Published on : Wednesday, November 8, 2017
The bit agitated Spanish region of Catalonia is going through a possible $500 million financial hit in the fourth quarter as figures in terms of business travel drops after Barcelona attack followed by uncertainty created by different borderline independence referendum.
Patrick Torrent, a top tourism official of Catalonia, in a recent interview on Monday with the Associated Press at the World Travel Market in London explained that the region will most probably see a 10-12 percent drop in terms of tourist numbers at the fourth quarter which has a chance to equate around 450 million euros. A huge chunk of that decline is related to a plunge in business travel to events like conventions and trade shows.
Regardless of the anticipated fourth-quarter decrease, the executive director at the Catalan Tourist Board expressed that Catalonia is prepared to witness revenues of 2017 outshining those of 2016 and that the anticipation in terms of revenues will rise again next.
Nevertheless, more insight will come out at the onset of the New Year when the bulk of pre-reservations are made. His staff are “on alert” in terms of the effect on the main booking season.
The main concern among many economists revolves around the failing business environment in Catalonia, which has witnessed approximately 1,500 firms moving their headquarters out of the region. Situation could get worse in the midst of all uncertainty.
Credit ratings agency Moody’s has cautioned that the financial recovery of the region has been jeopardized
“Moody’s believes that the political instability will negatively affect the region’s economy, in particular foreign investor sentiment and the tourism sector, and add pressure to the region’s already weak finances,” it said last week.