This is with reference to the PTDC Circular Notification dated July 01, 2020 about the decision of Federal Government and PTDC to close down the operations of Motels (North) Limited with immediate effect. On behalf of Pakistan Hotels Association, we believe that due to continuous financial losses in PTDC Motels located in Northern areas of Pakistan and amid COVID-19 pandemic, though it’s unfortunate to close the hotels, but it was necessary for the survival and future viability of these motels and create employment in the area.
Consequent upon closure of operations of the company, there is a need for private sector to come forward and support the government in rehabilitation and expansion of these motels to make their operations commercially viable. As you know, Investors are always keen to establish lodging facilities in northern areas of Pakistan due to its special attraction for the tourists and a lot of land available there and now the government should lease out these Motels and land to private sector, who could easily convert these properties to good quality hotels with international standards and brand to boost tourism.PTDC motels were ideally situated for tourists to rest and then wake up the next morning and continue their journey farther into the north.
This step would develop the seareas for tourism, and massive good employment opportunities could be created in Northern Areas by creating good hotels there. If those hotels/ motel sare given to the private sector, then good facilities can be provided to the tourists as investors are always capable to upgrade and convert standard hotels, if given chances.
About 24 or 25 properties now shut down in the entire north other than the six ‘sick’ motels and restaurants,the corporation had closed down in March last year. Last yearalso,the PTDC had shut down its motels at Taxila in Punjab, Chattar Plain in KP, Astak in Gilgit-Baltistan and at Khuzdar in Balochistan, as well as Chakdara restaurant in KP and Daman-i-Koh restaurant in Islamabad.
We, therefore, on behalf of members of Pakistan Hotels Association extend our cooperation to work on above lines for privatization of these properties and private sector should come forward to support the government in rehabilitation of these motels. We suggest that investors be facilitated to develop and convert above properties to make them viable business ventures as it creates employment opportunities for the local community and earn foreign exchange for the exchequer.
