Sunday May 24, 2015 Search
Weather | Athens
14o C
09o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Tourism may shave 2-3 pct off GDP

 Drop in arrivals and revenues to cause loss of up to 100,000 jobs in 2012

By Stathis Kousounis

Gross domestic product could go down two to three percentage points (or 4-6 billion euros) by the end of the year, and up to 100,000 jobs will be lost if tourism revenues drop by 10 to 15 percent this year compared to last year, according to the head of the Hellenic Chamber of Hotels, Giorgos Tsakiris.

Similarly, the Association of Greek Tourist Enterprises (SETE) estimates that the targets of 16 million arrivals and 10 billion euros of revenues set for the industry for 2012 are impossible, especially when one considers that the figures of the first couple of months compiled by the Bank of Greece have shown a drop in both.

“Sector professionals are trying by themselves, without any state support mechanism or reaction strategy, to tackle an emerging trend of decline in tourism revenues that could reach up to 10-15 percent,” the head of the hoteliers’ chamber told Kathimerini. He stressed that the considerable downturn in bookings so far this year illustrates the haphazard response to tourism issues that the state has shown time and again.

SETE added that the 44.7 percent drop in revenues in January and February 2012 year-on-year and the 11.1 percent slump in arrivals are estimated to have continued at roughly the same rate for March and April, given that the necessary measures and structural changes have to a great extent not been applied in practice, while the economic crisis in Europe has deteriorated.

“A country like Greece that lives on tourism should maintain its value-added tax on this product at the same level as its direct competitors, i.e. at 5 to 8 percent,” said SETE president Andreas Andreadis.

“The government’s decision last May, in accordance with the troika [Greece’s official creditors], for increasing VAT on food catering to 23 percent, which is among the world’s highest, was entirely incomprehensive and defied any logic. Within a few months it has destroyed thousands of enterprises and resulted in the loss of tens of thousands of jobs, especially those held by young people, while also reducing the state’s revenues at the end of the day,” stated Andreadis.

ekathimerini.com , Tuesday May 1, 2012 (23:16)  
Hotel contracts with a ‘Greek default clause’
Listed firms have whisked away most of their cash reserves
Car sales drop a gear on VAT rate uncertainty
Bulk of loan requests comes from food service
Protesters torch trolley bus, clash with police in Athens
Around 40 hooded anti-establishment protesters threw petrol bombs and stones at riot police in central Athens on Saturday, setting fire to a trolley bus. Police fired teargas to try and cont...
Tsipras faces down radicals within SYRIZA over terms of deal
After a busy week of talks with European leaders aimed at securing support for a deal for Greece, Prime Minister Alexis Tsipras faces challenges on the home front amid tensions with SYRIZA o...
Inside News
SOCCER
Reds add Cup to league trophy with 3-1 win over Xanthi
Olympiakos completed a league-and-cup double on Saturday by beating Xanthi 3-1 in the Greek Cup final at the Olympic Stadium of Athens, that was more balanced than the final score suggests. ...
BASKETBALL
Olympiakos strolls past Korivos Amaliadas
Olympiakos completed the Basket League’s semifinal line-up on Saturday after sweeping Korivos Amaliadas with a 2-0 score in the best-of-three quarterfinals. After winning 91-52 in Game 1 at ...
Inside Sports
ANALYSIS
Neither Grexit nor a dual currency will solve Greece’s problems
A Grexit or the introduction of a dual currency is not a solution to Greece’s problems. On the contrary, it would be a worst-case scenario for Greece in the short term. Only in the medium to...
COMMENTARY
First aid for the capital
The fact that the center of Athens exudes the stench of human waste is an undeniable truth, just like the fact that in late spring, one nostril smells blossoming bitter lemon trees while the...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Reds add Cup to league trophy with 3-1 win over Xanthi
2. Olympiakos strolls past Korivos Amaliadas
3. Protesters torch trolley bus, clash with police in Athens
4. Tsipras faces down radicals within SYRIZA over terms of deal
5. Police on standby after Roma dispute leaves one dead
6. Dog attacks seven people in Thessaloniki, including 13-year-old boy
more news
Today
This Week
1. Hotel contracts with a ‘Greek default clause’
2. Neither Grexit nor a dual currency will solve Greece’s problems
3. Listed firms have whisked away most of their cash reserves
4. First aid for the capital
5. Tsipras faces down radicals within SYRIZA over terms of deal
6. New civil service assessment scheme focuses on rewards instead of punishment
Today
This Week
1. The Greek-German breakthrough that didn’t come
2. Conspiracy madness
3. Greece came close to not paying IMF
4. National self-awareness put to the test
5. Albanian demarche raises concerns about possible territorial claims over Greece
6. Greek endgame nears for Tsipras as bank collateral hits buffers
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2015, H KAΘHMEPINH All Rights Reserved.