On Wednesday, a study conducted by the UN cited that global revenue generated by the tourism sector is set to fall by at least USD$3.3 trillion (102.61 trillion baht) due to coronavirus-initiated complications in various nations.
The report, aptly titled “Covid-19 and Tourism”, was released by the United Nations Conference on Trade and Development (UNCTD), hinged on the three possible global scenarios for the tourism industry, with the quarantine measures lasting four, eight, and 12 months.
According to the report, global revenues would fall by USD$1.17 trillion (36.38 trillion baht), USD$2.22 trillion (69.03 trillion baht), and USD$3.3 trillion (102.61 trillion baht), respectively.
The above figures would constitute between 1.5 percent and 4.2 percent of the world’s gross domestic product. According to the report:
“International tourism has been almost totally suspended, and domestic tourism curtailed by lockdown conditions imposed in many countries.”
While the report had not stated which of the three scenarios are possible, an official from UNCTAD said:
“Although some destinations have started slowly to open up, many are afraid of international travel or cannot afford it due to the economic crisis.”
According to the official, the middle scenario “could be a realistic one.”
As stated in the report, both Thailand and France are estimated to lose USD$47 billion (1.46 trillion baht) each in the sector.
The US, according to the report, would brunt the highest loss in all three scenarios.
The US is predicted to experience a USD$187 billion (5.8 trillion baht) drop in tourism development.
The US is also set to drop by USD$538 billion (16.7 trillion baht), in its ‘worst-case’ scenario.
The UN report covered more than 65 countries in total.
Source: Bangkok Post