The delicate situation of the national tourism sector, with an estimated drop in sales of almost 80% According to the latest survey of prospects by Exceltur, it has put Spanish hotels in the spotlight of international investment funds, which want to acquire a real estate park in Spain at a good price, taking advantage of this crisis. Nuria Montes, General Secretary of the largest hotel association in the Valencian Community, Hosbec, indicates that “every day” they receive several offers from this type of buyers to try to get hold of an establishment, but “at absolutely ridiculous prices.”
Montes explains that, “for the moment and except for specific cases”, no large sales operations are foreseen on the Valencian coast, since “the sector is very healthy and has the muscle to last at least one year” . This equation is also influenced by the banks, “which have been good for the moment”, although they consider that a “greater sensitivity” from the Government when proposing regulations that they do not clash “with the national hotel reality”.
Valencian hotels have continuously carried out reconversion processes to compete with emerging countries such as Turkey, where the relationship between quality-price and the cost of their “all-inclusive” packages has captured a large part of the international demand in recent years. you. In fact, before the health crisis broke out, the Ottoman country maintained a double-digit growth with respect to British tourism, while in Spain the outlook was slightly down. This situation occurred after years in which the political instability of the Eastern Mediterranean and North Africa had created a favorable situation for our country, to the point that as of 2014 20 million tourists were gained with seven consecutive years of record. 2019 closed with 83 million international visitors, a figure only surpassed by France.
Now tourism is torn between the pessimism of having to give up the season “until, at least, summer 2021”, and the idea that the recovery of the sector will be in V, “as the interest has already shown that exists in the main countries of origin to Spain for traveling again “. There have been plenty of examples: the month in which the United Kingdom was able to travel freely to Spain, the planes to the Costa Blanca were filled practically overnight, and barely 20 days after Belgium got up. specifically its quarantine for the Valencian Community (at the end of September) the main European operator, TUI, began to schedule daily flights from Brussels to El Altet airport.
The great slogan, then, is to hold on until the situation rises, something that, in the words of the president of Hosbec, Antoni Mayor, “It will only happen when there is a vaccine.”
The SOS of Exceltur
For his part, lobby Exceltur painted a much more worrisome picture earlier in the week. “The current situation of the sector and its survival in the short term requires new measures other than those in force and will not be resolved with patchwork initiatives of low endowment and impact, or by generating promising expectations that do not depend 100% on Spain, especially compared to the powerful non-refundable rescue aid, adopted by multiple EU countries where tourism has less weight “he said in a statement. “The current extreme gravity of the sector, due to unforeseen causes, is at the level of that suffered by other sectors of our economy, which in their day achieved large selective bets from the State, such as the steel industry in the 80s, the banking industry in 2012 or to the agrarian sector in the face of its multiple natural disasters, which did not generate any comparative injury. “
For Exceltur “the design and above all the rapid implementation without further delay of a Great Rescue Plan and competitive consolidation of viable tourist companies is urgent, which in turn facilitates the gradual exit of non-viable ones”. “This plan must include really specific measures and direct aid for the sector, compared to the general ones for the entire economy that the Government has promoted so far and of which tourism has basically benefited in the aliquot part, according to its weight in GDP “, he added.
Among others, “apart from controlling the spread of the virus as a priority to enhance the climate of trust in Spain, generating external demand when the pandemic allows it, via bilateral diplomatic negotiations that guarantee no turning back, regional corridors with source countries via test at source, or upon arrival and departure from our key transportation nodes “. In parallel,” and to ensure the greatest liquidity shield that avoids closings and / or imminent suspension of payments, in addition to reforms of the Bankruptcy Law, and lengthening of The Erte, ideally until the end of 2021, are required other substitute measures for ICO loans, to solve income shortfalls, although those in any case should have longer grace periods and amortization.
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
