With just days to go before Greece is open to tourists, Greek hoteliers are asking the government’s help. According to the news, hard-hit hotel operators have zero liquidity to fund restart operations.
Anticipating the country’s official opening to tourists, Greece’s hoteliers are asking the government to take immediate action and support the Covid-19-hit sector. Hotel leaders say they lack the necessary liquidity to restart operations. The Hellenic Federation of Hoteliers (POX) issued the following statement in a letter to ministers a few days ago:
“Fifteen days before the official opening of tourism and we are unable to understand how exactly our members will be able to re-open, and under what conditions this will happen. Liquidity for our companies is in the red.”
The organization went on to say hotels need operating capital to cover running costs before they can consider reopening. They pointed out how some hotels are suffering ongoing losses because they stay open year-round. POX’s President Grigoris Tasios told Alpha989 earlier this week, that Greek hoteliers cannot survive May and June without at least 40-50% occupancy.
POX also condemned the government for not being proactive by creating a more thorough program to help them reopen. Despite conflicting reports, POX says most hotels have zero reservations as of May.
They say source markets like Germany, France, Italy, Belgium, the Netherlands, Poland, US may come through if the immunological situation improves, but that this will not happen until July. Clearly, these Greek hoteliers are far too exposed to even consider opening doors under these conditions.
[…] will not open despite the tourism ministry’s PR efforts. Businesses across Crete are way too overexposed capital-wise. Simply put, many have zero cash even to support the essential services needed to cater […]