SINGAPORE CITY (SINGAPORE) – Singapore tourism board head said on Wednesday that the sector was facing an existential crisis. The city state has also rolled out plans to boost local demand following the sharp drop in the number of visitors because of the coronavirus curbs.
The country witnessed the arrival of a record 19.1 million visitors last year, which is thrice its population.
Earlier this year, Singapore closed its borders and advised citizens to put on hold overseas travel plans. The situation is unlikely to change in the near future.
Singapore Tourism Board chief executive Keith Tan said the number of tourist arrivals for the rest of the year would be similar to April and May figures when it dropped to 99.9%, said. The board has come out with a S$45 million (25.67 million pounds) marketing and promotion campaign to drive local demand for lifestyle and tourism businesses.
The government hopes that citizens who spent close to S$34 billion on overseas travel in 2018, will splurge on staycations and local tourist attractions.
However the board does not expect residents, who are concerned about salaries and jobs, will be able to bridge the S$27.1 billion gap caused by international visitors.
“Given the severe impact that COVID-19 has had on international travel, it is inevitable that more job losses will happen in the coming months,” Tan said.
To cushion the impact of reccession, the government has pumped in a stimulus of nearly S$100 billion.
“It is not sustainable for us to keep supporting a business model that may not longer be available or at least will not come back within the next one, two years,” said Chan Chun Sing, minister of trade and industry.
The country has agreed to resume essential business travel with China and Malaysia. It is also holding discussions with South Korea, Australia, New Zealand and some European nations.
(Photos syndicated via Reuters)
This story has been edited by BH staff and is published from a syndicated field