Page 15 - Revista Empire Finanzas Inernacionales

How much can economic losses in the tourism sector affect national GDP?

First, it is important to contextualize the economic losses of the tourism sector, it is
relevant to mention and be clear on the different reasons for tourism, types of tourists and
the industries of the sector.

“According to the World
Tourism Organization
(UNWTO), tourism is
understood from the
activities of visitors in

places other than those
of their residence, in a
period of time
comprised less than a

year and for a purpose
other than that of being
employed by a resident
entity in the visited
place” (PROCOLOMBIA, 2020).

Tourist activities are classified for personal or business and professional reasons. In our
case, these activities can be carried out by a foreign tourist who travels to Colombia
(inbound tourism), a Colombian tourist who travels abroad (outbound tourism), or a
Colombian resident who travels for tourism within the country (inland tourism).

Although it is true, the tourism sector has a wide variety of goods and services such as
accommodation, bars, restaurants, transportation, tour guides, professional operators,
congresses, fairs, entertainment services, among others.

“It is a scenario where it is estimated that tourism-related income will decrease 30
percent in 2020, GDP would decrease 2.5, 0.8 and 0.3 percentage points in the
Caribbean, Mexico and Central America, and South America, respectively”
(SEMANA, 2020).

The effects of the retraction of tourism will be felt in particular by micro and small
companies, whose weight in the hotel and restaurant sector is enormous: 99 percent of
companies and 77 percent of employment (Cepal, 2020)” (SEMANA, 2020).

Tourism in Colombia contributes about 5 percent of GDP and a little more than that figure

in employment. The hotel sector in the country is heterogeneous and is made up of
26,438 establishments, of which 82.5 percent are small or have less than 20 rooms.
(SEMANA, 2020) In other words, the vast majority is what is known as small and medium