TOURISM ' RESCUE PLAN' DEMANDED
Benidorm summit calls for special financial aid plan to save the industry
WITH hotel occupation rates plummeting after summer and establishments forced to offer below- cost deals to keep hotels open, a regional tourism sector summit held in Benidorm this week has demanded urgent action from central government to save the industry that represent over 14% of Spain's GDP.
Losses adding up to € 19 billion caused by travel restrictions imposed by the Costa's main markets require a specific financial aid package say tourism entrepreneurs.
Experts want the same kind of support ' banks were given during the last economic crisis to prevent them going bust'. Around Benidorm, many hotels that had opened for summer have now closed, while a large number of shops and catering establishments have pulled down the shutter - some for winter, some indefinitely.
The current situation has so far cost around 800,000 jobs in the sector and thousands of others in establishments that rely on the tourism sector to boost their sales.
COSTA Blanca hoteliers and representatives of other businesses in the tourism sector are demanding a specific rescue plan for the sector currently in dire straits due to Covid- 19 travel restrictions.
A summit, held in Benidorm on Tuesday, discussed the huge challenges facing the sector and included speakers such as national tourism guild Exceltur vice president José Luis Zoreda and the chairman of the Valencian businessmens’ association ( AVE) Vicente Boluda.
While all agree that the strict control of the pandemic is vital to attract visitors, the need for specific support for the tourism trade - which represents over 14% of Spanish GDP - is a must.
So far this year, the Valencia region has lost € 19 billion in income via tourism and has employed 800,000 less staff that last year.
For these reasons, and ' to give tourism a chance of survival', the conclusion reached in the summit was the need for a specific financial aid package, ' a rescue plan similar to that employed to avoid banks from collapsing during the last crisis'.
Occupation rates are now very low and have forced some hoteliers to axe prices just to keep some establishments open. One of the most commented on issues during the summit was an advertisement launched this week for a week's accommodation at a local holiday apartment with food provided by local restaurants for just € 200.