96 pct of tourism companies hit by Covid: survey

By Vien Thong   November 9, 2021 | 07:58 pm PT
96 pct of tourism companies hit by Covid: survey
Visitors at Nha Trang Beach, October 11, 2021. Photo by VnExpress/Giang Huy
The Covid-19 pandemic sent 96 percent of tourism companies into suspended animation, and it is not clear when they would be able to resume, a survey has found.

Eighty-five percent of them saw revenues plunge by at least half, and 54 percent are unsure how long the current situation would last, the survey, done online by VnExpress and the Private Sector Development Committee in August 2021 by polling 1,853 respondents said.

Their main difficulties are paying salaries, bank loans, rents, utilities and insurance in that order.

The pandemic has wrecked the tourism industry and ended a long period of double-digit growth in international tourist arrivals.

But things might be looking up with Vietnam set to reopen five destinations starting this month: Phu Quoc Island, Da Nang, Quang Nam, Khanh Hoa, and Quang Ninh.

There are some challenges due to the large number of people remaining unvaccinated in the country and persisting fear of contagion.

The lack of Chinese tourists, who used to account for a third, also precludes growth in the near future.

International flights have yet to resume.

The Private Sector Development Committee said a dedicated program is needed to support tourist firms, restaurants, hotels, and airlines, which have gone through a year and a half of plunging revenues.

They should be offered cuts in power, water and other prices, value-added and corporate income taxes and other taxes and fees, it said.

Vietnam welcomed 125,100 foreign arrivals in the first 10 months, down 96.7 percent year-on-year, according to the General Statistics Office.

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