Tourism Sector in Spain Could Lose More Than 40 Billion Euros This Summer

These plans were presented by the Secretary of State for the Interior, Rafael Pérez Ruiz, and the Secretary of State for Tourism, Isabel Maria Oliver Sagreras, in Malaga.

According to the European Commission forecast, the Spanish economy will contract by nearly 11 per cent this year due to the pandemic.

Last month, authorities in Spain decided to allocate more than 4.2 billion euros [4]in an effort to revive the tourism sector, which has been devastated by the  Coronavirus.

A total of 12 per cent of GDP is depended on the tourism sector.

Europe Continues to Seek New Ways to Revive Tourism

Earlier in June, Members of the European Parliament insisted [5]that more concrete actions should be taken and more safely resume travel.

The European People’s Party urged the EU Commissioners to undertake the necessary measures to reboot tourism[6], which they asserted is one of the most affected industries by the Coronavirus crisis.

In an open letter sent to the European Commissioner for Internal Market Thierry Breton, Commissioner for Justice and Consumer protection Didier Reynders, Commissioner for Transport Adina Valean, and the Commissioner for Health Stella Kyriakides, the EPP called on making tourism a priority in the recovery strategy from the Coronavirus.

Through the letter, the group highlighted that the tourism industry and travel is an essential player in the EU’s economy. The group reminded that in 2019 alone, the sector contributed 9.5 per cent to EU GDP and accounted for 11.2 per cent of the total labour force – about 22.6 million jobs.

The president of the French Union of Hotel Trades and Industries (UMIH), Laurent Duc estimated that the tourism industry would be in a turmoil for the next 18 months [7]at least, due to the Coronavirus developments,

According to the World Travel and Tourism Council, Europe is on track to lose 18.4 million tourism-related jobs and $1 trillion in GDP in 2020.

Spain May Be Added to the “Red” List

On June 21, Spain reopened country’s borders for all European Union and Schengen countries (except for Portugal with which the boundaries have been opened on July) despite EU’s recommendation to lift internal border restrictions by June 15.

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