Hotel industry braces for tougher months ahead amid localised lockdowns

The recovery seen during the past two quarters is set to be disrupted

A strong resurgence in the Covid cases and the ensuing restrictions by various state governments are set to disrupt the recovery seen by the hospitality sector during the past two quarters. An improvement in macro indicators in terms of business as well as recovery rate of Covid had kick-started a revival in the hospitality sector pushing up the occupancy by over 40 per cent during the third quarter. It was primarily driven by the leisure segment and ‘revenge travel’ during weekends and the festive season, weddings along with food and beverage demand.

"It was with some respite that hotels