Financing leisure destination: The Palace paves the path

While global hospitality industry has been on recovery since 2013, a resurgence of growth in this sector is becoming visible backed by strong investor confidence. Compared to other sectors of the global economy, the industry is one of the fastest growing, accounting for more than one third of the total global services trade. There is a fresh wind of change in the local tourism sector also.
  Tourism is labour intensive and a significant source of employment. It is among the world's top creators of jobs requiring varying degrees of skills and allows for quick entry into the workforce for youth, women and migrant workers. It accounts for 30 per cent of the world's export services. In 2010, the sector accounted for more than 235 million jobs, equivalent to about 8 per cent of the overall number of jobs (direct and indirect), or one in every 12.3 jobs. The UNWTO (The United Nations World Tourism Organisation) is expecting the sector to provide 296 million jobs in 2019.
This writer was not surprised when he came to know Arif, Iqbal and Salam were about to complete the construction of a leisure destination, named The Palace. Consequently, there was an invitation to visit and experience their new venture in Hobiganj, Sylhet. They also wanted to discuss prospects of more such ventures in different parts of Bangladesh. When one reaches that happiness destination at Hobiganj, he is mesmerised by the beauty of the resort, which has been carefully crafted, keeping the 'mother nature' intact. It looks like a painting in a large canvas by a great artist. It took a great deal of passion, love and commitment to go for the establishment. At The Palace, they aim to deliver an undiluted experience of carefree luxury. Everything from housekeeping and maintenance down to the finest details is ready to be offered for the guests soon.  
In the evening, we started our discussion on the prospect of this growth sector. The investors are quite optimistic and are hopeful about the opening of a new horizon in the field of investment in the tourism sector of Bangladesh.
Tourism sector should be one of the cornerstones of economic development and a gateway to international markets. Through this, our country can rope in a good number of foreign visitors every year.  Tourism projects generally require massive initial investment, for which private financing may become difficult for most companies. This can be feasible as a sustainable business through participation of the public sector. Public-private partnership (PPP) could be a viable model for bankrolling tourism projects through partnership of the government and one or more private companies to share capital involvement, risk, responsibility and revenues. PPP models consolidate the strength of the government and private sector for providing more efficient services. The roles and responsibilities of the partners may vary, but the overall role and responsibilities of the government generally do not change.
Tourism also benefits a wide variety of sectors of our economy. Tourism activities have significant potential to contribute to our GDP. Tourism investments do not mean building hotels and motels alone, it also entails modernisation of airports, railroads, seaports etc.
  In the 48 hours of trip we saw various aspects of this resort. It has different types of interesting villas overlooking lakes and forest. Added to these is tower building, hanging bridges, state-of-the-art swimming pool, entertainment zone, mosque, pineapple, guava, jackfruit orchards, flower gardens etc.
There is no doubt that The Palace is going to be an ultimate happiness destination.

The writer is CEO of Paper Rhyme Advertising Limited.
saif@paperhymebd.com