BREXIT: Possible challenge to Malta’s tourism industry

The Malta Hotels and Restaurants Association (MHRA) notes the results of the BREXIT referendum and is currently discussing with the Ministry of Tourism with a view to address possible reactions to the results that may impact the Maltese tourism sector.

Tourism from the UK represents 30% of the total number of visitors to Malta, contributing just under half a billion euro in 2015 to our economy. MHRA President Tony Zahra states that, “The Brexit results represent an important development in world politics and economics which will have an impact on Malta, including the tourism sector. From a basic economic perspective a weaker sterling will get less euro for its pounds, so it will be more expensive for the British traveller to holiday outside UK. But it’s more complicated than that, especially in terms of British holidaymakers’ behaviour. Past experience has demonstrated that demand for overseas travel by the British traveller is price sensitive. However there are other issues which need to be considered such as the impact on the freedom of the skies and its effect on airlines including Airmalta, travel insurance policies, and the general impact that may result as a result of instability.”

Towards this end MHRA will be organising a seminar next week addressing these matters and accordingly what needs to be done to ride the wave. This initiative is being supported by the Ministry of Tourism. For more information refer to www.mhra.org.mt.