Covid-19 infects RTG’s conference business

by Editorial Team
2 minutes read

The Rainbow Tourism Group (RTG) has indicated that the lockdown put in place by the government as part of its measures to curb the spread of the Covid-19 pandemic affected its conference business during the first half of 2021.

In his statement accompanying the group’s abridged consolidated financial statement for the half-year ended 30 June 2021, which was released this week, RTG Chairman, Arthur Manase highlighted that lockdown and limited international travel affected the tourism company.

“The group was largely reliant on domestic tourism due to restrictions on international travel. Conference business was affected by the national lockdown measures with little to no activities for the period between January and mid-March 2021. Business volumes improved significantly from mid-March to June 2021 buoyed by accommodation, outside catering as well as Gateway Stream revenue channels such as online shopping, hardware and music,” Manase said.

Looking ahead, the tourism company pinned its hopes for increased business on the resumption of international flights into Zimbabwe and the recent relaxation of the Stage 4 lockdown.

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“The resumption of international flights into destination Zimbabwe and the expected opening up of the economy in the remaining months of the year will see a significant growth in business volumes,” said Manase.

Manase indicated that RTG was expecting increased business during the remainder of the year due to increased conferencing and leisure activities.

“Most government conferences, non-governmental organisations activities and domestic leisure travel are expected to take place in the last half of the year. The first half of the year typically contributes 40 percent of annual revenue while the second half contributes 60 percent. In 2021, due to Covid-19 induced lockdowns, the second half of the year will likely contribute 80 percent of revenue,” Manase said.

RTG is one of the key players in Zimbabwe’s meetings, incentives, conferences and exhibitions (MICE) industry as its hotels and conferencing facilities provide venues and accommodation to the sector.

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