"The figures prove that the format for compensation we submitted to the government beyond the 40-kilometer line is what is needed," Minister of Tourism Uzi Landau said. Ministry of Tourism director general Amir Halevy said, "The tremendous blow to tourism suffered by the Israeli economy in all areas of Israel as a result of canceled visits is a factor in the economic slowdown, as shown by Bank of Israel discussions taking place now." The Ministry of Tourism is warning about a domino effect: it reports cancellations of visits to Israel in early 2015, too.
The figures show a 31% drop in incoming tourism in July, while the August figures indicate that the effect of Operation Protective Edge on tourism was greater. 182,000 visitor entries were recorded in August, 36% fewer than in August 2013. This figure is lower than the August figures in 2007-2013, but 49% higher than in August 2006, during the Second Lebanon War, when there were 122,00 visitor entries. 164,000 of the August 2014 entries were by tourists, 32% fewer than in August 2013. The number of tourist entries in August 2014 was also fewer than the August figures in 2007-2013. Entries by air totaled 147,000, 31% fewer than in August 2013, entries by land totaled 17,000 (42% fewer than in August 2013), entries through the border crossings with Jordan totaled 11,000 (down 49%), and entries from Taba (in Sinai) to Eilat totaled 6,000, 19% more than in August 2013.
18,000 day visits were recorded in August, down 59%, compared with August 2013, including 500 day visits from cruise ships, compared with 16,100 in August 2013, a 97% drop. There were 6,000 day visits by air, 73% fewer than in August 2013, and 11,000 day visits by land, 2.5 times as many as in August 2013.
The Ministry of Tourism announced that it was convening all its agents around the world to formulate a plan for attracting tourists, who provide jobs to 200,000 people, to return to Israel. "Every intelligent person realizes the importance of rehabilitating tourism as a growth engine earning NIS 40 billion a year. Compensation for this industry will generate several times as much in revenue for the economy," ministry sources said.
Published by Globes [online], Israel business news - www.globes-online.com - on September 9, 2014
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