“I am downbeat, I am waiting for elections. I have seen no moves so far, I do not see what prompted the introduction of this fuel excise, all it will do is hike prices. There is talk about the development of infrastructure, but I drove for three hours and a half from Sibiu to Bucharest on a distance of just 268 km,” said Enache.
Radu Enache manages almost 2,000 rooms in 14 hotels. In 2012, Continental Hotels chain posted revenue of around EUR20 million and losses of EUR3.5 million, according to Finance Ministry data.
Enache entered the shareholding structure of Continental Hotels in the wake of the company’s privatization in the 1994-1995 period. The process took 10 years and involved capital increases.
In 2012, Spain’s investment fund GED took over 30% in the chain. After the move, Radu Enache stated the plan envisaged the building of ten 2-star hotels, but no project has been started, yet.
“We’re waiting to see what happens, we’re not making any investment for the time being,” he said, adding that 1Q figures are due in April and he will see if growth budgeted for this year will have been achieved.
This year the Tourism Ministry also has a new head, Florin Jianu. The former minister, Maria Grapini, has not implemented no concrete project in tourism to spur hotel investment, boost jobs and attract foreign tourists despite the around EUR30 million budget the ministry had in 2013.
Accommodation capacity amounts to some 12,000 rooms in Bucharest and to 96,000 rooms nationwide, according to the latest data available.
(English version by Catalina Apostoiu)