Collapse of tourism sector affecting businesses in Diani
23 November 2014, 11:33
Diani - Business operators in Diani tourist’s town are contemplating moving their business to LungaLunga due to continued collapsing of the Tourism sector.
Chair person of Business operators in the area Richard Onsongo said they are thinking of building rental houses in Ramisi to accommodate over 10,000 workers of Kwale International Sugar Company.
He said that business at the Tourists town is deteriorating everyday adding that they are only making loss while paying taxes to the county government of Kwale.
Onsongo said that the Tourism sector has affected everyone in the area due to lack of tourists since Western countries issued travel advisory to their citizens.
Speaking to journalists at Diani in Kwaale yesterday, Onsongo said that the over 10,000 KISCOL workers need rental houses which are not easy to get in the area.
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“Now that business at Diani is not promising and we don’t see any green light to get back where we were as business community we are contemplating venturing into rental houses to target KISCOL workers,” he added.
He said for now most of them are operating at a total loss.
“That why we want to make use of the casual workers at KISCOL because many of them are forced to walk many kilometers away to their homes after work. If there are rental houses we are very sure they will just rent and that will be assisting the business community and helping Ramisi to grow,’ he added.
Onsongo also urged county government of Kwale to stop collecting levy from business operators in the area since there is a court order from High Court of Mombasa barring them from doing so until the case is determined on 4 December this year.
“While we are experiencing all these difficulties the county is still forcing us to pay taxes in its new revenue formula which we have challenged in court. They are going against a court order and that is an offence,’ he warned.
Onsongo said the new system if taxes is very high a move forced them to go to court to challenge it since it is not favorable comparing with the business situation in the area.
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