In the first 5 months of the year, global tourism lost 320 billion USD

01/08/2020

According to information from the United Nations World Tourism Organization (UNWTO), the damage to the global tourism industry due to Covid-19 has been three times greater than the damage caused by the 2009 economic crisis.

Countries closed their borders and issued travel restrictions/bans to deal with the pandemic, virtually freezing the tourism industry globally.

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According to the latest UNWTO World Tourism Barometer, international tourist arrivals fell 98% in May compared to the same period in 2019. From January to May 2020, tourist arrivals fell by more than 50% compared to last year. This resulted in a loss of approximately 300 million tourists and $320 billion in global tourism revenue – more than three times the loss during the 2009 global economic crisis.

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UNWTO Secretary-General Zurab Pololikashvili said: “This latest Barometer data shows the importance of restarting tourism as soon as it is safe to do so. The huge losses in the tourism industry threaten the lives of millions of people, including citizens in developing countries.

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Every government in the world has a dual responsibility: to prioritize public health and to protect jobs and businesses. In the face of this common challenge, they also need to maintain the spirit of cooperation and solidarity we have spoken of and refrain from unilateral decisions that could undermine the trust and confidence we are working to build."

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While tourism is gradually recovering in some regions, the UNWTO Confidence Index has fallen to a record low, including the January-April assessment and the May-August outlook for this year. Most members of the UNWTO Tourism Expert Panel expect international tourism to recover in the second half of 2021.

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The experts are deeply concerned about travel restrictions and border closures in many countries, the continued stalemate in major tourism markets such as the United States and China, concerns about safe travel, new virus waves and the risk of new lockdowns. Furthermore, concerns about the lack of reliable information and the deteriorating economic environment are also cited as key factors undermining traveler confidence.

My Tong Source: Synthesis
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