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New forecast shows impact recession is having on travel industry

June 10, 2009 | Online Travel

According to Euromonitor International, the global downturn will lead the travel and tourism industry to shrink in 2009. The latest forecast for 2010 reveal worldwide travel and tourism will return to growth, though the growth is way down on pre-recession forecasts.

The worldwide travel and tourism industry was expected to grow by more than 4% in 2009, however the latest forecasts show the industry will in fact shrink with hotels and air travel particularly suffering.

Hotels were forecast to grow by 4.8% in 2009 but are now expected to shrink by -3.6%. Air travel was originally forecast to grow by 5.3% but will now decrease by -2.3%.
Travel and tourism arrivals, departures, hotel and air value sales are now predicted to contract by -1.1, -0.9, -3.6 and -2.3 respectively in 2009.

The latest forecast for 2010 reveal worldwide travel and tourism will return to growth, though the growth is way down on pre-recession forecasts.

Arrivals are now predicted to grow by 2.2% in 2010, compared to the June 2008 forecast of 5.9%. Departures are forecast to grow by 1.8% compared to the previous forecast of 5.4%. Hotels are predicted to grow by nearly one percent compared to the previously forecasted 5.2%, while air travel is forecast to grow by 1% compared to the June 2008 predict of 5.2%

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