ALOR STAR: Langkawi has been spared from a Treasury directive that bans all government courses and activities from being held in hotels.
Prime Minister Datuk Seri Abdullah Ahmad Badawi allowed government agencies to organise their events on the holiday island during a meeting with seven Umno division members from Kedah on Saturday.
An Umno member from Langkawi had during the meeting highlighted the dilemma of Langkawi folk who depended on the service sector for their livelihood.
Kuah assemblyman Datuk Nawawi Ahmad said Abdullah’s assurance meant a lot for the 68 four-star hotels, 700 taxi drivers and 10,000 hotel workers.
“This is important for the economic survival of the service sector here,” he said.
Nawawi had said earlier this month that Langkawi would be in dire straits when the Government stopped holding courses in hotels.
He said hotels with four-star rating and below would be hard hit as they stood to lose about RM20mil a month.
“We were afraid that the hotel workers would lose their jobs, as the hotels are heavily dependent on government functions to sustain business,” he said.
Nawawi said 70% of the population in Langkawi was involved in the service sector.