• Instagram
  • LinkedIn
  • WhatsApp
  • Twitter
  • Youtube
  • English English English en
  • Deutsch Deutsch German de
  • Русский Русский Russian ru
Email: [email protected]
Best Iran Tours & Travel Packages 2023
  • Home
  • Iran Tours
    • Iran tour packages price
    • Iran Culinary and Traditional Music Tour (8 day)
    • Iran Ancient (8 day)
    • Iran People (12 day)
    • Iran Inspiration (14 day)
    • Iran Old Roads (14 day)
    • Taste of Iranian Music (14 day)
    • Iran Black Tents (15 day)
    • Iran Desert and Culture (18 day)
    • Iranian Ziggurat (21 day)
    • Black Church (22 day)
    • Iran Glory (23 day)
    • Iran Nature and Historical Sightseeing (25 day)
  • Adventure Tours
    • Dizin (5 day)
    • Dizin – Kish (7 day)
    • Damavand (9 day)
    • Trekking in North of Iran (12 day)
    • Silkroad on Your Bike (16 day)
  • Services
    • Iran Visa
      • Visa Services
      • Visa for U.S , U.K & Canadian Citizens
    • Iran Hotels
    • Iran Guides
    • Transportation
    • Car Rental
    • MICE Services
    • Tailor Made Itinerary and Services
    • Iran Travel Insurance
    • Domestic Flight Ticket
  • Iran Guidebook
    • Iran
    • Iran Cities
    • Climate
    • Iran Dress Code
    • Persian Cuisine
    • Transport Information
    • Language
    • Iran Currency
    • Iran Map
    • Iran Tourist High Season and Low Season
    • Public Holidays in Iran
    • Learning Farsi
  • Gallery
    • Iran Cities Photos
    • Gashttour Tours Photos
  • Blog
    • Iran Travel Blog
    • Travel News
  • About Us
    • About Gashttour
    • Awards & Certificates
    • CEO Message
    • Our Customers Testimonials
  • Contact Us
  • Search
  • Menu Menu

COVID-19 Inflicts $330m in Losses on Iran’s Tourism Industry

blank

The outbreak of the new coronavirus inflicted 53 trillion rials ($330 million) in losses on the Iranian tourism industry during the two months to April 19, the president of the Iranian Hoteliers Association said. Jamshid Hamzezadeh added that 240,000 people are directly and 550,000 indirectly employed in the industry, ISNA reported.

He called on the government to exempt the tourism industry from paying taxes, like hotels, travel agencies and accommodation centers have lost revenues due to total shutdown amid the virus spread.

The coronavirus disease, COVID-19, has inflicted 30 trillion Rials ($187 million) in losses on hotels alone, the Iranian Hoteliers Association’s estimates suggest.

Desperate for Support

The government has announced a bailout for coronavirus-hit businesses, including loans with a 12% interest rate and the Cultural Heritage, Handicrafts and Tourism Ministry has also put forward a rescue package for tourism businesses, which has yet to be finalized. 

Economic operators, however, believe that although these bailouts are positive measures, they can’t resolve the industry’s problems.  

Amir-Pouya Rafiei-Shad, the head of Tehran Province’s Tour and Travel Agencies Association, said: “The bailout does not offer much of a cure, given the fact that the pandemic has brought tourism to a standstill for two months now”. He said: “Last year was a bumpy ride for the tourism industry: spring flooding events, November protests, and the Ukraine International Airlines plane crash. The outbreak of the coronavirus may be the last straw for the industry not only in Iran but in the whole world”

Noting that the Cultural Heritage, Handicrafts, and Tourism Ministry has proposed a value-added tax delay to support the industry, he said no transaction has been conducted over the past couple of months because all travel agencies were closed. 

“The government needs to offer tax exemption to the tourism industry for fiscals 2019-20 and 2020-21, and lend support by providing social welfare to employees of this sector. Reducing the unemployment rate has been the promise made by all governments; the financial support could help save jobs and prevent the bankruptcy of travel agencies,” he said. 

