Nigeria’s hotel industry performance was influenced   by the country’s economic recession during the third quarter of 2016 and a sour NGN/USD exchange rate. In an attempt to lessen the consequences of the devaluation of the Naira, hotel operators cannot increase the price of rooms in Naira to repay for the loss in value against the dollar, meaning the all-important foreign currency earnings are no longer supporting the industry.  Other problems  experienced by the industry include expensive but erratic power supply, a steadily increasing number of hotels entering the market, lack of grading standards and inadequate hospitality skills. 

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