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Travel restrictions! COVID-19 spreads across the globe

The COVID-19 pandemic continues to spread across the globe. Many countries have imposed travel restrictions to curb the virus dispersal. As a result, international tourism activity in many areas has also been suspended.

 

Tourism industry could lose up to a trillion dollars.

According to the statement of the World Economic Forum President, Børge Brende, the international tourism industry could lose up to a trillion dollars. He also notes that the tourism sector generates around $1.7 trillion in revenues annually. Today, a 70% decline has been documented in the industry and it continues at a rapid pace. He also believes that about 50 million people in this field may lose their jobs. In his opinion, tourism professionals can expect to see some improvements in the situation in the last quarter of 2020.

In addition, Gloria Guevara, president of the World Travel and Tourism Council (WTTC), in her interview with El Mundo underlines that the coronavirus epidemic could cost the world tourism industry $22 billion in damage. This loss is mainly due to a reduction in income from potential tourists from China. These calculations are based on the experience of previous crises (SARS and H1N1 epidemics). During the past crisis, a dramatic decrease in the number of Chinese tourists was documented, as they refused to travel during an ongoing outbreak.

Furthermore, Oxford Economics experts believe that if the crisis lasts as much as in the case of SARS in 2003, then the loss of tourism revenues from coronavirus might amount to $49 billion (€44.6 billion) or even 73 billion dollars (€66.5 billion) if the spread of the virus continues.