How ESwatini’s tourism industry is battling COVID-19 headwinds
Minister Moses Vilakati, Minister of Tourism & Environmental Affairs of Eswatini spoke to CNBC Africa on how Covid-19 has impacted ESwatini and the country’s recovery plan.
Tue, 19 May 2020 15:26:48 GMT
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AI Generated Summary
- The severe impact of COVID-19 on ESwatini's tourism industry, leading to job losses, closure of hotels, and economic decline due to halted travel and tourism.
- Challenges faced by businesses in the sector, with concerns over survival post-pandemic, and the government's initiatives to support recovery through tax relief, fund allocations, and economic recovery planning.
- The importance of promoting local tourism as an immediate strategy to revive the industry, leveraging cultural and wildlife attractions to stimulate domestic travel and gradually transition to regional and international markets.
The global tourism industry has been brought to a standstill due to the devastating impact of the COVID-19 pandemic. The Minister of Tourism and Environmental Affairs of Eswatini, Moses Vilakati, shared insights on how the pandemic has hit the country's tourism sector and discussed the recovery plan moving forward. Minister Vilakati acknowledged the significant losses experienced by Eswatini, particularly within the hospitality industry and its associated value chains. The pandemic has led to job losses, temporary closures of hotels, and a sharp decline in GDP due to the halt in tourism and travel. The closure of borders and grounded airlines have severely impacted the country's tourism sector, causing major events like the popular Fire Festival to be canceled, resulting in substantial economic losses.
Minister Vilakati highlighted the challenges faced by businesses in the tourism sector, expressing concerns over the survival of many establishments, especially those in the informal sector. He emphasized that while some businesses are striving to reopen and recover, others may struggle to survive post-pandemic. With tourism being one of the hardest-hit industries globally, Minister Vilakati stressed the need for comprehensive plans to revive the sector in Eswatini, considering its significant contribution to GDP and employment.
In response to the crisis, the Eswatini government has implemented various initiatives to support businesses in the tourism industry. Measures such as postponing tax payments, delaying levies on hotels and lodges, adjusting fuel prices, and providing relief funds aim to alleviate the financial burden on businesses and facilitate their recovery. Additionally, the government has set up an economic recovery team to strategize short-term and long-term interventions for supporting the tourism sector's revival.
Regarding the reopening of the hospitality industry, Minister Vilakati explained that while hotels in Eswatini were not mandated to close during the pandemic, low demand and travel restrictions led to operational challenges. As the country gradually eases its partial lockdown measures, hotels are struggling to attract guests, impacting their ability to resume full operations. The minister highlighted the importance of promoting local tourism as an immediate strategy to revive the sector, given uncertainties surrounding international travel. By encouraging domestic travel and exploring the country's cultural and wildlife offerings, Eswatini aims to stimulate local tourism and gradually transition to regional and international markets.
Looking ahead, Minister Vilakati underscored the significance of incentivizing local tourism and collaborating with the hospitality industry to enhance visitor experiences and boost interest in domestic attractions. By leveraging the unique cultural and natural heritage of Eswatini, the country seeks to attract local and eventually international tourists, once global travel confidence is restored. Minister Vilakati emphasized the importance of strategic planning and cooperation to revive the tourism industry and ensure its sustained growth in the post-pandemic era.