eBusiness Weekly
Tinashe Makichi
Ta Group’s Cresta Hotels says its Botswana operations have been impacted by declining mining activity and a general decline in economic output in the country. Cresta Hotels managing director Glenn Stutchbury told The Business Weekly in emailed responses that despite challenges affecting the Botswana market, the leisure sector has generally performed well.
Cresta Hotels, a subsidiary of the Masawara group operates business and resort Botswana hotels, as well as Zimbabwe and Zambia hotels.
“The Botswana market has been impacted by the decline in mining operations, global commodity prices, and a decline in economic output in the country.
“Despite this the leisure sector has performed well and tourist arrivals are up,” said Stutchbury.
Stutchbury said Cresta Zimbabwe and Cresta Marakanelo have been performing well.
Questioned if the company was considering soliciting partners at a time when its peers have secured reputable regional partners, Stutchbury noted that the hospitality firm will not consider following that route.
“Cresta operates its own brands across the region and at this stage we are not partnering with other hotel operators, we are working on ensuring our own brand integrity and value proposition,” said Stutchbury.
He added that the hospitality group remains confident with the Zimbabwean market as there are opportunities that are being presented by the future.
Stutchbury said the hospitality sector has also not been spared by the current foreign currency shortages and of DFI business.
“Despite the challenges in Zimbabwe at present there are opportunities and one has to look to the future, Victoria Falls is booming since the completion of the new airport and the opportunities that brings to access.
“The environment right now has turned to survival given the cash shortages, the foreign currency shortages and the lack of DFI which increases hotel business commercially. I believe preservation of balance sheet in this environment is key,” said Stutchbury.
Cresta has been associated with hotel operations as far back as 1958, through Jameson Hotel in Harare.
The hotel portfolio in Zimbabwe was expanded in the mid 1960’s with the addition of the Cresta Oasis Hotel and the Cresta Churchill Hotel in the 1980s.
