Italy tourism

Impact of Covid-19: Italy’s tourism sector set to contract by 100 billion euros

The impact of the ongoing Covid-19 pandemic on Italy’s tourism sector could reach 100 billion euros ($118 billion), far more than previous estimates, according to studies.

Studies published on Monday by Confiturismo and Assoturismo, two of Italy’s most important industrial groups, indicated that the amount corresponded to more than 6% of the country’s GDP at the end of last year, which, according to the Monetary Fund international, was 2.014 trillion dollars, reports the Xinhua news agency.

If this is correct, it would mean that the tourism sector, which accounted for 13.3% of Italian GDP last year, will have almost halved this year.

Studies indicate that 65 million fewer visitors came to Italy between June and August alone.

“At the end of March, we had hypothesized that the tourism sector would lose 100 billion euros this year and at the time this seemed like an overly dramatic view,” Luca Patane, president of Confiturismo, said in a statement. .

“But every day we are getting closer and closer to that number becoming a fact.”

Monday’s figure dwarfs other estimates.

Recently, the World Travel and Tourism Council released an estimate that Italy’s tourism sector will suffer losses of 36.7 billion euros this year, from which the group said the country’s economy will not would not recover for several years.

For their part, Confiturismo and Assoturismo said that without government help, the sector could suffer irreparable damage.

They noted that while domestic tourism increased by 1.1% this summer, this was easily offset by a 66% drop in foreign arrivals.

Italy’s tourism sector was completely shut down between March and May due to the country’s nationwide coronavirus lockdown.

Italy began easing restrictions in May, but tourism figures have not picked up.

–IANS

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(Only the title and image of this report may have been edited by Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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