The crash in international tourism due to the coronavirus pandemic could cause a loss of more than $4 trillion to the global GDP for the years 2020 and 2021, according to an UNCTAD report published on 30 June. The estimated loss has been caused by the pandemic’s direct impact on tourism and its ripple effect on other sectors closely linked to it.

The report, jointly presented with the UN World Tourism Organization (UNWTO), says international tourism and its closely linked sectors suffered an estimated loss of $2.4 trillion in 2020 due to direct and indirect impacts of a steep drop in international tourist arrivals. A similar loss may occur this year, the report warns, noting that the tourism sector’s recovery will largely depend on the uptake of COVID-19 vaccines globally.

“The world needs a global vaccination effort that will protect workers, mitigate adverse social effects and make strategic decisions regarding tourism, taking potential structural changes into account,” UNCTAD Acting Secretary-General Isabelle Durant said. UNWTO Secretary-General Zurab Pololikashvili said: “Tourism is a lifeline for millions, and advancing vaccination to protect communities and support tourism’s safe restart is critical to the recovery of jobs and generation of much-needed resources, especially in developing countries, many of which are highly dependent on international tourism.”

With COVID-19 vaccinations being more pronounced in some countries than others, the report says, tourism losses are reduced in most developed countries but worsened in developing countries. COVID-19 vaccination rates are uneven across countries, ranging from below 1% of the population in some countries to above 60% in others.

According to the report, the asymmetric roll-out of vaccines magnifies the economic blow tourism has suffered in developing countries, as they could account for up to 60% of the global GDP losses. The tourism sector is expected to recover faster in countries with high vaccination rates, such as France, Germany, Switzerland, the United Kingdom and the United States, the report says.

But experts don’t expect a return to pre-COVID-19 international tourist arrival levels until 2023 or later, according to UNWTO. The main barriers are travel restrictions, slow containment of the virus, low traveller confidence and a poor economic environment.

A rebound in international tourism is expected in the second half of this year, but the UNCTAD report still shows a loss of between $1.7 trillion and $2.4 trillion in 2021, compared with 2019 levels. The results are based on simulations that capture the effects of international tourism reduction only, not policies such as economic stimulus programmes that may soften the pandemic’s impact on the sector.

The report assesses the economic effects of three possible scenarios – all reflecting reductions in international arrivals – in the tourism sector in 2021. The first one, projected by UNWTO, reflects a reduction of 75% in international tourist arrivals – the most pessimistic forecast – based on the tourist reductions observed in 2020.

In this scenario, a drop in global tourist receipts of $948 billion causes a loss in real GDP of $2.4 trillion, a two-and-a-half-fold increase. This ratio varies greatly across countries, from onefold to threefold or fourfold.

This is a multiplier and depends on the backward linkages in the tourism sector, including the unemployment of unskilled labour, according to the report. For example, international tourism contributes about 5% of the GDP in Turkey and the country suffered a 69% fall in international tourists in 2020. The country’s fall in tourism demand is estimated at $33 billion and this leads to losses in closely linked sectors such as food, beverages, retail trade, communications and transport.

Turkey’s total fall in output is $93 billion, about three times the initial shock. The decline in tourism alone contributes to a real GDP loss of about 9%. This decline in reality was partly offset by fiscal measures to stimulate the economy.

The second scenario reflects a 63% reduction in international tourist arrivals, a less pessimistic forecast by UNWTO. And the third scenario, formulated by UNCTAD, considers varying rates of domestic and regional tourism in 2021.

It assumes a 75% reduction of tourism in countries with low vaccination rates, and a 37% reduction in countries with relatively high vaccination rates, mostly developed countries and some smaller economies. According to the report, the reduction in tourism causes a 5.5% rise in unemployment of unskilled labour on average, with a high variance of 0% to 15%, depending on the importance of tourism for the economy.

Labour accounts for around 30% of tourist services’ expenditure in both developed and developing economies. Entry barriers in the sector, which employs many women and young employees, are relatively low.

In July last year, UNCTAD estimated that a four- to 12-month standstill in international tourism would cost the global economy between $1.2 trillion and $3.3 trillion, including indirect costs. But the losses are worse than previously expected, as even the worst-case scenario UNCTAD projected last year has turned out to be optimistic, with international travel still low more than 15 months after the pandemic started.

