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Hilaire Reports Modest August Tourism Gains but Warns of Rising Risks

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Tourism Minister Dr. Ernest Hilaire has confirmed that Saint Lucia recorded modest growth in visitor arrivals for August 2025, though he cautioned that the sector continues to face headwinds.

Speaking at Monday’s pre-Cabinet press briefing, Dr. Hilaire revealed that arrivals were up 2% compared to August 2024. However, he noted that year-to-date figures remain 3% below last year’s record-breaking numbers.

One key challenge is the temporary reduction in hotel capacity as properties undergo renovations. “This is hurting us because it means we have fewer rooms available for visitors,” Dr. Hilaire explained. “But it is also a very good sign, as these upgrades will enhance the quality of Saint Lucia’s tourism product.”

The Minister expressed optimism about the medium-term outlook, citing several hotel projects expected to significantly increase room capacity within two to three years. “We need to have more rooms, which will also help boost airlift,” he said.

Still, Dr. Hilaire warned that rising hotel rates could undermine competitiveness. “As much as we love the fact that hotels are probably making more because the average daily rates are going up, we can start outpricing ourselves in the market,” he said, stressing the need for balance between profitability and affordability.

Beyond visitor numbers, Dr. Hilaire also highlighted strong interest in the government’s Creative Economy Grant programme. He reported that applications have far exceeded expectations. “We are totally inundated with submissions. The team is now assessing them so we can begin making disbursements,” he said, adding that the aim is to support as many applicants as possible.

With major refurbishments scheduled to conclude by November and new capacity on the horizon, officials remain cautiously confident that Saint Lucia will rebuild momentum and continue strengthening its position as a premier destination.

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