Factors driving demand for hotels in Lagos
The Key drivers of demand for hotel accommodation and other hospitality services in Lagos can be summarised as follows: 1. Expanding middle class
The rapidly emerging middle class in Lagos has seen a rise in demand for hotels in the city, as this “population bulge” creates opportunities, one being the emergence of a robust consumer base rising incomes in Nigeria suggest a maturation of its middle class. “Domestic demand is rising on the back of steady increases in private and public investment 2. Increasing business / economic activities
Lagos has seen an increase in its economic activities, The world in the next 15 years anticipates about 50 percent economic growth from cities in emerging markets such as Lagos in Nigeria, experts say urbanisation is happening faster in Africa than anywhere else in the world, while cities are driving the continent’s economic growth. 3. Emergence of new industries e.g. Power sector (Privatization of distribution and generation companies) 4. Increasing tourism travel to Nigeria e.g. Lagos festival, Calabar festival Tourism in Nigeria has increased in recent years the travel and tourism environment in Nigeria has been showing signs of expansion in recent years. According to the World Travel and Tourism Council, the industry’s contribution to the national gross domestic product has grown steadily over the past few years on the back of concerted efforts by the Nigerian Tourism Development Corporation to enlarge its potential in the country 5. Infrastructure expansion e.g. Toll road, Lagos light rail project Roads, Bridges and rail infrastructure are being worked on to facilitate the state for enhanced human and commercial activities.
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