Swiss hotel visits slump in July, strong franc weighs - Reuters

Overnight stays by Europeans fell 8.8 percent with Germans posting a slump of 12 percent, the Swiss statistics office said on Monday. Among the Dutch the decline was 14 percent, among Italians 7.6 percent and French 3.7 percent.

Switzerland is grappling with the effects of the record-strong franc, which has gained some 20 percent against the euro in recent months and nearly touched parity with the common currency on August 9.

Companies' profits are beginning to suffer, the tourism sector has complained of a lack of visitors, and some economists have warned the economy could slip into recession next year if the franc stays too strong for too long.

To help ease some of the ill effects of the strong currency, the Swiss government is proposing 870 million Swiss francs in aid to boost unemployment insurance and other steps, including support for the hotels sector.

In a sign of rising demand from emerging markets, hotel stays by Russians increased in July by 9.2 percent, among Indians 16 percent, and among Chinese they leapt by 61 percent.

(By Catherine Bosley)