SME Toolbox

Rebuilding paradise: How SMEs can lead tourism recovery in post-conflict and disaster-hit areas

September 25, 2025

From bloodied histories to broken landscapes, some of the world’s most breathtaking destinations have faced the unthinkable. But in the ruins of catastrophe, small and medium enterprises (SMEs) have emerged as phoenixes, not just reviving tourism economies, but reshaping them into more sustainable, resilient, and soulful experiences.

Places like Sri Lanka, Nepal, and Rwanda are blueprints for regeneration, led by the grassroots. This is a playbook for every SME out there.

Climate resilience directly contributes to the stability of tourism destinations. By implementing measures to mitigate and adapt to climate change, destinations can protect their natural resources, which are often the primary attractions for tourists. For instance, destinations like Puerto Rico and the Philippines have developed sophisticated resilience strategies that include climate risk assessments, biodiversity conservation plans, and hazard mapping.1,2 These measures help preserve beaches, forests, and other natural assets that are crucial for tourism.

From bloodied histories to broken landscapes, some of the world’s most breathtaking destinations have faced the unthinkable. But in the ruins of catastrophe, small and medium enterprises (SMEs) have emerged as phoenixes, not just reviving tourism economies, but reshaping them into more sustainable, resilient, and soulful experiences.

Places like Sri Lanka, Nepal, and Rwanda are blueprints for regeneration, led by the grassroots. This is a playbook for every SME out there.

Sri Lanka: From civil war to coastal calm

Sri Lanka’s tourism took a massive hit during its nearly 30-year civil war. When peace arrived in 2009, it was surf instructors, home-stay operators, eco-lodge builders, and tuk-tuk tour guides who started telling new stories. Local businesses like Palagama Beach and KumbukRiver Eco Resort focused on authenticity, environment, and culture. They offered travellers a real connection, and these grassroots efforts attracted a new wave of impact travellers, who want their trips to support rebuilding efforts and communities directly.

Lesson: Build experiences around culture, healing, and environmental integrity. Let your location’s journey be part of your brand story.

Nepal: Rising higher after the earthquake

The 2015 earthquake in Nepal was catastrophic, not only for the lives lost but also for its lifeline tourism. But even amid shattered stupas and cracked trekking trails, local businesses found a way to rebuild. Enterprising locals rebuilt tea houses in the Everest region, re-opened guesthouses in Bhaktapur, and launched travel startups like Backstreet Academy, which connected travellers with artisans and local hosts. NGOs partnered with SMEs to train locals, rebuild lodges, and even rebrand Nepal’s story of endurance.

Lesson: Post-disaster, travellers are often eager to support communities that are rebuilding. Position yourself as part of the solution.

Rwanda: The power of peace and purpose

Few countries have undergone a transformation as profound as Rwanda. Following the 1994 genocide, the country prioritised peacebuilding, environmental conservation, and community-led tourism. Local cooperatives and SMEs became integral to the success of Rwanda’s tourism revival. Women-led weaving groups in Gahaya Links, gorilla-tracking tour guides in Volcanoes National Park, and local coffee growers partnering with tourism experiences each turned pain into purpose. Rwanda positioned itself as a destination of hope and healing, and SMEs became the storytellers and custodians of this narrative.

Lesson: Embed reconciliation and purpose in your tourism offering. Highlight how your business contributes to peace, education, or equity, and let travellers be part of that story.

Turn resilience into a brand story

If your region or country has survived a crisis, tell that story unapologetically. Share how you rebuilt your guesthouse brick by brick, how your staff volunteered in the aftermath, or how your tours now support local schools or conservation.

In post-crisis areas, NGOs are often the first to arrive and the last to leave. Partnering with them can accelerate your recovery:

  • Capacity building: NGOs often provide training in hospitality, guiding, safety, or digital marketing.
  • Funding support: Grants and low-interest loans for SME revival are often available through NGO collaborations.
  • Credibility: Being associated with a reputable humanitarian organisation can boost your visibility and trust among travellers.

Impact travellers seek meaningful, low-footprint experiences that go beyond traditional sightseeing. To attract this conscious audience, businesses should clearly showcase how they support local livelihoods, empower communities, or contribute to environmental conservation. Offering voluntourism add-ons like tree planting, school visits, or heritage restoration can add purpose to the journey while deepening guest engagement. Most importantly, openly communicate where the money goes and how each traveller’s visit directly contributes to recovery and rebuilding efforts. Use platforms like Responsible Travel, Airbnb Experiences, and Ecoclub to reach these niche segments.

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