Maputo — Mozambican hotel companies and their service providers have already lost more than half a billion meticais due to the post-election protests called by followers of presidential candidate Venancio Mondlane.
Cited in Wednesday's issue of the independent daily "O Pais', the chair of the tourism sector of the Confederation of Mozambican Business Associations (CTA), Mohammad Abdullah, said clients are continuing to cancel reservations, and those who paid in advance are demanding their money back.
Tourism is one of the sectors worst hit by the unrest. Abdullah put the losses at around 500 million meticais (about eight million US dollars, at the current exchange rate).
"Hotel companies invested so that they could receive tourists this season', he said. "But now, not only will they have no return on their investment, but they will have to reimburse clients for the reservations being cancelled'.
"It's complicated situation, which is a matter of great concern to us', said Abdullah. "We don't know how many companies are going to survive'.
The CTA believes that the current crisis facing the tourism sector is worse than that caused by the Covid-19 pandemic. Abdullah said the consequences could be "drastic'.
"We are talking about a situation of insecurity, fear and lack of mobility', he added. Images of people unable to leave Maputo airport during the riots, and even sleeping on the airport floor, travelled around the world.
"They had a catastrophic result for our country, and particularly for our tourism', said Abdullah.
He feared it would be difficult to persuade potential tourists that Mozambique is once again a safe destination, when images of rioting and destruction are still fresh in their minds.