MUMBAI: Global hoteliers are trying out greener pastures in the east following dwindling revenues in the west thanks to recession as holidaymakers turned ‘staycationers’ and business travelers cut back to save money in the global downturn.

However, growth in the emerging markets will take time and the locations in the east will only make for a small part of the hoteliers’ overall business. The locations most preferred by the hoteliers include China, India and the Middle East.

China, the world's fastest-growing economy, is expected to expand by 6.5% this year, according to the International Monetary Fund. That's a slowdown from 9% growth last year but way ahead of the 2.8% contraction forecast for the United States in 2009.

US based Marriott, which manages the Ritz Carlton and Renaissance brands, has plans to open 130 hotels in the next four years outside America, where it manages 350 hotels. Half of the openings will be in China, India and the United Arab Emirates.

Accor, Europe's largest hotelier, plans to more than triple the number of its hotels in the Middle East. France-based Accor which has 25 of its budget Ibis hotels in China; plans to open 20 more this year and about 10 per year over the next few years.

A lot of global hoteliers posted declines in occupancy rates and revenue per available room - a key performance measure - in the first quarter as US and European travelers stayed at home.

Many hotel groups are looking to tap into expected higher economic growth rates in emerging markets. However, offsetting weak US markets with growth from China, India and the Middle East will take time.

For Intercontinental Hotels, the world's largest hotelier, China represents approximately 5% of the group's business and in two years this will grow to 15%.

India on the other hand, is a more complicated market with higher land prices and property ownership laws as opposed to China or Middle East making it a high barrier to entry market.

While, growth in the Middle East and Central Asia could slow to 2.5% in 2009 from 6% in 2008, the IMF said.