UN: Economy losses due to recession in tourism this year may reach $2.4 trillion

The downturn in the tourism sector caused by the coronavirus pandemic may result in the fact that global GDP will fall from $1.7 trillion to $2.4 trillion in 2021, according to the report of the United Nations Conference on Trade and Development (UNCTAD) published in Geneva, Report informs referring to TASS.

“A revival in international tourism is expected in the second half of this year, however, according to the UNCTAD report, losses of $1.7-2.4 trillion are still expected in 2021 compared to 2019,” the experts stated.

The report contains possible scenarios for the development of the situation. In the most pessimistic scenario, international travel will decline by 75 percent this year. In this case, the tourism sector will lose $948 billion, and global GDP will suffer a total loss of $2.4 trillion. The second scenario is based on an estimated 63 percent reduction in international tourist travel. The third scenario assumes that there will be 75 percent fewer visits to countries with a low level of vaccination against coronavirus. In countries where a significant part of the population has been vaccinated, the tourist flow will decrease by 37 percent. According to the second scenario, the loss of world GDP is projected at $1.7 trillion, and according to the third scenario - $1.8 trillion.

The authors of the report draw attention to the significant impact of mass vaccination on the tourism sector.