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How France attacks will impact country's tourism

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According to Sodexo CEO, attacks will have a long-term impact on both country's tourism industry and struggling economy


While France is still in shock after the deadly coordinated terrorist attacks last Friday, the CEO of Sodexo French food services giant declared for the CNBC that fighting against terrorism is an important issue which also translates into fighting for the country's economy.


"(The attacks) will certainly have an impact," Michel Landel, told CNBC this week.


After the killings that shoked the world and severely affected France, police conducted raids in the Saint-Denis suburb of the city: two suspects died and eight people got arrested consequently.

Currently, concerns raise over the long-term impact on the country's already fragile economy and especially tourism industry, which holds 7 per cent of France's GDP (Gross Domestic Product).

"We have some business around tourism ourselves in Paris so it will have an impact but it's too early to quantify such an impact. But I would also like to say that as an individual or company or as citizens, we have to stand up and fight against this terrorism and keep going as much as we can and be optimistic", Landel added.

He also underlined that France needs to rethink strategies, cut public spending costs and use its resources mainly on combating terrorism: "I think we have the possibility to finance more resources to fight terrorism and do, probably, many other things to improve the situation in France if we have the courage to cut public spending."

The comments of the catering service company's CEO followed the company's release of financial results for the fiscal year ending August 31. According to the report's figures, Sodexo registered a 8 per cent increase for shares, a 10 per cent rise in revenue growth and a 2.5 per cent rise in organic growth, summing up a total of 19.8 billion euros ($21.2 billion respectively).

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