Will 2022 be year of revival?

New Year has prompted many countries to put in place a revival strategy for their tourism sector. We highlight seven destinations that ahave put deliberate plan in place to ensure another year does not get wasted.

SPAIN

Spain is calling for COVID-19 to be treated as an endemic disease like the flu, becoming the first major European nation to explicitly suggest that people live with it. The idea has gradually been gaining traction and could prompt a re-evaluation of government strategies for dealing with the virus.

SRI LANKA

The Sri Lankan government is all set to declare 2022 as the ‘Visit Sri Lanka Year’ in line with the integrated five-year Global Communication Campaign, as it aims to attract 6 million tourists and $10 billion in earnings by 2025 despite the current challenges. This targeted programme will not be altered even amid the pandemic challenges. Sri Lankan tourism has been recognised as a thrust sector to rebuild the economy.

ABU DHABI

Abu Dhabi’s Department of Culture and Tourism has revised the fee structure for tourism business licences, limiting it to Dh1,000 annually to support and hasten the growth of the emirate’s tourism industry. The fee cap – about 90% lower than earlier overall costs – will be effective this month.

THAILAND

Thailand is planning to collect a 300 baht (US $9) fee from foreign tourists starting in April 2022 to develop attractions and cover accident insurance for foreigners unable to pay for their own costs. Part of the fee will be used to take care of the visiting tourists.

SAUDI ARABIA

Saudi Arabia’s Tourism Development Fund has signed an agreement with an investment solutions firm to establish a US $26 million private close-ended equity fund. It will be the first fund in the Kingdom to participate in the capital of SMEs operating in the tourism sector. The fund will target promising business opportunities in selective tourist areas.

PHILIPPINES

The Philippines is hopeful for the revival of its tourism sector in 2022, officials and key stakeholders have said, as they seek to encourage more domestic travellers and tap into the growing ‘workation’ market two years after nearly all recreational activity was halted by COVID-19 curbs.

THE UK

Several countries are considering a way to bolster tourism by reforming an existing tax break for tourists. The UK has ended the practice of refunding the VAT paid by tourists altogether for precisely this reason. Other countries are exploring a reform. This could be done if EU countries abolished the practice of allowing retailers to have exclusive contracts with VAT refund agents.