A tourist group in the Kyrgyz mountains. Archive photo from Elgezit.kg
The head of The Tourism Association of Kyrgyzstan, Ermek Myrzabekov, has stated that 20% of Kyrgyz tourism companies have already been wound up due to the COVID-19 epidemic, and a further 50% could follow suit within a weeks. The story was originally covered by Vecherniy Bishkek (in Russian) on 18 May.
Myrzabekov said that 20% of tourism firms have already vacated their offices, fired all their staff and wound up all their dealings with partner companies. “A further 50% of companies can hold out for about another month on their existing reserves, and then they’ll go the same way,” the association head said. He added that around 60% of employees in the tourism sector have already lost their jobs, 35% are on forced leave, and 5% are working from home. Calculating the exact number of people who have lost their jobs in the sector, he said, is not easy, since there are so many seasonal workers and self-employed individuals involved in tourism (such as drivers and guides).
Myrzabekov said that no kind of revival for the tourism industry is to be expected for the 2020 season. “Just a few days ago we heard that Turkish Airlines and Ural Airlines have decided not to resume flights to Kyrgyzstan until 1 August. In other words, no tourists are going to come to us from these places,” he explained. Tour operators are currently shifting focus onto domestic tourism, counting on the lifting of restrictions on interregional travel. But Myrzabekov warns that: “We have to remember that the lockdown measures have been a heavy blow not just for us. The economic crisis has effected everyone in Kyrgyzstan, and many people just can’t afford to spend much money on travel and leisure.”
The government has provided businesses with a three-month deferral on tax payments, but this is not going to help tourism firms. “A month from now, we’ll have to pay taxes for the last three months all in one go. This could be a harsh blow to the whole sector,” Myrzabekov said. He explained that tourism companies are not like stores, which can start to make money again the day they reopen after the lockdown. On the other hand, the Kyrgyz government’s Tourism Department is currently working on a support plan for the industry. The Tourism Association has been participating in the department’s work, with concrete measures expected to be proposed at the end of the month.
