South African Tourism in a dire financial spot
The South African tourism sector continues to suffer under the weight of Covid-19 and it seems it will not end anytime soon as the new level 3 lockdown regulations restrict tourism businesses in their operations.
Many businesses in the sector were forced to close down as there were little to no activities happening during the level 1 lockdown. However, business owners were optimistic that they might make some profit during the festive season but were met with disappointment as President Cyril Ramaphosa announced that the country would be heading back to lockdown level 3 which brought stricter restrictions than level 1 lockdown.
Some of the level 3 lockdown regulations are the ban on alcohol, prohibition of social events and the curfew from 9pm to 5am. These regulations clearly affect the tourism sector as many of them rely on social events taking place and the sale of alcohol for them to stay making profit.
The tourism sector contributes over R100 billion to the economy and also creates thousands of jobs and develops the country’s infrastructure. The halt in its operations is definitely taking a toll on the economy and livelihoods of many people.
As the country battles a new wave of the Covid-19 pandemic the future of the tourism sector seems bleak. There is no compromise that can be reached for this sector as it can be regarded as a super spreader of the virus due to the nature of its business.
By Thomas Chiothamisi