Tourism in Ukraine continues to suffer losses: how much money did the industry bring to the budget in 2023
Ukraine is a major tourist country, with millions of foreigners visiting every year before the war. However, after the start of russian aggression, the tourist destination began to suffer losses. Find out more about how much money the tourism industry brought in in 2023
In the first quarter of 2023, Ukraine faced a significant decline in tax revenues from the tourism industry. The drop in tax revenues amounted to 29% compared to the same period last year. Here's a look at which tourist destinations have suffered the biggest losses.
According to the State Agency for Tourism Development, in the first three months of the year, representatives of the Ukrainian tourism industry paid 29% less taxes (UAH 383 million 221 thousand) than in the same period of 2022, when the budget received UAH 540 million 406 thousand.
At the same time, compared to the same period in 2021, the drop was as much as 39%. At that time, UAH 629 million 135 thousand were transferred to the treasury.
Which areas suffered the greatest losses?
The total number of taxpayers in the tourism industry decreased by 34%. The number of legal entities decreased by 35%, and individuals - by 34%. Comparing this figure to the first quarter of 2021, the overall decrease was 38% - legal entities by 44%, individuals by 36%.
Hotels paid the most to the budget - UAH 233 million 693 thousand. However, this amount is 22% less than in the same period in 2022, when the treasury received almost UAH 300 million. At the same time, in 2021, hotels paid taxes in the amount of UAH 394.5 million.
The share of tax paid in the first three months of 2023 decreased by 48% from the activities of tourist centers and recreation camps. In total, this sector paid UAH 25 million 652 thousand to the budget. Compared to the same period in 2021, tax revenues fell by 78%.
At the same time, a small increase in taxes paid was recorded from the activities of campsites and caravan parks - by 20%. However, compared to 2021, taxes from these accommodation facilities decreased by 67%.
According to Mariana Oleskiv, Head of the State Agency for Tourism Development of Ukraine, the first quarter of the year is always characterized by the lowest tax revenues from the tourism industry. This is because the tourist season in Ukraine starts in May and ends in November.
We remind you! The ban on visiting the Ukrainian coast of Odesa is still in effect. The Operational Command "South" has already announced its forecasts for the "beach season" in Odesa this year. We will tell you here whether Lanzheron and Arcadia will wait for tourists.
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The simultaneous stay of visitors in the hotel lobby not more than one person per 10 square meters of serviceable area is allowed.
Persons can visit hotels and stay there (outside hotel room) only if they wear respirator or face mask (including homemade mask), so that the nose and mouth are covered.
Hotel guests are obliged to keep the 1.5 meters distance.
Online check-in making in advance is recommended to avoid queues at check-in to hotel.
Meals in hotels are provided through meals delivery service to rooms upon prior order or at hotel restaurants situated inside or in open areas, provided the distance of at least 1.5 meters between seats at adjacent tables.
Not more than 4 clients are allowed to stay at the table (excluding children under 14 years old). Unless these tables are separated by a special partition;
Self-serve is not allowed.