Empty squares, deserted beaches and cancelled trips -
the COVID-19 pandemic has thrown Europe’s tourism industry into chaos.
Will we be able to go on holidays this summer?
Will Europe’s tourism sector survive the pandemic?
And what is the EU doing in all of this?
Before the pandemic,
Europe accounted for half of the world’s tourist arrivals.
The EU’s tourism sector accounts for 10% of the EU’s economy,
with nearly three million businesses,
90% of which are small and medium-sized enterprises
and more than 27 million people holding jobs in tourism.
The economic situation is particularly severe
for southern European member states
such as Spain, Portugal, Italy and Greece
that are highly dependent on tourism.
The UN’s World Tourism Organization predicts
that international travel could face a 60-80% decline this year alone.
Between 100 and 120 million jobs in tourism
are at risk globally as a result of the collapse
in demand for international travel.
How hard the health crisis will ultimately hit
will also depend largely on when countries ease restrictions,
whether there is a second wave
and how governments and institutions manage to support the sector.
Businesses and workers already benefit from EU measures
taken in response to the crisis,
including liquidity support,
fiscal relief and an easing of state aid rules,
as well as the temporary suspension of EU rules
on airport slots to avoid empty flights.
With the Coronavirus Response Investment Initiative,
which amounts to 37 billion euro
and is under shared management with member states,
the European Commission has promised to provide immediate liquidity
to affected businesses.
The mechanism is meant to enable governments
to mobilise unused Structural Fund budgets
for various purposes, including tourism.
Additionally, the Commission has made available
up to €8 billion in financing
through the European Investment Fund
for 100,000 small businesses hit by the crisis.
The EU’s SURE programme, with up to €100 billion in financial relief,
is meant to help member states cover the costs
of national short-time work schemes
and similar measures allowing companies to safeguard jobs.
Nevertheless, industry representatives warn the measures might not be enough.
Many of these funds for recovery for tourism
are within the Cohesion Funds,
and we know that the Cohesion Funds are
pretty difficult to navigate in and how to find exactly the budgets.
Also the mechanisms are very different depending on where you find the budgets.
Furthermore, there are also deep divisions
whether the countries and their industries should receive loans or grants.
When it comes to loans,
I don't think this is going to be the solution forever.
We need a competitive budget,
creating innovation and supported by digitalisation
and obviously green initiatives embedded in the Green Deal.
Currently, there is a rather mixed picture across Europe.
Internally, the usually easy travel across the Schengen Area
is still bound to conditions.
After a messy start to the crisis
in which member states unilaterally closed their borders
with little or no consultation,
the European Commission recommended
to fully reopen the bloc’s internal borders on 15 June,
this time with a more coordinated approach.
We will lift these restrictions based on our values.
That means: no discrimination.
Member States cannot open borders for citizens from one EU country,
but not for others.
Some member states, however, have. already warned
they might not be ready to open up by 15 June.
And as internal restrictions wary from member state to member state,
and between regions,
it will be the health situation
that might in the end decide the fate of travel.
To protect travellers,
the European Commission has published a Tourism and Transport Package.
It includes common guidelines to restore free movement
in a gradual and coordinated way,
re-establishing transport with safety measures
for passengers and personnel,
making travel vouchers an attractive alternative to cash reimbursement for consumers
and developing health protocols for the hospitality sector.
As a next step, restrictions should be lifted from 1 July.
Initially for the six Western Balkans countries
whose health situation is similar or better than the one of the EU
and then allow travellers from selected non-EU countries into the bloc.
Exceptions to restrictions will apply to students and highly-skilled non-EU workers.
Business is not expected to return to pre-pandemic levels until at least 2023.
However, as social distancing measures
brought a temporary end to mass tourism,
some are now wondering if this crisis could present an opportunity
for a more responsible and sustainable way of travelling.
A new travel normal may very well mean
a shift to vacation rentals over hotels,
taking the train or car rather than flying
and close to home trips instead of international journeys.
The UN Sustainable Development Goals
and Europe’s Green Deal
have earmarked sustainable tourism as a target for 2030.
The recovery will have to be green, digital and resilient.
For a sustainable, innovative and resilient European tourism ecosystem.
A special summit
to set out a roadmap for sustainable tourism across Europe
could be organised in autumn.
But with uncertainty about international travel
and fears of a second wave,
travellers might consider planning their summer trip
a little bit closer to home.