Ninety-seven percent (97%) of the tourism players say that COVID-19 has the potential for significant impact on their business operations, and is causing them great concern. 88% of the respondents expect losses of over 50% of their 2020 revenues due to the Enhanced Community Quarantine (ECQ), and 63% say that they expect their businesses to normalize within six months to over a year.
Such findings surfaced as Isla Lipana & Co./PwC Philippines (PwC), for the Philippine Tourism Survey: COVID-19 Edition, asked the tourism players about the challenges and concerns brought about by the pandemic as well as the ECQ in Luzon and other parts of the country.
The Philippine Tourism Survey: COVID-19 Edition is PwC’s collaboration with The Department of Tourism (DOT), as part of the firm’s commitment to supporting the DOT’s programs and initiatives.
Having contributed 12.7% of the country's GDP in 2019, representing a direct contribution of PHP2.48 trillion to the Philippine economy while providing jobs to 5.71 million Filipinos or 13.5% of the country's total employment, the tourism sector grew to become one of the major industries in the country.
Department of Tourism Secretary Bernadette Romulo–Puyat shares: “The DOT will sustain tourism businesses through proper financial support and policies, which are covered in our Tourism Response and Recovery Program. We are working towards the establishment of proper infrastructure, and enhanced health and sanitation protocols in line with the standards of New Normal. Our goal is to build a more sustainable, resilient, and inclusive tourism industry.”
Atty. Alexander Cabrera, PwC Philippines’ Chairman and Senior Partner, is optimistic that the Philippine tourism sector will recover from the impact of COVID-19. “Our country has beautiful islands that will once again attract the tourists after the pandemic. Nevertheless, we should take this opportunity to rebuild the sector by helping the players upskill and digitalize, rethink the way they do business, and ensure compliance with safety and health standards. Promoting medical tourism and agri-tourism may be among the programs that our country can prioritize to help restart the sector.”
“We thank the 247 tourism players who have shared their insights with us,” says Atty. Cabrera. He concludes, “While we are all experiencing difficulties at this time, we should remember that through our combined efforts and hard work in the past, we grew the sector and made it one of the top contributors to our country’s GDP. With our renewed commitment, I am confident that we will achieve better success after this pandemic.”
Explore the survey results here.
Markets Manager, PwC Philippines
Tel: +63 (2) 8845 2728 Ext. 3196
Markets Senior Manager, PwC Philippines
Tel: +63 (2) 8845 2728
Karen Patricia Rogacion
Deals and Corporate Finance Senior Manager, PwC Philippines
Tel: +63 (2) 8459 3089