KATHMANDU: Nepal’s hotel industry, a key pillar of the tourism-driven economy, has incurred losses exceeding Rs 25 billion following the recent student-led anti-government protests, which saw nearly two dozen hotels across the country vandalized, looted, or set ablaze, according to a media report on Friday.
Among the hardest hit was the Hilton Hotel in Kathmandu, which reported damages of over Rs 8 billion, the My Republica news portal cited from a statement by the Hotel Association Nepal (HAN).
Other prominent domestic and international hotels across Kathmandu Valley, Pokhara, Butwal, Bhairahawa, Jhapa, Biratnagar, Dhangadhi, Mahottari, and Dang-Tulsipur also suffered significant damage.
The HAN warned that many affected hotels may be unable to resume operations without extensive repairs and reconstruction, putting the jobs of more than 2,000 employees at risk.
The association expressed concern that the destruction could hinder hotels from fulfilling financial obligations to banks and other institutions. It called for a judicial committee to investigate the incidents, bring the perpetrators to justice, and announce compensation for the affected businesses.
Additionally, HAN urged the government to introduce an economic relief package to support rebuilding efforts, emphasizing that restoring investor confidence is critical for tourism development and the country’s economic stability.
Tourism contributes nearly 7% to Nepal’s GDP and remains a vital source of foreign exchange. The hospitality sector is still recovering from the impact of the pandemic.
