Global tourism sector loses US$730 billion
INTERNATIONAL tourism arrivals declined by 79 percent in the first eight months of the year due to Covid-19 induced travel restrictions resulting in the sector losing US$730 billion in potential revenue.
Following the outbreak of the Covid-19 pandemic, which was first detected in China last December, countries around the world swiftly imposed travel restrictions as part of efforts to curb the spread of the deadly respiratory infection.
The United Nations World Tourism Organisation (UNWTO) has said that the global tourism sector continues to be hit hard by the adverse impact of the pandemic. According to the latest UNWTO World Tourism Barometer, international arrivals plunged 81 percent in July and 79 percent in August. Traditionally the two are busiest tourism months of the year and the peak of the Northern Hemisphere summer season.
“The drop until August represents 700 million fewer arrivals compared to the same period in 2019 and translates into a loss of US$730 billion in export revenues from international tourism,” it said.
The UNWTO has said the above figures are more than eight times the loss experienced on the back of the 2009 global economic and financial crisis.
“This unprecedented decline is having dramatic social and economic consequences, and puts millions of jobs and businesses at risk,” the world tourism organisation’s secretary-general, Mr Zurab Pololikashvili, was quoted as saying.
He said this underlines the urgent need to safely restart tourism, in a timely and coordinated manner. All world regions recorded large declines in arrivals in the first eight months of the year. Asia and the Pacific, the first region to suffer from the impact of Covid-19 pandemic, saw a 79 percent decrease in arrivals, followed by Africa and the Middle East (both – 69 percent), Europe (- 68 percent) and the Americas (- 65 percent).
Following its gradual re-opening of international borders, Europe recorded comparatively smaller declines in July and August (- 72 percent and – 69 percent, respectively).
“The recovery was short-lived, however, as travel restrictions and advisories were reintroduced amid an increase in contagions. On the other side of the spectrum, Asia and the Pacific recorded the largest declines with – 96 percent in both months, reflecting the closure of borders in China and other major destinations in the region,” it said.
The UNWTO noted that demand for travel remains largely subdued due to the ongoing uncertainty about the pandemic and low confidence. Based on the latest trends, UNWTO expects an overall drop close to 70 percent for the whole of 2020. The world tourism body said its panel of expects a rebound in international demand by the third quarter of 2021.
“However, around 20 percent of experts suggest the rebound could occur only in 2022. Travel restrictions are seen as the main barrier standing in the way of the recovery of international tourism, along with slow virus containment and low consumer confidence,” said UNWTO.
It said the lack of coordinated response among countries to ensure harmonised protocols and coordinated restrictions, as well as the deteriorating economic environment were also identified by experts as important obstacles for recovery. —chronicle.co.zw
