Dewan Rakyat: The country loses RM100 billion due to the cancellation of VM2020 - MOTAC

KUALA LUMPUR: Following the cancellation of the Visit Malaysia 2020 Year Campaign, the country suffered a loss of approximately RM100 billion.

According to the Ministry of Tourism, Arts and Culture (MOTAC), the loss is due to the drop in tourist expenses, especially those related to accommodation, transportation, shopping, food and beverages.

Based on 2019 international tourism data, MOTAC said tourists spending from China was the second highest with a contribution of 17.8%.

"The number of Chinese tourists for the first half of the year (January - June) in 2019 is 1,558,782 people, an increase of 6.41% from the same period in the previous year, 2018.

"As expected, the spread of the COVID-19 epidemic has affected the number of foreign tourists to Malaysia, with the presence of Chinese tourists for the first half of this year declining by about 74% compared to the same period in 2019," MOTAC said.

The matter was informed through a written answer distributed in the Dewan Rakyat today.

MOTAC said the international tourism sector or the inbound market, recorded greater losses than the domestic market, and the implementation of the Conditional Movement Control Order nationwide, could have a detrimental effect.

Earlier, Datuk Seri Tiong King Sing (GPS-Bintulu) wanted to know the impact of the decrease in the number of Chinese tourist arrivals since the COVID-19 pandemic crisis compared to 2018 and 2019.

Apart from that, he also wanted to know the preparation measures by MOTAC for the opening of national borders when it is allowed later.

Commenting further, MOTAC said, it will continue to ensure the continuity of efforts to develop the country's tourism industry, such as increasing cooperation between its party and related agencies to facilitate the entry of foreign tourism.

"The Ministry will implement a recovery plan strategy, especially for the 'market rebound' for the regional market of ASEAN and also the medium-distance market of East Asia as the biggest contributor to the total attendance and expenditure of foreign tourists to Malaysia as market and economic conditions recover.

"In addition, MOTAC through its agency Tourism Malaysia will revitalise the 'Malaysia Truly Asia' brand by emphasizing the Experiential Malaysia concept as soon as the COVID-19 epidemic can be curbed," he added.

In addition, the ministry said, they will enhance strategic cooperation with the private sector, local and international airlines, as well as maximize the socio-economic potential of the tourism sector through digitalization in formulating competitive promotion and marketing strategies.