GLOBAL ECONOMY COULD LOSE OVER $4 TRILLION DUE TO COVID-19

Wed 30 June 2021:

The global economy could loose around $4 trillion due to the impact of the COVID-19 pandemic on the tourism industry in 2020 and 2021, a report by the United Nations World Tourism Organization and the UN Conference on Trade and Development (UNCTAD) said in a report on Wednesday.

The report stated that the financial damage could be linked to the direct impact of the pandemic on tourism as well as the “ripple effect” on other sectors closely linked to the industry.

International tourism and closely linked sectors lost $2.4 trillion in 2020 due to a drop in international tourist arrivals and it’s estimated that a similar loss may occur this year unless more people receive COVID-19 vaccines worldwide.

“The world needs a global vaccination effort that will protect workers, mitigate adverse social effects and make strategic decisions regarding tourism, taking potential structural changes into account,” the acting secretary-general of the UNCTAD, Isabelle Durant, said.

The report predicts a loss between $1.7 trillion and $2.4 trillion in 2021 even though a rise in international tourism is expected in the second half of this year.

It is added that the reduction in tourism has caused a 5.5% rise in unemployment of unskilled workers.

The tourism sector is expected to recover faster in nations where the vaccination rates are much higher, such as France, Germany, Switzerland, the United Kingdom and the United States.

FOLLOW INDEPENDENT PRESS:

TWITTER (CLICK HERE)
https://twitter.com/IpIndependent