Rising recession fears due to the aggressive interest rate hikes have led to an intense market sell-off over the past couple of months. Many analysts expect the economy to witness a recession in the first half of 2023. This has shifted consumer spending from entertainment, leisure, and travel to basic necessities.
The travel industry has been badly affected by rising costs. Airlines have been unable to cope with the resurgence of demand due to staffing issues and high fuel costs. Flight cancellations have been rampant, leading to slow demand for luxury hotel chains.