Rafiei-Shad put the number of travel agencies in Tehran at 20,000 and said considering that each of them has 10 people on their payrolls and each employer is the head of a four-member household on average, they provide the livelihood of 80,000 people only in the capital city. 

Mahdiyeh Jahangir, a tour guide, told Persian-language daily Iran, that no one accepts responsibility for the unemployment of tour guides. 

“There are 10,000 tour guides in Iran and as they don’t have an employer, they usually don’t have insurance coverage and consequently can’t receive unemployment benefits. We only have a tour guide ID card and nothing else,” she said.

Hamzehzadeh said the government bailout for tourism businesses is 120 million rials ($750) for each employee, which must be repaid over two years with a 12% interest rate. 

“This sum is only enough to pay financial compensation for two months of an employee’s services. The government needs to offer loans at low-interest rates like 5% instead of 12% to the tourism industry and consider a five-year period for the repayment of these loans with a one-year moratorium period,” he said.

Government Aid Package

The government has approved a 750-trillion-rial ($4.68 billion) package to help low-income households and struggling businesses impacted by the rapidly spreading coronavirus. The loans will be given to small and medium enterprises hit hard by the pandemic, according to the website of the Central Bank of Iran. 

The lending rate will be 12% to be repaid within two years, Abdolnasser Hemmati, the CBI governor, said. 

Commenting on the interest rate, Hemmati said it is reasonable, given the high inflation rate in the country. 

“Even if banks set an 18% interest on loans, the real interest rate would still be negative when compared to annual inflation … Any rate below 12% would apparently impose further financial strain on banks,” he said. 

Hemmati said only businesses that did not lay off workers during the corona crisis would be eligible for the loans, as he instructed banks to process the loans soon and cut red tape. 

In the wake of the coronavirus pandemic, few industries have fallen as far and as fast as tourism. The technological revolution that brought us closer by making travel and tourism easy and affordable—a revolution that fueled one billion trips a year—is helpless in halting a virus that demands people stay home, the National Geographic wrote.

Taking a snapshot of tourism losses is difficult, as the data change as quickly as the virus spreads. If the pandemic continues for several more months, the World Travel and Tourism Council, the trade group representing major global travel companies, projects a global loss of 75 million jobs and $2.1 trillion in revenue. Losses come daily; as of April 2, British Airways is reportedly poised to suspend 36,000 staffers.

Latest data show eight million tourists visited Iran during the first 10 months of last Iranian year (March 21, 2019-Jan. 20), Cultural Heritage, Handcrafts and Tourism Minister Ali Asghar Mounesan were quoted as saying by the Persian-language daily Donya-e-Eqtesad.

About 2.11 million tourists traveled to Iran from Oct. 23, 2019, to Jan. 20, suggesting the monthly average of 650,000 visitors. The figure shows a 29% decline compared with the month ending Oct. 22 and a 25% decrease compared with the monthly average recorded for the first half of the current year (March 20-Sept. 22, 2019).

