|
|
Caribbean Tourism Report Q3 2009Published by: Business Monitor International Published: Jun. 22, 2009 - 36 Pages Table of Contents
AbstractQ109 Arrivals FallAfter a dispiriting 2008, figures for tourist arrivals in Q109 indicate that the Caribbean is continuing tosuffer from the global economic slowdown. Of the 14 countries reporting results, only three recordedpositive arrivals growth. These lucky few were Cuba (2.0% y-o-y growth), Grenada (1.8%) and Jamaica(3.2%). However, while this performance is highly positive in comparison to regional trends, it remainswell below the growth rates of 8-10% annually registered prior to the global economic slowdown. Indeed,many countries suffered heavily, with arrivals slumping by up to 20% y-o-y. Of these, the worstperforming were Anguilla (-21.4%), St Maarten (-16.1%), and Barbados and the Cayman Islands (bothcontracting by 14.3%). The Caribbean is suffering particularly heavily from the global tourism slowdown owing to its status as arelatively expensive destination - years of foreign exchange inflows means that prices are largelyequivalent to those of North America. As a result, while high-end tourists are continuing to visit theregion, lower-end tourists may be choosing to visit less expensive holiday destinations. Arrivals in Q209will be crucial for the performance in the year as a whole, with the period between Easter and Julytraditionally high season for the Caribbean. After this point, hurricane season will weigh on arrivals yetfurther. Focus On Jamaica Given its high crime rates, it comes as some surprise that Jamaica is proving more resilient than mostother Caribbean islands during the tourism downturn. In 2008, Jamaica recorded arrivals growth of 3.9%y-o-y, making it one of the best performers that year. Moreover, this positive momentum carried on into2009, with arrivals growing by 3.2% in the first two months of the year. However, while these initialtrends are cause for optimism, we are cautious about their continuation, given the ongoing adverseeconomic environment. Moreover, while arrivals have been rising, tourist expenditure has not beenkeeping pace, with expenditure for the first two months of the year actually falling by 1.1% y-o-y. Offers Received For Air Jamaica The Jamaican government’s long-standing efforts to privatise struggling national carrier Air Jamaicareceived a boost in May, when two offers were received during the bidding process. Although thegovernment will not reveal the identity of the two bidders, the timeline is tight, with the deadline for theprivatisation being 30 June. However, this deadline has already slipped repeatedly, with the most recentdeadline of 31 March being extended when no offers were received. It is a positive signal that bids havebeen received, given the current economic climate and the carrier’s poor financial performance, with AirJamaica having more than US$600 million in outstanding loans. With the tourism slowdown furtherweighing on the airline’s value, some investors may hope to acquire it relatively cheaply. However, thegovernment aims to maintain a 20% stake, ensuring that some state support will still be required. Get Full Details About This Report >> |
|
|||
|
About MarketResearch.com
|
||||