Probably the most visible impacts of COVID-19 are seen from the tourism industry. What will be the extent of the losses brought on by COVID-19 on the Philippine tourism industry and also to the national economy?
As a backdrop, The Department of Tourism (DOT) reported February 2019 that the country exceeded its 2019 international tourist arrivals target of 8.2 million with 8.26 million overseas visitor arrivals listed last year.
The department said that the record-breaking foreign tourist arrival was 15.24% increase in 2018’s 7.16 million foreigner arrivals. The report stated that except for January 2019, there was double-digit growth in most months of the year with the most significant growth rate listed at 27.54 percent in August.
South Koreans remain the top tourists of the nation, with a total of 1.98 million arrivals or 22.48% growth. They’ve been holding the spot. China was the second top tourist market with 1.74 million visitors or a 38.58 percent increase while the United States comes 3rd with 1.06 million arrivals, roughly a 2.90% increase. In 4th and 5th places were Taiwan and Japan with 327, 273, and 682, 788 in the total number of arrivals. The two nations posted a rise of 8.07 percent and 35.01 percent, correspondingly last year. The seven, which made up the remainder of the top 12 visitors markets in the nation, is comprised of Australia, Canada, the United Kingdom, Singapore, Malaysia, India, and Germany.
The DOT started its refreshed is “More Fun from the Philippines”, tourism campaign motto in Feb last year. The identical slogan was utilized by the Aquino administration. In using the same slogan, the Duterte administration repurposed it to advocate for sustainable tourism.
Two days before, the National Economic and Development Authority said that if tourist arrivals continue to dwindle until June amid the corona virus situation, the total number of visitors into the nation might drop by 1.42 million, leading to billions of pesos in losses from the tourism industry. COVID-19, GVA, GDP.
Underscoring that Chinese visitors account for 22% of tourist arrivals from the Philippines, NEDA Undersecretary Rosemarie Edillon said that the tourist sector might forego P93 billion into P187 billion in gross value added to the national economics with about 30, 000 to 50, 000 jobs might be lost in the process.
When compared to the original target growth of 6.5 percent to 7.5 percent this year, Edillon further said GDP) growth could also be restricted in the variety of 5.5 to 6.5 percent on account of the situation brought on by COVID-19. The amount of GVA from the productive sectors in economics makes up the gross domestic product of the country.
Measuring the GDP with the GVA strategy eliminates double counting of intermediate inputs utilized in the process of production or services in each sector of the economy.
The Philippines is looking at losing billions of pesos from the tourism sector in the event the number of tourist arrivals from the nation carries on to dwindle amid the coronavirus disease 2019 situation within the nation, an official of the National Economic and Development Authority said Monday. If, for example, this goes on till June, then we are looking at the reduction in tourist arrivals by 1.42 million and after that yung foregone GVA is P93 at 187 billion, NEDA Undersecretary Rosamarie Edillon stated in a Senate hearing. She underscored that Chinese visitors account for 22 percent of tourist arrivals from the Philippines.
Further, about 30, 000 to 50, 000 jobs might be lost amid the COVID-19 threat, according to Edillon. Gross domestic product growth might also be limited in the assortment of 5.5percent to 6.5percent due to the situation, in comparison to the initial target increase of 6.5percent to 7.5percent this year,” she explained. More than a week ago, Bangko Sentral ng Pilipinas Governor Benjamin Diokno said he’s confident that the nation will hit a Gross domestic product growth this year regardless of the COVID-19 scare. And on the other hand, Senator Imee Marcos, who led a Senate hearing on the possible economic effect of COVID-19, stated the true job losses could impact up to 250, 000 workers, citing statistics from the Asian Development Bank.
The Philippine tourism market is currently suffering from the coronavirus disease 2019 outbreak, according to JP Soriano’s report on 24 Oras Wednesday. Basing on data released by the Bureau of Immigration (BOI), the Department of Tourism said tourist arrivals have dropped 41% in February. Hotel and hotel occupancy is down by 27 percent in Cebu, 40% in Boracay and 40% in Bohol. We are bleeding already. It hasn’t spared any of us in the market, whether you are a small business or one of the larger tour operators, tourist congress of the president of the Philippines, Jose Clemente III explained. To prevent the tourism sector from further afield, airlines and resorts have already offered prices in various destinations in the country.
Tourism Secretary Bernadette Puyat said airlines have already started rolling out discounted flights, while DOT accredited hotels have lowered their prices, providing just up to 70% off their published prices. At a discount, a family of four will only spend P15, 000 for round-trip air tickets to Boracay in place of the typical P28, 000. A two nights accommodation for an ordinary family space in Boracay will currently only cost P6, 000 instead of P12, 000. The DOT can be encouraging millennials to use the popular video-sharing program TikTok to promote the area so that they’ve visited. It is an initiative for folks to promote at which they’re to be able to lure more individuals into traveling, Assistant Travel Secretary Howard Lance Uyking explained. The DOT added that President Rodrigo Duterte would visit Boracay in March to encourage Filipino people to travel.