International business travel to Kenya slumped in 2011

Business travel to Kenya suffered in 2011, as the sector bowed under pressure from the Eurozone debt crisis and fears of insecurity in the horn of Africa.

According to data released by the ministry of Tourism on Wednesday, business arrivals accounted for 11 per cent of total arrivals at the Jomo Kenyatta International Airport (JKIA), a decline from 2010’s 14 per cent. Conference arrivals remained flat at 3 per cent.

“Businesses in Europe had less money to spend on trips. Others cancelled planned meetings because of the warnings they received from their governments,” Mike Macharia, CEO Kenya Association of Hoteliers and Caterers, said.

Holidaying was the main purpose of travel to Kenya, registering over 67 per cent of the arrivals at JKIA and 97 per cent at the Mombasa International Airport.

However, despite the slump, regional business travel was robust with Uganda noting the highest number of conference delegates flying into Kenya — about 2,962.

This has been attributed to growing business interaction as the region pursues economic integration.

Airlines have taken advantage of this trend by growing the frequency of flights in the region and making air fares more competitive.

“People are realising that flights are not the preserve of the company CEO, even SMEs are flying their employees across the region,” said Air Uganda country manager, Ms Njeri Wachira.

Business travel is a niche sector worth billions of dollars internationally. Aviation and hotel industry firms have been positioning themselves to tap into this market by designing business-friendly products and services.

“Kenya is ideally placed for business meetings and conferences. Hotels have realised this and now even the smallest holiday resort has conference facilities,” Mr Macharia said.

These efforts saw Kenya ranked third most preferred business destination in Africa by the International Congress and Convention Association 2011 report. Nairobi outranked Cairo and Johanesburg.