The European Bank for Reconstruction and Development (EBRD) has provided an overview of COVID-19 mitigation measures to be considered by the Ukrainian authorities, business and proposed by professional associations. It also recommends further steps needed in order to put tourism on the path to recovery, the bank’s press service reported on Tuesday.
The recommendations are provided for updating the Roadmap for a Competitive Development of Ukrainian Travel & Tourism (T&T) Industry developed by the EBRD based on the report entitled “Covid-19 Pandemic and its Effects on the Ukrainian Tourism Sector” by a team of the bank’s specialists and HD Consulting under the EU4Business initiative.
“In the changed circumstances, action plan must change for 2020 and 2021 to include the immediate steps for responding to COVID-19 crisis and maximizing T&T economy of Ukraine,” the experts said in the report.
According to the document, the main task at the first stage is restoration of affordable transport solutions within Ukraine with the emphasis of connectivity to priority destinations. Establishment and internal marketing of set of rules for operations for various accommodation and catering objects should be provided.
In addition, the priority is maintaining internal air and rail travel connectivity and ticket prices with possible subventions, supporting domestic travel through introducing travel vouchers and credit lines for domestic travel; further prolonging tax obligations for accommodation and catering for VAT and profit tax. The deadline for the approval of the T&T support project and drafting of the first round of legal adjustments for tourism is September 2020.
One extra activity to be added in the framework setup phase (whose initiation is postponed from 2020 to 2021 due to the circumstances) is digitalization of Ukrainian tourism supply and reservations, in particular, establishment of an internationally competitive system of national tourism marketing.
“Expecting that this might showcase the potential of domestic demand for tourism and the ability of tourism industry to rehabilitate, decision makers should be able to estimate the magnitude and the need for support to the sector through Q2/2020 and subsequent losses immediately after the summer season (September-October 2020). The key argument here is that Ukrainian tourism industry has to show the ability and competitiveness to attract domestic market as a guarantee that it can remain competitive in the future and thus worth saving,” the experts said.