According to UNWTO, international tourist arrivals declined by about 1 billion or 73% between January and December 2020. In the first quarter of 2021, the UNWTO World Tourism Barometer points to a decline of 84%.

Developing countries have borne the biggest brunt of the pandemic’s impact on tourism. They suffered the largest reductions in tourist arrivals in 2020, estimated at between 60% and 80%.

The most-affected regions are North-East Asia, South-East Asia, Oceania, North Africa and South Asia, while the least-affected ones are North America, Western Europe and the Caribbean.

The Bahamas welcomed Frontier Airlines' inaugural flight yesterday with great excitement as it landed at the Lynden Pindling International Airport. Frontier is the first ultra-low cost carrier to enter the Caribbean market with multiple travel days per week.  

As travel continues a steady return, The Bahamas is eager to welcome back visitors with more flight options and deals this summer. Frontier will operate direct flights from Miami International Airport (MIA) to Nassau (NAS) four times a week, starting July 2021.

Frontier will operate direct flights from Miami International Airport (MIA) to Nassau (NAS) four times a week. Minister of Tourism & Aviation, the Hon. Dionisio D'Aguilar, was among the officials gathered at the Sir Lynden Airport this afternoon to greet the inaugural flight and he expressed warm words of welcome.

"I am honoured and excited that Frontier Airlines has decided to partner with The Bahamas, particularly at this critical juncture, as we engage on the path of tourism recovery and economic restoration following a devastating hurricane and most recently, the COVID-19 pandemic. I take this opportunity to extend a warm Bahamian welcome to you and to express our sincere appreciation for your partnership."

The addition of Frontier Airlines to the growing number of air carriers servicing The Bahamas comes as a result of the ongoing drive by the Ministry of Tourism & Aviation and key industry partners to expand airlift to the destination. A robust increase in airlift from major source markets figures as a key element in the Ministry's overall strategy for tourism recovery.

"Frontier Airlines' multiple flights per week provide a breath of fresh air to our tourism economy as this air link connects our destination to the hub of the Southeastern USA, including Florida, a market from which we annually attract a significant share of our visitors," said Minister D'Aguilar.

Leading international boutique hotel group, The Pavilions Hotels & Resorts, proudly announces the launch of its new and highly anticipated hotel brand, Explorar Hotels & Resorts, with its first resort - Explorar Pawapi Koh Mook, opening on 01 October 2021. The inaugural 24 key resort sits on an unspoilt stretch of private sandy beach on the peninsula of Koh Mook Island in Southern Thailand's secluded province of Trang.

The name, 'Explorar' meaning 'Explore' in Spanish, was inspired by the heritage of one of the world’s first great explorers, Christopher Colombus, who first started traversing and uncovering new lands in the 15th century. Explorar Hotels & Resorts is aimed at the millennial traveller looking for a light-hearted space in which to socialise, make local connections, and enjoy easy, fun living whilst enjoying a meaningful experience that provides value to the community.  

Offering modern-day travellers the opportunity to explore and enjoy destinations from a vibrant, comfortable base, the Explorar crew is central to ensuring they get the most from their stay, utilising their local knowledge to ensure easy access for guests. The crew at each hotel or resort is a small and dynamic team of local experts who will work across multiple areas. The focus is on building relationships with guests and providing insight into the destination, and ensuring a hotel experience that is easy and uncomplicated, where everything is within reach. Explorar will offer hotels and resorts a new vibrant energy; 'The Exchange', a social space traditionally dedicated to a lobby or reception, is reinterpreted as somewhere to exchange information, to grab something to eat, a local snack or something more, and to talk about tales of adventures over a cocktail or local brew with other guests or one of Explorars' crew members. 

Focused on creating a community and engaging socially with guests and the world through the website and social media platforms, Explorar hotels’ online exchange will be an organic forum that will allow guests to interact, gather information and ask questions, from recommendations on other hotels in the group to local restaurants.

Explorar Pawapi Koh Mook will provide guests with a genuinely untouched, quintessentially Thai island paradise experience. Bungalows and villas are located directly on the white sandy beach, with an open-air restaurant offering authentic Thai cuisine alongside creative culinary experiences. Guests will be spoilt for activities in the resort and adventures within the surrounding areas. Spa salas are dotted through the island landscape offering traditional Thai spa treatments to the soundtrack of the ocean lapping on the beach and the tall palm trees swaying in the tropical breeze.  The lobby, or The Exchange, will house a pool of local knowledge via a 'Walls of Discovery', an old school place for guests to pin up their stories and experiences, in analogue form, for the next traveller looking to explore Koh Mook and create their own memories.

