COVID-19 Pandemic and Tourism Sector in Ethiopia

Abstract

The outbreak of Corona Virus caused massive damage on Ethiopian economy. In order to save
human life caused by the pandemic, travel restriction and stay-at-home advice was ordered. As
a result, the tourism sector is one of the highly affected economic sectors in the country. This
paper intends to assess the effect of COVID-19 on tourism sector in the country. The assessment
was made based on the summative assessment result of sub sectors including accommodation,
transport, food and beverage, entertainment, and other connecting operators. These sub-sectors
are naturally demanding human mobility and close social interaction. The study found that
hotels occupancy rate was reduced from 80-85% to less than 5%, transportation particularly
international air travel stopped, SME’s around the tourism sector lost their market, financial
service providers linked to the industry ceased, and employees and customer behavior changed a
lot. The study recommends that integration and cooperation of the actors in the sector as a
solution to save the sector from the pandemic impact.