75% decrease in industry revenue in the last financial year

The epidemic has had a very bad effect on the hotel industry of the country. The Indian hotel industry has suffered a loss of Rs 1.30 lakh crore in the financial year 2020-21. The Federation of Hotel and Restaurant Association of India (FHRAI) said this on Sunday. The FHRAI has sent a letter to the Prime Minister and several other ministers. In this letter, the association has urged the government to save the hospitality sector and take financial measures.

FHRAI has said in the statement that, in the financial year 2019-20, the revenue of the Indian hotel industry was 1.82 lakh crore rupees. According to our estimates, the industry has lost about 75% of the revenue in FY 2020-21. Thus, the industry has lost revenue of more than Rs 1.30 lakh crore. Businesses are closing fast, and non-performing assets, or NPAs, are on the rise. FHRAI Vice President Gurbaksh Singh Kohli says that since March 2020, the industry has been struggling to manage its expenses.

Repayment of loan with interest is not only difficult, but it is impossible because of the economic environment created due to the recent increased transition. Without the moratorium on payment of EMI and interest, the sector would be completely destroyed.