Current Government to Cut Tourism Dollars by 50%

A 50% Government cut in tourist promotional funds will affect the number of tourists who come to Panama.  This was stated by the Panamanian Hotel Association (Apatel) through a statement released this year.  The Panamanian economy would stop attracting $1.1 billion due to the cut in funds to promote Panama as a tourist destination. The industry demands answers from the authorities. Panama’s economy will be deprived of a $1.1 billion injection due to a $10 million reduction in funds allocated to tourism promotion. The organization specified that instead of allocating $20 million in tourism promotion, the State only allocated half of that this year.  Law 9 of 2017, which created the Tourism Promotion Fund (Promtur), establishes that it must have an annual budget of 20 million dollars to execute the country’s international strategy as a tourist destination. By assigning only half – says the hoteliers’ statement – ​​marketing strategies, international advertising and strategic alliances in convention tourism will be compromised.  “The lack of dialogue and action by the economic and legislative authorities further aggravates the uncertainty in the sector.”  Tourism plays a vital role in the Panamanian economy, generating direct and indirect employment and contributing significantly to the inflow of foreign currency and tax collection.  According to the Panama Tourism Authority (ATP), estimated tourism income between January and November 2023 amounted to $4,992.7 million.  The May 5 elections are coming for a new party in power, and there are politicians who are big on tourism and tourism dollars so I am sure that we will see some upgrades to these Promtur funds this year 2024.  We definitely need more tourism and tourist attractions.