Hoteliers are expecting a bumper six-month period, with Malta’s EU presidency, starting today, set to drive the lucrative conference-tourism sector to record highs.

Spread over the first half of the year, this historic event will bring with it more than 20,000 officials, who will take part in 200 events varying from high-level conferences to technical meetings.

Moreover, about 2,500 journalists will also flock to Malta.

The main focus will be on the Presidential Palace in Valletta, which will host 16 informal EU ministerial meetings. But the bulk of the events will be held at leading hotels in Malta and Gozo.

“At the moment, we are doing very well, but in the coming months, we expect to do even better. May all the other years be like 2017,” said Anġlu Xuereb, owner of a number of hotels, including The Palace and The Victoria Hotel in Sliema. Both of these will be hosting a number of EU meetings.

The official programme also lists a series of events at five-star resorts in Floriana, St Julian’s, Buġibba, Attard, Golden Bay and San Lawrenz in Gozo. One source in the tourism industry, who preferred to remain anonymous for commercial reasons, expressed strong optimism.

May all the other years be like 2017

“Regardless of the ripple effect generated by the EU presidency, this is already promising to be a very good year for tourism in terms of revenue. Furthermore, arrivals will be boosted by the presence of NGO representatives and lobbyists, who will be actively following developments taking place in Malta.

“Gone are the years in which hotels would close for refurbishment or scale down their operations in the shoulder months of January and February.

“This year we cannot afford such a luxury,” he added.

The MHRA's Tony Zahra sought to temper optimism.

The president of the Malta Hotels and Restaurants Association, Tony Zahra, gave a more cautious assessment of the situation.

He said that in the run-up to the EU presidency, Malta’s accommodation industry had geared up for the higher influx of guests through embellishment and expansion projects. Had the country been in a situation where tourism prospects were grim, the presidency would have probably been a saviour for the economy.

However, in recent years, significant progress had been made in addressing Malta’s seasonality problem, with high numbers being registered even in traditionally quiet months, he observed.

While acknowledging that the expectations were very positive, he pointed out that the profit margins would not necessarily reflect the record occupancy in hotels.

“Accommodating some 100 delegates for a three-day conference poses a logistical challenge for any hotel, as during that period it is highly unlikely to have a huge turnover of guests in a short span of time,” Mr Zahra said.

“Consequently, rates may have to increase, not necessarily to boost profits but  to recoup losses incurred by blocking a high number of rooms at one go, which in turn will affect the length of reservations before and after the EU-related event.

“It is not a question of exploding prices, but ensuring that these one-offs are not accommodated at the expense of losing other bookings,” the MHRA president noted.