The COVID-19 pandemic struck in 2020 with a deadly force taking a toll on people’s lives and affecting businesses, tourism, and trade significantly. As countries are initiating lockdown worldwide to contain the spread of coronavirus, the tourism sector has gone in a slump.
With a ban on traveling and hesitancy of travelers, tourism is on a halt. Countries are facing an economic crisis and heavy losses, especially from the tourist sector. The United Nations World Tourism Organization (UNWTO) has estimated a 20-30% decrease in international tourist arrivals globally in 2020, leading to a staggering potential loss of 30-50 billion US dollars.
Countries with tourism-based economies like the Maldives and the British Virgin Islands are severely affected by COVID-19. With stay home, stay safe slogan, people are avoiding interstate as well as international travels.
Countries affected by COVID-19
Travel restrictions, although necessary, are causing heavy losses to economies. European countries Croatia, Bulgaria are seeing an almost 40% decrease in foreign arrivals.
Australia has already lost 600 million dollars in revenue due to travel restrictions and decreased tourism. Shops are closed, bonuses are suspended, and staff is on unpaid leave due to reduced business.
Asian countries are also feeling the wrath of coronavirus. China has banned national and international travel. South Korean largest traveling agencies are mourning a huge loss of billions of won. India and Indonesia are facing a 65% decrease in foreign trips.
The tourism sector in Mexico provides 4 to 5 million jobs. The COVID-19 pandemic has closed hotels, restaurants, shops, and resorts while the airlines have lost 1.3 billion US dollars. Other countries like Hong Kong, Singapore, Malaysia, Serbia, and many others are also facing a decrease in tourists, restaurant closures, unpaid staff leaves, and shutting down of museums, amusement parks, and other tourist spots.
Industries affected by COVID-19
The industry sector has sustained heavy economic losses and is continuing due to coronavirus. Every business and every life is at a standstill due to this airborne virus. Airlines is one sector that has been hit hardest by the COVID-19.
With a ban on all types of inter-state travel and international travel, the airlines are losing millions of dollars every day. The suspension of international conferences, business meetings, tourism, and vacations the airlines are seeing a skeleton of passengers in 2020 as compared to the previous years.
Casinos are also facing tough times. The jam-packed and noisy casino arenas are now empty and closed. Top gambling destinations like Las Vegas and Macau are experiencing alarming drops in revenue ever recorded in history.
With COVID-19, the cruise industry saw a lot of cancellations. Extensive media coverage of coronavirus and quarantined ships made people wary and fearful. The cruise line canceled all sailings and suffered a massive blow to their revenue and economy.
Travel restrictions and no social contact has caused hotels and restaurants to close. Hotels that can house almost 1000 guests only have a few bookings. Restaurants have shifted to takeaway and online order delivery as COVID-19 surges in strength.
Only necessary traveling is allowed with a mandatory 15-day quarantine period in the fight against the spread of coronavirus.