Colombian tourism remains attractive for foreign investment

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Content publication date

May 21, 2020
Tourism was one of the first sectors to be hit by COVID-19, but there are still opportunities for hotel investment in Colombia.

According to the directors of Deloitte’s Financial Advisory, “the sector continues to be very attractive and there is nothing to indicate that interest is lost in this industry, which has demonstrated resilience.” 

Therefore, according to the group of financial advisors, hotel chains need to carry out a plan in three stages. The first is “economic confinement” to reassess the business plan and consider activities by market issuer. The second stage is “restarting activity”, that is resolving existing negotiations with suppliers and clients, and reassessing refinancing processes and increases in capital. Finally, the stage where “the demand stabilizes and recovery begins,” where steps must be taken to maintain liquidity through measures such as sale and lease back.

Additionally, in accordance with Deloitte it is expected “that the progressive return to normality will restore corporate operations,” given that the pandemic took place at a time of great liquidity in the market.
  
In turn, various tourism media, such as Hosteltur in the case of Spain, state that intermediate cities could have the opportunity to offer their destinations to those who, given the current situation, do not want to travel abroad, or who, due to social responsibility or solidarity, wish to help restore the local economy. With this aim, they can drive domestic tourism.
 
In the case of Colombia, the promotion of tourist corridors, which include intermediate cities, is an excellent opportunity for the attraction of national and international tourists in products such as ecotourism, sun and sand, and nature and culture, once the lockdown ends.

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