Providenciales – May 29, 2008 -- Hoteliers, restaurants and business places are concerned by what they are describing as an unusually slow month of May and are worried about what this means for the upcoming months.

May, by all accounts from industry officials is normally a very active month for tourist arrivals. However so far, the month has not been as fruitful as years past, and in fact some hotels have even placed some of their staff members on three-four day work weeks.

President of the Turks and Caicos Hotel Association, Cesar Campbell, acknowledged that some hotels are reporting a slower period than expected but it is nothing to be alarmed about and the rest of the year has solid bookings. “Well traditionally we go into a slower period this time of year and the current hotel occupancy is about the same. Most tourists stay at home for Memorial Weekend but as we approach the summer it ends to pick up in occupancy and arrivals. “It is difficult to say right now if things will get better as it depends a lot on the last minute booking that hotels get but most of the hotels from discussions are satisfied, but it could be better," said Campbell.

One industry source however admitted that he is concerned about the slow period and believes that the recession in the United States , oil prices and the fact that an election is looming are integral parts for the low numbers. That fact of the matter is that money is not flowing as freely as it was three years ago.

The TCI is a high end destination and it costs money to come here. Now as people are paying more for gas and food, they are budgeting for their trips and looking at value for money. The Bahamas , despite the recent
crime wave, is doing well, so are the islands in the Eastern Caribbean where the US dollar is worth more. The TCI is on par with the United States dollar and the cost of living is just as high,” said the experienced hotelier.

The Restaurants also are feeling the pinch as Chef Bernard Gerbex of Tasty Temptations and Simba's has noticed the drop off in bookings and customers. “It is unusual at this time of year because May is normally one of our better months. I don't know if the tourists are here and choosing not to come out but you can definitely see the drop off.” However Deputy Director of the Tourist Board Ralph Higgs said that he is not aware of any major drop off in the arrivals and is optimistic of another stellar tourism year and the hotels will see increases in bookings as the season goes on.

President of the Chamber of Commerce Tina Fenimore says that they are times when May is slow but is shocked to hear that so many properties are feeling the pinch. “Well we have had slow months in the summer before but not quite like this. What this means is that hotels will now start laying off persons and people will have to tighten their belts a bit more. I really don't think the downturn in the US economy has that much to do with it, we are just simply not attracting the right tourists and need to focus more on the European and perhaps South America, most Americans only come here when it is cold in their neck of the woods.”

Apart from the hotels and restaurants, Fenimore said that other industries have seen a reduction in business. “It's a spin-off really, taxi drivers are affected, retailers and just about everyone in some way. I think the next step is for the hotels to reduce their rates and attract middle income tourists who have always wanted to come here. Same too with the restaurants and hope that locals attend for dinner.”