Tourism will also recover from this crisis
Tourism will be one of the sectors most affected by the COVID-19 pandemic, as this sector cannot be isolated from the local, national or global context in which it operates. Many jobs are being threatened around the world and especially in the Mediterranean region, because whether it is a matter of epidemics, pandemics, wars, economic crises or natural disasters, what happens in the environment also affects tourism.
Because of its transversal nature, the tourism sector impacts on 70 other economic activities and represents 10% of the GDP and 10% of employment in the world. Of the 7.2 billion inhabitants of the planet, 1.5 billion crossed some border for leisure travel in 2019. Revenue generated by tourism increased to $1.7 trillion, reaching almost $5 billion per day. A record figure. In the last decade, tourism growth has been dizzying with 69% more international tourists and the consequences of this will depend on what type of management is in place. If responsible, tourism will stimulate inclusive growth, create jobs and SMEs, attract investment and boost the economy.
The Mediterranean is the world's leading tourism area with nearly 400 million tourists: it accounts for 32% of all international tourist arrivals and 30% of global tourism revenues. It accounts for 13% of exports, 23% of the service sector and employs over 20 million people. In the Mediterranean, tourism is a driving force for growth and can also be a driving force for economic recovery, as it can lead to job creation and cover the need for external financing due to increased foreign inflows. This capacity to draw in other sectors and its collateral benefits have multiplier effects.
In the past, the tourism sector has demonstrated its capacity to overcome crises and adapt to changes, boost growth and create jobs, despite the economic and geopolitical challenges of terrorism or natural disasters. Optimism is key, but change is needed. The crisis forces us to rethink the economic model. It is necessary to examine ways of doing and finding new paths for commercialization, reinvention and growth. It is necessary to work with the territories, review social tourism and take care of heritage; in short, bet on sustainable tourism. The very prospect of climate change poses a serious threat to development and sustainability. There are many decisive challenges for the future, particularly in terms of tourism management, climate and environment, strategy and sustainability. There is an urgent need to strengthen existing offerings in all Mediterranean countries, both for their cultural diversity and for their historical importance, with special emphasis on the great existing biodiversity.
Coming out of this great crisis and placing value on tourism in the Mediterranean is the most obvious response. But what is the strategy? What resources will economic players and communities put in place? The exchange of methods and coordination between the countries on both shores should be the priority.
Governments, the private sector and the international community must work together to overcome COVID-19 and the unprecedented social and economic crisis. However, the capacity to stimulate will vary considerably from country to country. Several factors will come into play, such as infrastructure, human resources, economic capacity and even political factors. There is an urgent need to mitigate the impact of the crisis, ensure the recovery of tourism and allow the sector to play a leading role in the overall recovery.
To accelerate recovery, it is necessary to boost stimulus measures and provide financial incentives for tourism investment and exploitation and to prepare for the future. Provide incentives for job preservation, support SMEs and startups in the sector and protect the most vulnerable groups. Review taxes, charges and regulations affecting transport and tourism. Ensure consumer protection and confidence. Promote events and conferences. Promote new jobs and the acquisition of skills, especially digital skills. Include tourism in national, regional and global economic emergency mechanisms to restore confidence and stimulate demand. Create crisis management mechanisms and strategies. In conclusion, prioritise tourism in national, regional or international recovery programmes and development aid.
Although the situation is alarming, the picture is not so bleak. There is a great capacity, an enormous potential to regain a vital place in national economies within the framework of sustainable development priorities. The pandemic is an unprecedented opportunity to reconfigure the sector and ensure not only its growth but also its sustainability, with inclusion and accountability as priorities. It is time to diversify markets, products and services. Invest in market analysis systems, economic intelligence and digital transformation, and in human capital and talent.
So far, national tourism interests and competitiveness among Mediterranean countries have prevailed. The time has come to invest in regional cooperation and the will to join forces in order to emerge stronger from this pandemic. We must continue. It is possible to face challenges, uncertainties, pandemics and the challenge of climate change in a better organised way and with better prospects for long-term sustainability. Once again, tourism will also recover from this crisis.