BUCHAREST | Tourism industry in Romania revenues decreased by 16% over the past four years, down to 1.5 billion Euros in 2011, mainly due to the small number of foreign tourists and their expenditures, with the local market being one of the most affected by the financial crisis in the region, according to PwC Romania.
Expences of foreign tourists decreased from more than 750 million in 2008 to less than 600 million Euros in 2011, while domestic tourists reduced their spending in this period from 1.01 billion Euros to 900 million. In the past four years, the average annual growth rate of the local tourism industry was negative, -5.7% respectively. “The recession has had a severe impact on tourism industry of Central and Eastern European countries, Poland, Slovakia and Romania being the most affected markets.”
Recession reduced the disposable income of consumers, who saw the need to reduce holiday costs. “By far the most affected segment of the changes in consumer behavior was that of holidays abroad, Romanian tourists being forced to reduce expenses by 30% from 460 million Euros in 2008 to 310,000,000 in 2011”, Andrei Cretu, manager at PwC Romania and one of the authors of the study said in a statement.