Pandemic could cost Swiss tourism sector CHF6 billion
The coronavirus pandemic means Swiss ski resorts, hotels and restaurants are closed or at a standstill and jobs are at risk. This may cause a CHF6 billion ($6.2 billion) loss to the tourism industry this year, a study has revealed.
The survey External linkby the Valais University of Applied Sciences and Arts (HES-SO) found that tourism industry revenue could shrink by 18% in 2020.
The hotel sector alone could lose CHF2 billion between March and May. During a typical year it generates CHF10.2 billion in revenue. This loss is almost double an initial prediction by the head of the country’s tourism body, Switzerland Tourism, earlier this month.
On March 17, the Swiss government announced that all non-essential activities and businesses should close owing to the spread of the virus. Hotels are allowed to remain open, alongside grocery stores, bakeries, pharmacies, banks and post offices. But with the virus spreading worldwide and international travel impossible, tourism has come to a standstill.
Canton Ticino in southern Switzerland and the cities of Zurich, Basel and Geneva will be the worst hit, the report predicts, owing to a dramatic fall in business travel, conferences and other international meetings. Turnover in this area is expected to plunge by 90% in April.
Forced to close
The current crisis is different from previous events such as 9/11, the SARS epidemic or the crash of the euro, which had more regional impacts, the authors said.
Some companies may be forced to close, especially in the Swiss hotel and restaurant sectors, which employ 250,000 people and generate annual turnover of CHF28.4 billion.
In canton Graubünden in eastern Switzerland only 8% of hotels remain open, for example. A local hotel official says the virus could cause a CHF200 million loss in the southeastern region.
HotellerieSuisse, which represents the hotel industry, said earlier this month that member companies expected revenues to drop by at least 45% for March and April.
The authors of the Valais university survey interviewed 2,000 people active in the Swiss tourism sector, including those working in hotels, restaurants, lift companies and other hotel-related services.
More
More
Coronavirus: the situation in Switzerland
This content was published on
An overview of the latest Covid-related information in the Alpine nation.
Swiss climate activists block vehicles near Gotthard tunnel
This content was published on
Around ten climate activists briefly blocked the A2 motorway near the northern entrance of the Gotthard tunnel on Thursday.
Watches belonging to Michael Schumacher up for auction
This content was published on
Schumacher's family is auctioning off eight rare watches from his collection in Geneva. The Christie's auction will take place on Monday.
Joya Marleen and Baschi named best solo acts at Swiss Music Awards
This content was published on
St. Gallen singer Joya Marleen and Baschi from Basel were named artists of the year at the Swiss Music Awards 2024 on Wednesday night.
Swiss authorities announce cost-cutting in asylum sector
This content was published on
The government notably wants to improve integration into the labour force, particularly for people with protection status S.
Various leaders confirm participation at Ukraine peace conference
This content was published on
The presidents of Poland, Finland, and Latvia and the prime ministers of Spain and Belgium will be at the Swiss-hosted talks in mid-June.
This content was published on
In the winter season up to April 2024, railway and cable car operators ferried 3% more visitors compared to the previous winter, and 5% more than the five-year average.
Rhine flooding: Swiss to invest CHF1 billion with Austria
This content was published on
As part of an international agreement with Austria, the Swiss government wants to pump CHF1 billion ($1.1 billion) into flood protection measures along the Rhine over the next three decades.
Swiss government proposes CHF10 million UNRWA donation
This content was published on
After months of debate, Switzerland plans to give CHF10 million ($11 million) to the UN agency this year, rather than the CHF20 million initially foreseen.
Swiss hotels poised for big losses after record 2019
This content was published on
The Swiss hotel industry could lose out on half a billion francs in 2020 due to Covid-19, the boss of the country’s tourism body has said.
Swiss government shuts down public life amid spreading coronavirus
This content was published on
The Swiss government has declared an “extraordinary situation”, instituting a ban on all private and public events and closing gathering places.
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.