10 Mar 2022 14:35

World's largest hotel chains cease investing in Russia

MOSCOW. March 10 (Interfax) - Accor, operator of the Novotel and Ibis brands; Hilton; and Hyatt will not be opening any new hotels in Russia, and they are suspending all partnerships with Russian companies, though they will continue to operate existing hotels, the hotel chains said in their respective statements.

"The French owner of the Novotel and Ibis hotel chains said that it has suspended all planned openings and developments in Russia and any partnerships with Russian companies, though it will continue to operate its more than 50 hotels in the country in order to support its 3,500 Russian employees," the Financial Times wrote.

Accor was the first international hotel chain to announce a halt, followed by Hilton, operator of the LXR Hotels & Resorts, Waldorf Astoria, Hilton brands and others, and Hyatt. Neither Marriott nor IHG has issued a statement regarding the matter.

"We have now taken the decision to suspend our development activities and any new investment in Russia, and the decision is effective immediately," the Hyatt hotel chain posted on its official news site.

Hyatt also notes that it will continue to monitor the situation in Russia, while complying with the directives of the U.S. government, as it hopes for a resolution to the crisis.

The Hilton hotel chain said late on Wednesday that it had closed its corporate office in Moscow and would suspend construction of hotels in Russia. The company said in a statement that it would also continue to monitor the situation in Russia.

Accor CEO Sebastien Bazin had previously canceled a meeting scheduled for this week with Russian President Vladimir Putin. Accor's plans for 2022 had included the opening of five new hotels in Russia. Overall, there are 50 hotels open in the country, with 21 of them operating in Moscow.

The online booking services of Airbnb and Booking.com have also ceased operations in Russia.

The Radisson hotel chain has stated that it would remain in Russia. "All Radisson Hotel Group hotels in Russia will continue to operate. We are closely monitoring the situation in the region, we care about the well-being of all guests and team members, and continue to adhere to all instructions," the company said in a statement.