- Airlines have drastically reduced or grounded their fleets.
- As of May 8, the International Civil Aviation Organization (ICAO) estimates that the fall in scheduled international passenger traffic equates to a 44-80% reduction in international passengers. 
- Airports could face a global loss of USD 97 billion.
- An uptick in economic recovery in air travel is not expected until 2021. 

Aviation

- Hotels around the world have reported extremely low occupancy rates or closures on a massive scale.
- Large hotel chains have seen their stock price plunge due to COVID-19. 
- In Europe, it was estimated that 76% of hotels were closed.
- Since February, U.S. hotels have lost an estimated $40 billion in room revenue. 
- The Bureau of Labor Statistics has reported that 7.7 million hospitality and leisure jobs have been lost since April. 

Hotels

- Food and catering service providers have been required to increase social spacing in eating establishments, limit their activity to delivery or pick up only, or shut down their activity completely. 
- In the U.S., the National Restaurant Association estimates that the industry's sales will decline by USD 225 billion from March. 
- Between 5 and 7 million jobs have been lost in the restaurant industry in the US since March. 

Restaurants 

University of Michigan - Ann Arbor

- The impact of COVID-19 can be felt throughout the entire tourism ecosystem as tourism is a significant part of many national economies. 
- The tourism sector, on average, contributes 4.4% of GDP and 21.5% of service exports in OECD countries. 
- Tourism directly contributes 6.9% of employment on average in OECD countries. 
- Estimates from the OECD suggest a 60% decline in international tourism in 2020, rising to 80% if recovery is delayed until December. 
- Domestic tourism, which accounts for 75% of the tourism economy in OECD countries, has also been impacted by quarantine measures. However, it is expected to recover more quickly than international tourism and offers the chance to drive recovery in countries where the tourism sector supports many jobs and businesses. 


Tourism Industry 

OECD. (2020, June 2). Tourism Policy Responses to the coronavirus (COVID-19). Retrieved July 24, 2020, from https://www.oecd.org/coronavirus/policy-responses/tourism-policy-responses-to-the-coronavirus-covid-19-6466aa20/

Tourism Policy Responses to the coronavirus (COVID-19)

Figure of the Direct Contribution of Tourism in OECD Countries 

Impact of COVID-19 on Tourism Industry Branches

- COVID-19 has created the need for tourism policy to adopt an integrated governmental approach so that response measures are consistent and complementary to general economic stimulus packages.
- Government assistance efforts include communication campaigns to help prevent the spread of the virus, support to provide flexibility and relief for companies and workers, and actions to help small and medium enterprises (SMEs) adopt new work processes and find new markets. 
- In the U.S., the travel and tourism sector will benefit from a USD 2 trillion economic stimulus package open to all businesses. The package will be delivered through a mix of cash payments, loans, grants, and guarantees. 

Government Response to Support Tourism Industry

Key priorities and challenges for governments and the tourism sector as it reopens. 

Reopening the Tourism Sector 

An organization involved in the European tourism sector, led by CEO Tom Jenkins.

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