Ongoing political turmoil threatens tourism sector stability
Reporter: Lenin Rahman
Experts have underscored the need for ensuring political stability to gain a higher level of income from the entire tourism sector as well as to boost the post-pandemic economic revamping mechanism.
Most of the countries are receiving 8 to 10 percent contribution from their respective tourism sector while it is still contributing between 3-4 percent to the Gross Domestic Product (GDP) of the country.
Already, the tourism sector incurred a loss amount worth Tk 60,000 crore from the pandemic adversity, according to the report of BIDS.
In an exclusive interview with the Current View Correspondent recently, Mirza Walid Shipon, President of Bangladesh Jubo Economist Forum said that Bangladesh has the potential to attain at least 10 percent GDP share from the entire tourism sector including the hospitality and travel and aviation industry, but policy implementation is a must to gain such a higher income.
“Due to the adversity of the pandemic and Russia-Ukraine war, the county’s tourism sector income witnessed a drastic fall. Now, the ongoing political unrest is imposing severe threat to receive at least the traditional income” mentioned the Bangladesh Jubo Economist Forum President.
Mirza urged the government to maintain a fair democratic process in terms of holding a free, fair, and credible 12th parliamentary election.
Concentrating on the upcoming JS polls, the ongoing vandalism of the political parties is imposing a threat to revamp the tourism income and the economy of the country as well.
“Political instability is affecting the business and economy of the country the tourism sector is not beyond”, added Mirza.
The Jubo Economist Forum President lamented that Prime Minister Sheikh Hasina Declared stimulus loan packages worth over Tk 2 trillion to revamp the business and economy in the country, but all went into vain for unfair loan disbursement.
As part of the economic revamping mechanism, Bangladesh Bank has instructed all scheduled banks to provide a Tk1,000 crore loan to the tourism industry under the declared stimulus package, said Mirza adding that the tourism industry will get the loan at a 4% interest rate to pay the salaries of hotel, motel and theme park staffs.
It is our reality that the affected stakeholders did not receive any financial assistance from the so-called state money in the form of stimulus loan packages. “Only the traditional and big borrowers gained such public money and they became defaulted which is one of the major hindrances for revamping the post-pandemic economy”, claimed Mirza.
Mirza also mentioned that the government is spending huge chunks of public money in implementing the tourism master plan, but the vested quarters are gaining the policy and economic benefit.
Mirza, however, urged the government to ensure political stability to boost the tourism income from the existing level.
SM Mizanur Rahman, a social expert and Secretary of Bangladesh Jubo Economist Forum said that the major obstacle for the tourism industry is the political instability of the country.
Efficient security services are a pre-condition for modern tourism, but it is a matter of concern that Bangladesh is still lagging in ensuring the political stability of the country, Rahman opined.
The tourism sector is facing multifarious including political chaos, poor investment, lack of international standard services, and so on, Rahman said while explaining the crisis of the tourism sector.
In the 21st century, tourism emerges as a significant income-generating industry, but we are failing to attain such a higher income due to a lack of polity support, Rahman also claimed.
Shah Jamal, Chairman and Founder of Amial Group said that approximately one lac people from the UK visit Bangladesh, but this time, the Foreign and Commonwealth Office (FCO) has cautioned its nationals about visiting Bangladesh due to the prevailing political violence.
“It is not only from the UK, but foreign tourists from the US, Germany, Japan, Australia, France, China, and other countries have also canceled their trips to Bangladesh under the present circumstances. During normal times, four to five million tourists visit various places in the country, but even domestic tourism has almost come to a halt due to the hartals (general strikes), blockades, and subversive activities. There are no tourists in Cox’s Bazar, Sundarbans, Chittagong Hill Tracts, or Sylhet. This has created a crisis for the one million involved in this industry. Many hotel owners and tour operators are struggling to even pay their staff salaries due to the lack of tourists”, Shah Jamal also added.
He urged the government to ensure political stability to revamp the tourism sector and economy as well.