Croatia among the three most affected countries in tourism – Travel Magazine

The world tourism sector could lose at least $ 1.2 billion or 1.5% of global GDP, due to a standstill of almost four months, caused by a coronary virus pandemic, according to the latest UNCTAD report.

In a report released on July 1, the UN body for trade and development dealt with the economic consequences of the COVID-19 pandemic, estimating losses in three scenarios, depending on the duration of the “break” in international tourism – from four, eight and 12 months.

If the standstill lasts for eight months we would face the global with a loss of $ 2.2 billion or 2.8% of world GDP, while in in the pessimistic scenario, a 12-month break meant a loss of a staggering $ 3.3 billion or 4.2% of global GDP!

Take a look at the five European countries that depend on tourism, as well as which European destinations are considered the safest for summer vacations in the middle of the crown. Find out how much decline Croatian tourism recorded in the first half of June.

Although tourism has slowly re-emerged in a growing number of countries, in many countries this restart has been halted after the rise of new infections and a very difficult epidemiological situation.

“For many countries, such as small island developing states, a collapse in tourism also means a collapse in their development prospects,” said UNCTAD International Trade Director Pamela Coke-Hamilton.

However, countries that depend most on tourism are the most affected, such as Croatia, Greece, Spain, but also Thailand, Jamaica…

Jamaica, Thailand and Croatia in the top three of the 15 most affected countries

Analyzing the impact of tourism losses on the share of industry in national GDP, UNCTAD estimates that Jamaica and Thailand could lose 11% and 9% of GDP, respectively.

According to UNCTAD’s “moderate” estimates, Croatia could lose 8% of GDPa, while Portugal could lose 6% and the Dominican Republic 5%, he writes Morning paper.

Among the 15 most affected countries are also Kenya, Morocco, Greece, Mauritius, Senegal, Ireland, Egypt, South Africa, Malaysia and Spain. UNCTAD has warned that it will the tourism sector to be under great pressure in many rich countries as well, listing popular European and North American destinations, including France, Italy and the United States.

Impact on business and earnings

UNCTAD estimates show that in the hardest hit countries, such as Thailand, Jamaica and Croatia, cheap labor employment could be in sharp decline with a double-digit rate, even in the best-case scenario.

In the case of wages for skilled workers, the fastest decline is estimated to be in Thailand (-12%), Jamaica (-11%) and Croatia (-9%), in the optimistic case, while these figures doubled in the worst case scenario.

The effects can be especially negative for women, who are expected to be in a worse position than men, the report said.

There are far more women entrepreneurs in tourism than men, and the fairer sex make up about 54% of workers in the accommodation and food services sector. Plus, many women in the sector work part-time in low-skilled jobs, so it is very likely that they will not receive unemployment benefits or other types of assistance.

Governments are called upon to protect workers and support the recovery of tourism

“Losses in tourism caused by the corona virus have an impact on other economic sectors that supply goods and services that travelers seek during holidays, such as food, drink and entertainment,” the report said.

UNCTAD called to enhanced social protection in affected countries in order to prevented the worst economic difficulties for people and communities that depend on tourism.

“Where some companies are unlikely to recover, wage subsidies should be designed to help workers retrain in other industries.”

“Governments should also help tourism companies facing bankruptcy, such as hotels and airlines. “One of the ways of financial relief is loans with low interest rates,” said UNCTAD.

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