Tobago Tourism Hits Slump: Impact of SOE & US-Venezuela Tensions

Published on December 27, 2025

Tobago, usually a sanctuary of turquoise waters and rhythmic steelpan, is facing a somber Christmas season. On December 26, 2025, reports from the Newsday and tourism stakeholders paint a picture of an island caught in the crosshairs of a regional geopolitical storm and local security measures.

The combination of a domestic State of Emergency (SoE) and escalating military tensions between the United States and Venezuela has led to a dramatic downturn in visitor arrivals, leaving many of the island’s iconic beaches and resorts uncharacteristically quiet during what should be their busiest week.

For hoteliers like Reginald MacLean, President of the Tobago Hotel and Tourism Association (THTA), the 2025 festive season has been a “blue” one—and not because of the ocean. Speaking from the Blue Waters Inn in Speyside, MacLean noted that while his establishment usually boasts 100% occupancy during the Christmas window, this year it sits at roughly 70%.

Across the island, the story is the same. From the quiet waterfront of Charlotteville to the guesthouses in Crown Point, the usual influx of international and regional travelers has thinned. The culprit is a “double-edged sword” of domestic policy and international friction.

The Domestic Factor: The State of Emergency (SoE)

In response to a surge in violent crime across the twin-island republic earlier in 2024 and 2025, the government implemented a State of Emergency. While officials have emphasized that there is no curfew in effect and that “Tobago remains open,” the mere label of an SoE has a “chilling effect” on international travel markets.

• Perception of Safety: For families and luxury travelers, an SoE is a major red flag that often triggers changes in travel insurance coverage and official travel advisories.
• The “Peter Paying for Paul” Effect: Local leaders, including THA Minority Leader Kelvon Morris, have argued that Tobago is unfairly suffering for crime issues primarily centered in Trinidad, effectively punishing the island’s tourism-dependent economy for mainland struggles.

The Geopolitical Factor: The Shadow of War

Perhaps more damaging than the SoE is the escalating military posturing just off Tobago’s coast. In December 2025, tensions between the United States and Venezuela reached a fever pitch following the US seizure of an oil tanker and the declaration of a “no-fly zone” over Venezuelan airspace.

The US military’s installation of a radar system in Tobago and the granting of airport access to US forces have led the Maduro regime to label the island an “aircraft carrier for the American empire.” This “wartime anxiety” has led to:

• Mass Cancellations: Risk-averse travelers, particularly from North America and Europe, have opted for “safer” Caribbean alternatives like Barbados or Grenada.
• GPS Interference: Reports of signal jamming in the region have made navigation difficult for private yachts and small aircraft, further isolating the island.
• Energy Uncertainty: The breakdown of gas agreements between Port of Spain and Caracas has added a layer of economic instability that dampens investor confidence in the region’s tourism infrastructure.

The Human Toll on the Ground

Beyond the hotel balance sheets, the downturn hits the “small man” the hardest. Taxi drivers, reef boat operators at Buccoo, and street food vendors in Store Bay are seeing a fraction of their usual holiday revenue.

“We wait all year for these two weeks,” says one local vendor. “Between the news of the warships and the police sirens, people are just scared to come. They think there is a war coming, but here on the ground, we are just trying to survive.”

Looking Toward 2026: A Call for Action

Stakeholders are now calling on the government to move beyond “promises of diversification” and take tangible steps to decouple Tobago’s image from the regional conflict. Suggestions include:

Targeted Marketing: A campaign specifically highlighting Tobago’s distance from the mainland crime hotspots.

Compensation: Some THTA members have even suggested that the US or local government should provide “anxiety compensation” to businesses affected by the military build-up.

Diplomatic De-escalation: Urging Caricom to mediate and ensure the Caribbean remains a “Zone of Peace.”