Koh Mook Island is one of Thailand's hidden gems. It lies between Trang and Krabi on the west coast of southern Thailand, providing panoramic views of the Andaman Sea, with Koh Lanta to its North and Koh Lipe to its South. Renowned for its Emerald Cave - where the only way to enter is to swim under dark limestone to reach a magical hidden and secret beach - it also allows visitors to participate in activities such as dugong observation and scuba diving in some of the clearest waters of the Kingdom.

Explorar Hotels & Resorts is looking to develop within Asia and Europe both into urban and resort’s locations and offers four innovative themes depending on the hotels' location and unique experiences. Beach, Eco, Cultural and Urban themes unite the brand and offer the traveller clear choices for their individual experience. 

Explorar Pawapi Koh Mook will open its doors to guests after an extensive upgrade on 01 October 2021.

Caribbean Airlines is making plans to cut down on approximately 450 employees as part of a restructuring of the carrier.

The airline, headquartered in Trinidad & Tobago capital Port of Spain, also said it would put a number of aircraft into storage. Caribbean Airlines said the restructuring strategy comes in the wake of the devastating Covid-19 crisis.

“We will need to adjust operations to cater for a reduced scale of demand after the opening of the borders,” explained a statement. “Put simply, passenger demand in the short- to medium-term is not going to recover sufficiently to support the existing company structure,” the airline added.

According to Cirium fleet data, the airline currently has six ATR 72-600 turboprops in operation, as well as seven Boeing 737-800 aircraft. It has five Boeing 737 Max planes on order.

The carrier did not say how many aircraft it will take out of its operating fleet as part of the new strategy. The news comes on the same day that Caribbean reported first quarter 2021 results.

The carrier posted a $26 million loss for the period, and a 75 per cent decline in revenue, compared to the same three months in 2020.

Qatar Airways is proud to announce that it has signed a codeshare agreement with the newest member of oneworld, Alaska Airlines, further strengthening its position as the ideal choice for international passengers travelling to and from the United States. Qatar Airways will be Alaska Airlines only Middle East partner, providing seamless connectivity between the U.S. carrier's hubs and the Gulf carrier’s global network of more than 140 destinations via the Best Airport in the Middle East, Hamad International Airport in Doha.

Starting 1 July 2021, the agreement will enable Qatar Airways passengers to book travel and easily connect to more than 150 of Alaska's routes including Portland, Las Vegas, San Diego, Phoenix, Salt Lake City, Denver, San Jose, Anchorage and Vancouver. The second phase of the agreement will allow Alaska Airlines passengers to book travel on all of Qatar Airways’ flights between the U.S. and Qatar and beyond to their favourite destinations in Africa, the Middle East, and South Asia.

Qatar Airways Group Chief Executive, His Excellency Mr. Akbar Al Baker said: “This is an important step in advancing our commercial cooperation with Alaska Airlines as we welcome the newest member of the oneworld alliance to Qatar Airways’ list of strategic partners. This agreement, combined with our existing partnerships, will help consolidate our presence in the region and provide Qatar Airways passengers travelling to and from our 12 U.S. gateways with access to the most comprehensive network of seamless connections across the United States.

“As we expand services to Alaska’s key hubs of Seattle, San Francisco and Los Angeles, we look forward to implementing the next phase of this strategic partnership and welcoming on board Alaska Airlines passengers as we connect them to our global network of over 140 destinations via the Best Airport in the Middle East, Hamad International Airport.”

“We’re thrilled to be a part of this evolving partnership with Qatar Airways, one of world’s premier airlines,” said Ben Minicucci, Alaska Air Group CEO. “As international air travel resumes, it’s important to provide our guests with easier, more convenient travel options to get out and see distant places again. That’s why our new codeshare agreement between our two airlines is such a big deal. Qatar’s nonstop flights from our hubs in Seattle, San Francisco and Los Angeles to Doha and points beyond offers our guests tremendous opportunities to visit nearly any country they want.”

