EUROPEAN TOURISM INDUSTRY AND IMPACT OF COVID-19

Tourism is one of the sectors most affected by the Covid-19 outbreak. Travel restrictions related to the coronavirus pandemic have decimated the tourism industry, a major player in the EU economy.  

Facts and Figures

1. Europe accounts for half of the world's tourist arrivals and the situation is particularly hard for European countries that are dependent on tourism, such as Spain, Italy, France and Greece.
2. 27 million people work directly or indirectly in the EU’s tourism sector.
3. The tourism sector accounts for 10-11% of the EU’s GDP
4. The tourism sector provides 12% of employment in the EU
5. The tourism sector is composed of nearly 3 million businesses, 90% of which are SMEs, employing an estimated 12.3 million people
6. Tourism represents 13,1 % of GDP in Italy, 14,9 % in Spain 17,8 % in Portugal  20,2 % in Greece and 9 % in France

Impact of COVID 19

1. Hotels and restaurants 50% drop in revenues
2. Monthly loss of foodservice revenues (Netherlands 58%, Germany 60%, France 51%, UK 52%, Italy 76%, Spain 77%)
3. Tour operators: 70% drop in revenues
4. Cruises and airlines: 90% drop in revenues
5. The  EU tourism industry is estimated to be losing € 1 billion in revenue per month
6. Italy stands to lose around 60% of its tourists this year.
7. The World Travel and Tourism Council (WTTC) predicts that 6.4 million jobs will be lost in the travel and tourism sector in Europe.
8. European airports to lose 700 million passengers (-28%) and € 14 billion in revenue in 2020
9. WTTC believes that once the outbreak is under control, it will take up to 10 months for the tourism sector to return to its normal levels.