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Tourism and related sectors massively hit by COVID-19, study finds

May 20, 2020
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The impact of COVID-19 pandemic is already deep and widespread, affecting lives and livelihoods of thousands of Bhutanese, according to the Rapid Socio-economic Impact Assessment of COVID-19 on Bhutan’s Tourism Sector.

The National Statistics Bureau and UNDP Bhutan carried out the assessment.

According to the assessment, around 63 percent of the total respondents reported that their household income had fallen by over 50 percent due to the on-going crisis. Around 1,285 individuals from the tourism and related sectors affected by the pandemic were interviewed for the assessment.

Nearly 40 percent of the respondents reported that they have been laid off and had to close their businesses.

The impact assessment report states that emerging trends of the pandemic suggest that unemployment will be a significant challenge in case of prolonged crisis.

In terms of food security, more than 20 percent of the deprived respondents said their household did not have enough food for three or more weeks. Over 60 percent of the deprived respondents did not have enough sources of income or savings to meet monthly expenses for more than two months.

Respondents also expressed their inability to repay loans. A majority of the business owners reported having debt.

Meanwhile, more than 60 percent of the individuals surveyed reported that they do not have a contributing member to their household income who is engaged in an unaffected sector.

The impact assessment has also studied alternative employment for the affected and learnt that coping capacity is limited.

 

Kinley Dem

 

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