Israeli tourism industry faces serious crisis

An Israeli tourism expert has warned of a “serious crisis” in the industry, with a marked decline in hotel occupancy. The chair of the Israel Hotel Managers’ Association, Etty Levy, said that she expects a reduction in the number of tourists visiting Israel in the coming months. This, she claims, could lead to a reduction in room charges.

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In a report published by the Israeli economic website Globes, Ms Levy said, “Information I have from many hotel managers in Israel indicates that foreign reservations for the first half of 2012 are below the average for this time of year.” She predicted that the global economic crisis will result in a wave of cancellations of reservations already made.

Levy is the CEO of a hotel chain in Israel and called upon the Ministry of Tourism to step in. “Unless we take major measures now, we may see many staff layoffs and a reduction of activity by the end of the first quarter of 2012,” she warned.