Search

Recent
  • European adventureA European adventure: Planning your dream holiday across...March 23, 2023 - 10:52 am
  • Wizz AirBudapest Airport adds winter routes with Wizz AirMarch 22, 2023 - 10:13 am
  • AsiaNext destination-Asia: A travel guideMarch 20, 2023 - 8:14 pm
  • AlephAleph to expand French hotels in AfricaMarch 19, 2023 - 6:14 am
  • Ethiopian AirlinesEthiopian Airlines Resumes Flights to Kuala LumpurMarch 18, 2023 - 8:04 pm
  • CaboFive cheap ways to travel within CaboMarch 16, 2023 - 9:44 am
  • cruise shipThis cruise ship will take you to 135 countries in 3 years!...March 15, 2023 - 4:53 am
  • All inclusive hotelsIn your next vacation, enjoy the all inclusive hotelsMarch 14, 2023 - 7:03 am
  • RussiaRussia to launch e-visas and payment cards for foreigne...March 13, 2023 - 9:46 am
  • MITTInternational trade fair for travel and tourismMarch 12, 2023 - 6:58 am
  • Swan HellenicSwan Hellenic spreads its wings across AfricaMarch 11, 2023 - 8:09 am
  • MieVisit Mie: what to do and see in this hidden gemMarch 9, 2023 - 7:34 pm
  • EgyptEgypt presents its new tourism conceptMarch 9, 2023 - 7:47 am
  • Norwegian Cruise LineNCL recovery forecast makes a splashMarch 8, 2023 - 8:24 am
  • Hong KongHong Kong says goodbye to masksMarch 8, 2023 - 7:53 am
Popular
  • Kashkan BridgeBridges in IranFebruary 2, 2020 - 10:57 am
  • blankIran emerging as the new experiential travel hotspotFebruary 10, 2019 - 7:02 am
  • blankChinese are allowed to visit Iran visa-freeJuly 1, 2019 - 10:31 am
  • blankIran Is Safe, Beautiful and Attracting: Marc WilmotsJuly 2, 2019 - 10:16 am
  • blankVisa-Free Regime for Chinese TouristsJuly 4, 2019 - 7:54 am
  • blankConstruction of Kish Island’s First 7-Star Hotel Unde...July 6, 2019 - 6:28 am
  • Darbe ShazdehRanking of Iran hotelsJuly 8, 2019 - 12:47 pm
  • Iranian ForestUNESCO Adds Iranian Forest To World Heritage ListJuly 9, 2019 - 10:12 am
  • iran is safeUNWTO says to introduce Iran as safe tourism destination;...July 18, 2019 - 9:57 am
  • Traditional HotelAnother traditional hotel start working in IsfahanJuly 23, 2019 - 7:38 am
  • ChabaharForeign Travelers to Chabahar Up 147%July 24, 2019 - 11:33 am
  • iran tourIran Tourism Grows 1.9% to Account for 6.5% of GDPJuly 30, 2019 - 9:42 am
  • Iran's Top HotelsIran’s Top 8 Hotels in 2019: Trip Advisor Travelers’...August 1, 2019 - 8:23 am
  • Visa Hong KongVisa-Free Regime for Hong Kong TouristsAugust 3, 2019 - 10:16 am
  • iran tourIran Ambassador: Iran major destination for foreign tou...August 4, 2019 - 8:14 am
Tags
Black Church Caves of Iran Christianity Culture of Iran Culture Tour Historical places in Iran Iran Attractions Iran cities Iran Desert Iranian Cuisine Iranian food Iran Mountain Iran Tour Iran tourist attractions Iran Travel Islands of Iran Lakes of Iran Provinces of Iran Qara Kelisa Shiraz Travel to Iran UNESCO World Heritage Sites in Iran World Heritage Site

Calendar

March 2023
M T W T F S S
 12345
6789101112
13141516171819
20212223242526
2728293031  
« Feb    

Instagram

Follow Me!

Our Partners

blank

Services

Iran Visa
Iran Hotels
Iran Tour Guide
Iran Travel Insurance
Domestic Flight Ticket
Car Rental

Iran Cities

Tehran
Shiraz
Isfahan
Yazd
Kish
Mashhad

Iran Tours

Iran People  12 days – 11 nights
Iran Inspiration 14 days – 13 nights
Iran Ancient 8 days – 7 nights
Iran Old Roads 14 days – 13 nights
Iran Glory 23 days – 22 nights
Iran Desert 18 days – 17 nights

Contact

gashttour

© Copyright IT Department Gashttour Travel Agency
  • Instagram
  • LinkedIn
  • WhatsApp
  • Twitter
  • Youtube
Persia in TimeAchaemenes empireblankSingapore, China eye mutual restart to business travel
Scroll to top
  • English