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Tourism outlook positive for 2013

Grant Thornton's tourism business index exceeded expectations in the first quarter of this year‚ reaching 110.8 compared with an expected reading of 102.5
Tourism outlook positive for 2013

Gillian Saunders‚ Grant Thornton's head of advisory services‚ said generally the sector felt conditions were improving.

"In some segments the weak rand is helping‚ but there is still concern about overseas market strength given the ongoing recessionary conditions‚ particularly in Europe.

"We see a dichotomy where 30% of our respondents cite demand as being strong‚ while exactly the same number see it as weak. Their involvement in different geographic markets may be behind this: For instance in 2012‚ Asian markets showed strong growth in tourist arrivals and businesses," she said.

Saunders says that on balance the outlook for the next 12 months is positive (+13%) for the accommodation sector and very positive (+30%) for the rest of the tourism industry.

"Both sectors have said that they will be increasing capacity and employment this year," she added.

Source: I-Net Bridge

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