Conflict Weighs on Overseas Tourism to Gulf, Intra-GCC Travel Recovers
Dow Jones
Aug 18
1459 GMT - The recovery in tourism to the Gulf from outside the region remains slow and could stay weak for some time, Capital Economics says. Concerns about renewed conflict and flight cancellations risk continuing to weigh on travel by non-GCC visitors, says William Jackson, chief emerging markets economist at Capital Economics. Spending in Bahrain on cards issued outside the Gulf is down around 40% from a year ago, while spending on GCC-issued cards has largely recovered, he says. If the weakness persists, tourists could increasingly shift to destinations including the Caribbean, Indian Ocean and Southeast Asia, with Morocco and Thailand also potential beneficiaries, Jackson says.
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