Home Lifestyle Tanzania: Foreign Exchange Earnings From Tourism Drop to a 10-Year Low

Tanzania: Foreign Exchange Earnings From Tourism Drop to a 10-Year Low

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Tanzania: Foreign Exchange Earnings From Tourism Drop to a 10-Year Low

Dar es Salaam — Foreign exchange earnings from tourism dropped to a 10-year low during the year ending October 2020, largely due to travel restrictions imposed by several countries across the world in response to the Covid-19 pandemic.

Bank of Tanzania (BoT) figures show that Tanzania earnings from tourism during the year ending October 2020, plunged by over 50 percent to $1.2 billion compared to $2.5 billion that was registered during the year ending October 2019.

The last time that earnings from the sector were recorded at $1.2 billion was during the year to October 2010 when the country earned $1.23 billion from the sector.

“This was attributable to the measures taken to limit the spread of Covid-19 in tourist source countries. The measures included lockdowns and suspension of international passenger flights,” the central bank report reads in part.

The outbreak of the Covid-19 pandemic towards the end of last year saw countries across the world taking measures to prevent its further spread. The measures included lockdowns and suspension of international passenger flights among others.

By January 30, 2020, the World Health Organisation (WHO) designated Covid-19 a “public health emergency of international concern” (PHEIC), before declaring it a pandemic in March this year.

In April this year, Tanzania joined the rest of the world, with Tanzania Civil Aviation Authority (TCAA) announcing suspension of all scheduled and non-scheduled international commercial passenger flights.

This led to a huge global slowdown of tourist flows.

Data from the Tanzania National Parks Authority (Tanapa) show that the largest percent of the country’s tourist arrivals are from European countries.

In Europe, Tanzania largely receives tourists from France, Spain, Britain, Germany, Switzerland, Russia and the Netherlands while other tourists are mainly from the US , India and Australia.