The Most Tourism-Dependent Region on the globe Braces for Prolonged Coronavirus Recovery

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No-one is swimming in the turquoise Caribbean waters of Cuba’s Varadero beach resort, nor lounging on its white, palm-fringed beaches. Its a huge selection of hotels, shops and restaurants stand empty and eerily quiet.

The local airport, the lifeblood of Varadero’s economy, closed after Cuba shut its borders fourteen days ago to safeguard against the spread of the brand new coronavirus. Now, undisturbed by tourists, lizards scamper around the lands of the luxurious hotels, on the hunt.

Over the Caribbean, similar scenes of desolation are playing out as the utmost tourism-dependent region in the world reels from a pandemic that has shut borders, grounded airlines, berthed cruise lines and sent a lot of the earth into isolation since mid-March.

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From the historic towns of the Dominican Republic to the isolated coves of Tobago, tourism employs around 2.5 million persons and generates - directly and indirectly - practically one-third of the region’s financial output, in line with the Caribbean Tourism Organization.

Consequently, there are few places where in fact the financial impact of the pandemic may be as immediate as the archipelago’s 26 small island states and dependencies, most of them already heavily indebted.

“Almost all my children, all my cousins, work in tourism,” said Maria Elisa Torres, who rents rooms in her home in Santa Marta near Varadero.

“My cousin is a shopkeeper. She actually is out of a job. Her husband works in rent-a-car (company). He's out of job. My buddy works with tourists on the beach and is also out of job.”

Up to now, the Caribbean region of 45 million persons has reported only about 7,000 coronavirus cases and 300 deaths, almost all in the Dominican Republic.

Yet millions have already lost their jobs or revenues as a result of outbreak.

The World Tourism Organization (UNWTO), a U.N. body focused on promoting the industry, last month forecast a 20% to 30% plunge in arrivals this season.

The Caribbean Development Bank went further, forecasting a 50% slump if restrictions continue until September and a 100% fall if the policies stay in place all year. The International Monetary Fund (IMF) predicts the eastern Caribbean, heavily dependent on cruiselines, will be among the hardest hit.

Carnival Corp said this week it was canceling all sailings until at least June 26, while Royal Caribbean Cruises suspended trips until June 11 to ensure the safety of guests and crew.

In Barbados, the yellow cranes that line the port of capital Bridgetown stand starkly against a hazy blue sky amid the lack of any cruise ships. Usually six or seven ships will be docked here however the major lines have canceled their trips well into the peak summer season, said Sheldon Layne, the manager of terminal operations.

‘A Series of Unknowns’
Just a few months ago, the Caribbean Tourism Organization - the local branch of the UNWTO - was in high spirits, citing a robust recovery for the spot after many islands were pummeled by hurricanes Irma and Maria in 2017.

Now, the organization’s staff is working at home under a lockdown and scrambling to maintain with an unprecedented drop to almost zero visitors.

Neil Walters, the Caribbean Tourism Organization’s acting secretary general, said companies are focusing how to integrate new health protocols into happen to be allow tourism to resume when restrictions steadily ease.

“We are actually in some unknowns, searching to find what perfectly could end up being the new way that tourism could operate,” Jamaican Tourism Minister Edmund Bartlett told Reuters.

For the time being, authorities want to keep their tourism industries afloat and their people safe from the pandemic.

Jamaica has announced an $8.7 million package for tourism-related business operators and workers, in addition to a skills training program for folks while they are idle.

“Businesses do appreciate the government initiatives,” said Robin Russell, owner of the Deja Resort in Jamaica’s Montego Bay, who has applied for aid. He's paying staff half their salaries and using the downtime to accomplish refurbishments.

“But it’s difficult, not knowing your money flow,” he said.
Source: https://finance.yahoo.com

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