing charges at airports.
“We have formally sent a memorandum to the state through the Ministry of Transport requesting that they set a side Sh3billion to help keep domestic airlines in the country stay afloat during this difficult moment,” said Mr Waithaka in a phone interview with the Business Daily yesterday.
“It is the State which will decide the form in which the money will come. It could be in form of tax concessions or release from banks,” he said.
Mr Waithaka clarified that the Sh3 billion is not a grant or a loan but a “relief fund” to help cushion the sector from collapsing during this difficult time.
Apart from the Sh3 billion relief fund, KAAO also wants the government to reduce air passenger service charges, a move that will encourage more travelers to continue booking tickets.
They also want the State to partner with development financial institutions such as the World Bank to reduce the burden of debt to help stabilise the aviation industry before normal operations resume.
The association further noted that they were in talks with the Labour Ministry to look at a possibility of workers in the sector taking pay cuts rather than sending them home.
“We are sending them on leave. We are trying hard not to knock them off,” he said.
Kenya has so far confirmed 59 cases of the Covid-19 and its critical tourism and farm export businesses have been feeling the pinch from the economic impact of the coronavirus pandemic.
The State has imposed restrictions, including cancellation all flights save for cargo planes, ordered shutdown of bars and nightclubs, restaurants to operate as takeaway units, and put a freeze to church services and weddings and capped funeral gatherings to 15 people.
Domestic carriers in the country are among the hardest hit industry amid the coronavirus outbreak, a move which has seen operators such as Jambojet combine some of its flights to western Kenya.
Source: https://www.businessdailyafrica.com/corporate/companies/Local-airlines-seek-Sh3bn-bailout-as-coronavirus-bites/4003102-5510096-w4fk17/index.html