Lack of affordable hotels hinders development of tourism in Armenia

LACK OF AFFORDABLE HOTELS HINDERS DEVELOPMENT OF TOURISM IN ARMENIA,
ATDA REPRESENTATIVE SAYS

Noyan Tapan News Agency, Armenia
Sept 20 2006

YEREVAN, SEPTEMBER 20, NOYAN TAPAN. Since September 18, two 30-second
commercials about Armenia are broadcast three times a day on CNN.

Mekhak Apresian, Head of the Tourism Department of the RA Ministry
of Trade and Economic Development, stated this during a discussion on
tourism problems at the 2nd Armenia-Diaspra economic forum. According
to him, the main purpose of demonstrating these commercials is to
create abroad an image of Armenia as a country attractive for tourists.

During the discussion, Syuzanna Azoyan, marketing director of the
Armenian Tourism Development Agency (ATDA), spoke about obstacles to
tourism in Armenia and the marzes. It was noted that human resources,
a high level of services, comfortable transport and reliable
infrastructures are needed for developing tourism in Armenia. "The
most important problem in Yerevan is lack of affordable hotels and
motels," S. Azoyan noted. In his words, there are no affordable hotels
in Yerevan, while the need for hotels is especially urgent in marzes.

S. Azoyan noted that the ATDA is currently taking measures to extend
the limited tourist season in Armenia and to develop adventure
tourism. "There are great opportunities in Armenia for developing
winter tourism. And our mountains are very convenient for adventure
tourism," the ATDA representative said.

To recap, in 2005, revenues of the tourism sector made 6% of GDP, and
since 2001, the average annual growth of tourism has made about 25%.