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Nigeria’s hospitality sector faces economic distress, says Diala

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From Okwe Obi, Abuja

Chibuikem Diala, Executive Director of the International Hospitality, Tourism and Eco-Sustainability Forum (IHTEF), has identified poor management, inadequate regulation, financial challenges, and inconsistent rating systems as major issues plaguing Nigeria’s hospitality sector.

Diala made these remarks at the 8th IHTEF, held in Abuja on Monday, May 26, 2025. He urged the government to create a level playing field and prioritise human capital development to address these challenges.

“First of all, I don’t want to start with funding. I think one of the key issues is human capital,” Diala said. “Secondly, the right kind of remuneration is also a problem. Now, let me go back to funding and investments—the right mix of investments is critical.

“The government also needs to help with a level playing field. Above all, we need to develop human capital because it’s very important.”

Despite these challenges, Diala expressed optimism, stating that IHTEF would continue to formulate strategies to advance the sector in Nigeria and across Africa.

“The sector’s growth potential is substantial, driven by a surge in domestic tourism and increasing business travel,” he noted.

He clarified that hotel ratings are designed to guide guest preferences and enhance operational efficiency. “It makes it easier for people to work in those places and get results,” he added.

Group General Manager of Abuja Continental Hotel, Karl Hala, also spoke at the event, emphasising the need for training and mentoring young Nigerians to deliver exceptional service and leadership in the hospitality industry.

Hala proposed key initiatives, including:
Mentorship programmes: Pairing young professionals with experienced industry experts.
Training academies: Providing comprehensive training in hospitality skills.
Skill acceleration programmes: Enhancing expertise in specific areas.



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