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Swiss tourism fears crisis, seeks state support

Published 02/12/2009, 06:46 AM
Updated 02/12/2009, 06:48 AM

ZURICH, Feb 12 (Reuters) - Switzerland expects the financial crisis to hit its tourism industry hard from this summer after a bumper ski season, the tourism board said on Thursday, calling on parliament to approve cash for extra marketing. "Swiss Tourism expects the fall in the number of overnight stays to accelerate after the winter sports season. In the summer of 2009 the economic crisis is likely to hit tourism with full force," the board said in a statement.

Tourism is a vital part of the Swiss economy, with spending by foreign tourists making up 2.5 percent of gross domestic product. The Alpine country is currently enjoying one of its best skiing seasons for years after heavy snowfalls.

While domestic tourism is expected to hold up, the tourist board predicts fewer visitors from Asia, the rest of Europe and particularly the hard-hit economies of Britain and the United States. The strong Swiss franc is also hurting the industry.

The tourism board called on parliament to approve an extra 12 million Swiss francs ($10.37 million) in spending for the industry that the cabinet proposed on Wednesday.

"Extra targeted marketing is the only short-term measure possible to stimulate demand and dampen the effect of the crisis," it said.

The BAK Basel Economics think-tank has predicted a 4 percent drop in foreign demand in the Swiss tourism industry for the November 2008-October 2009 period and no recovery until the end of 2010. (Reporting by Emma Thomasson; editing by Stephen Nisbet)

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