Category Archives: ReportingMethods2020_3

Canada set to see lost revenue from tourism industry due to COVID-19

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In an unprecedented move, Canada announced it would tighten its borders indefinitely to slow the spread of COVID-19, restricting all non-essential travel, including tourism.

This action comes at a time when Canada’s tourism commission reported its strongest year of growth in international visitors to the country.

The government is already taking action to assist Canadians facing economic hardship. Included in their aid package are supports for Canadian businesses that have had to close or shutter due to the pandemic.

Weeks before the federal government was scheduled to release its upcoming budget, allocations for hard-hit industries like airlines may require revision to compensate for losses beyond their usual spending. The visitor economy makes a sizable contribution to Canada’s overall economy.

Canada’s tourism industry has provided a steadily growing stream of revenue to the government, but will see a drop as a result of travel-related restrictions due to the COVID-19 pandemic.

Even as the full impacts of Canada’s border closures are not yet fully felt, it is likely that the tourism industry will see major losses. This drop will interrupt a trend of strong growth in international tourists visiting Canada.

The federal government’s aid package aims to benefit citizens and businesses with any economic hardships as a result of COVID-19. It is likely that those out of work in the airline and tourism industry will seek such aid.

Some of the hardest hit workers are those in the tourism and hospitality industry, who rely on in-person interactions and spending by international and domestic visitors for their livelihood.

In 2018 there were a total of about 585,000 people employed in Canada’s tourism industry, working in a variety of related sectors, according to the most recent data from Statistics Canada.

Canada’s tourism industry employed an estimated total of 585,000 people in a variety of sub-sectors, according to tables from Statistics Canada.