The hotel industry in Lumbini Province has directly employed approximately 60,000 individuals across its 12 districts. According to Bhaskar Kafle, the founding president of the Hotel Entrepreneurs Federation of Lumbini Province, around 11,000 hotel businesses, both large and small, are actively contributing to this employment figure.
Kafle also highlighted that the sector has seen a private investment of about NPR 200 billion. “The hotel industry in Lumbini Province has seen an investment of approximately NPR 200 billion from the private sector,” he stated. “In addition to employing at least 60,000 individuals, the industry also contributes around NPR 400 million in annual taxes to the state.”
However, Kafle expressed concerns over the current state of the tourism business, which has led to pressures on the hotel industry. He emphasized the need for appropriate long-term rehabilitation and relief packages from the government to support small, medium, and star-rated hotels struggling in the current economic climate.
Mahendra Shrestha, the president of the Hotel Entrepreneurs Federation of Lumbini Province, stressed the importance of tourism promotion as the mainstay of the hotel business. He urged all stakeholders to focus on this aspect. Shrestha also mentioned that hoteliers are running campaigns to decorate their hotel rooms and halls with pictures of local cultural and tourist sites and to name their establishments after these heritage sites.
Despite the significant employment generation and tax contributions, Shrestha lamented the lack of positive support from the government. “We are making honest efforts in investment, job creation, and tax payment. We believe that with government-friendly policies towards the hotel and tourism industry, the sector will thrive, creating more employment opportunities. We have been drawing the attention of the provincial government and other stakeholders towards this,” he added. Despite being registered as an industry by the state, hoteliers claim they have not yet received the corresponding services and facilities.