As oneworld alliance partners, Qatar Airways Privilege Club and Alaska Airlines Mileage Plan members are ensured recognition of their tier status and can enjoy a wide range of benefits including access to lounges worldwide, through check-in, extra baggage allowance, priority check-in and boarding plus accrual and redemption of miles, across the partner carriers’ networks.

Qatar Airways offers more than 100 weekly flights to 12 destinations in the U.S. - Atlanta (ATL), Boston (BOS), Chicago (ORD), Dallas-Fort Worth (DFW), Houston (IAH), Los Angeles (LAX), Miami (MIA), New York (JFK), Philadelphia (PHL), San Francisco (SFO), Seattle (SEA) and Washington, D.C. (IAD).

As we welcome travellers onboard our flights, they can take comfort knowing that they are travelling with the only airline in the world that has, together with its state-of-the-art global hub Hamad International Airport, achieved four 5-Star Skytrax ratings – including the prestigious 5-Star Airline Rating, 5-Star Airport Rating, 5-Star COVID-19 Airline Safety Rating and 5-Star COVID-19 Airport Safety Rating. These achievements highlight Qatar Airways’ commitment to providing its passengers with an industry-leading experience at every point of their journey, including the highest possible level of health and safety standards that safeguard the wellbeing of its passengers both on the ground and in the air.

Qatar Airways has also received industry recognition for its ground-breaking Business Class experience, Qsuite. The Qsuite seat layout is a 1-2-1 configuration, providing passengers with the most spacious, fully private, comfortable and social distanced Business Class product in the sky. Qsuite is available on flights to more than 45 destinations including Johannesburg, Maldives, Riyadh and Singapore. 

The Caribbean Hotel and Tourism Association (CHTA) and the American Society of Travel Advisors (ASTA) have teamed up to strengthen the relationship between travel advisors and the region.

The partnership between the two organizations is intended to generate synergies in areas such as advocacy, information exchange, and cross-organizational membership.

Vanessa Ledesma, Acting CEO and Director General of CHTA, sees great value in the networking opportunity, noting that travel advisors represent a valuable untapped channel for growth: “This is an enormously smart partnership, which gives our members direct access to ASTA, the leading trade association for travel advisors, the travel industry and the traveling public.”

She added: “We are seeing an increasing trend in travellers’ booking behavior, in that they are relying on travel advisors more and more to help them make decisions. This trend gives CHTA members further opportunity to connect with more clients.”

Under the agreement, CHTA members will be offered a 50-percent discount to join ASTA, available through mid-July. Further details can be found at https://caribbeanhotelandtourism.com/member-product-discounts.

“We are excited to announce this partnership between the Caribbean Hotel and Tourism Association (CHTA) and the American Society of Travel Advisors (ASTA),” said Christina Salu, Membership Director of ASTA. “Our job is to help generate new business leads and B2B opportunities – helping to expand your reach and increase tourism to the Caribbean. With over 13,000 members and growing, ASTA is the leading trade association for travel advisors, the travel industry, and the traveling public. Our membership represents 80 percent of the travel sold from the U.S. agency industry.

“We not only want to help you understand the U.S. travel market, but we also want to help you build brand awareness and strong partnerships with U.S.-based travel agencies that are looking for trusted suppliers, tour operators and DMCs in the Caribbean,” said Salu.

Ledesma expects a productive partnership for CHTA members aligning with ASTA: “CHTA members will be able to use the ASTA logo, be listed in ASTA’s member directory and their quarterly magazine Travel Advisor, gain access to ASTA’s global network of travel professionals, and benefit from discounts on products and events as well as the use of industry resources to help save time and money.”

In addition to sharing the benefits of critical member news, contacts and industry updates, the two associations will also collaborate on crafting advocacy strategies critical to the speedy and successful return to pre-pandemic levels of business.

“It’s been a rough pandemic for us and for our visitors and we want to make use of our partnership to broaden the reach of our messaging and to strengthen the impact of our Caribbean region promotions to enable a rapid return to normalcy and profitability,” Ledesma added.

Ledesma was upbeat about the newly minted partnership’s potential to jointly identify new business leads and business-to-business opportunities: “CHTA looks forward to helping ASTA and its global network of travel professionals expand their reach into the Caribbean, which obviously is good for us all.”