Rwanda Development Bank (BRD) has listed a public auctioning of two major Rwandan owned hotels in Kigali, a move which comes following the hospitality sector having been hit hard by the COVID19 Pandemic.
Though reasons for the auction were not available by press time, a public auction announcement endorsed by BRD and seen by KTPress, the two hotels are: Hotel Villa Portofino Kigali located in Nyarutarama-a high end residential area in Gasabo district and The Mirror Hotel in Remera sector along the Kigali international airport road.
The announcement also indicates that the auctioning will be done online and this kicked off August 9 and will run through August 16, 2021.
Like many other hotel facilities, the above two hotels suffered consequences of COVID19 which include constant closure and temporary reopening under the pandemic restrictions and slow in-flow of visitors and hosting meetings.
While other hotels in Kigali continued to operate with government relaxing measures and unleashing an initial Rwf100billion worth Economy Recovery Fund (ERF) with 50% of it allocated to hospitality soft loans and support, both hotels continued to evidently see little activity in terms of clientele work-ins and meetings, especially at a time when most meetings are being held virtually.
The auctioning of the two hotels also comes at a time government has increased ERF pool to over Rwf350billion in the wake of the Delta COVID19 variant spread in Rwanda which has continued to destabilise the hospitality sector especially when inflow of tourists and hosting meeting remains at a low.