Covid robs tourism by the billion

LONDON, 25 August 2020: Visa service provider Official-esta.com has looked into which countries have suffered the biggest revenue loss, alongside the highest percentage of GDP lost to reveal the financial impact of Covid-19 on world tourism.

As the country with the most reported Covid-19 cases, the USA (5.7 million cases) suffered the biggest drop in revenue with a loss estimated at USD30,709 million.

With a reported drop of 98% in international tourist arrivals in June, Spain has the second-largest revenue loss of USD9,741 million.

France is the world’s most visited country, with over 89 million tourists each year, but the impact of Covid-19 has resulted in a revenue loss of USD8,767 million.

The Caribbean islands make up 50% of those who have suffered the highest percentage loss in GDP, with the Turks and Caicos Islands, Aruba, Antigua and Barbuda, St. Lucia and Grenada all ranking in the list of the top 10 worst affected.

Combining each country’s loss in revenue, the financial impact of Covid-19 on world tourism has resulted in a revenue loss of USD195 billion worldwide so far.

In 2019, global travel and tourism contributed USD8.9 trillion to the world’s GDP, yet due to the current pandemic, the financial impact of Covid-19 on world tourism has resulted in a revenue loss of USD195 billion worldwide in the first four months of 2020.

 Official ESTA director of international development Jayne Forrester commented: “Taking into account how travel and tourism contribute USD8.9 trillion to the world’s GDP alone, it is devastating to see a total loss of USD195 billion worldwide in the first four months of 2020 alone. 

“As travel bans have started to ease off from July, we only hope that we see no more significant losses to one of the largest growing sectors in the world.”

Methodology
Data drawn from the World Travel and Tourism Council report on the impact Covid-19 has had on the travel industry. GDP data are taken from The World Bank. Data correct as of July 2020. Data available here

About Official ESTA
Official ESTA is an online visa application and assistance processing firm, founded in 2011. It offers a simple step by step process for people to apply for their ESTA visa waiver that is required by anyone visiting the United States.

The countries with the biggest tourism revenue loss due to COVID-19:

Rank Country Revenue Loss
1 United States $30,709m
2 Spain $9,741m
3 France $8,767m
4 Thailand $7,822m
5 Germany $7,225m
6 Italy $6,187m
7 United Kingdom $5,816m
8 Australia $5,674m
9 Japan $5,428m
10 Hong Kong SAR, China $5,020m

The countries which have lost the highest % of GDP due to loss of tourism: 

Rank Country % of GDP loss
1 Turks and Caicos Islands 9.2%
2 Aruba 9.0%
3 Macao SAR, China 8.8%
4 Antigua and Barbuda 7.2%
5 Maldives 6.9%
6 St. Lucia 6.2%
7 Northern Mariana Islands 5.9%
8 Grenada 5.5%
9 Palau 5.2%
10 Seychelles 4.6%