Hospitality revenue rebounds in 2021, but far from pre-pandemic level

Portugal’s hotel sector rebounded in 2021 from the previous year, with revenues up more than 60% but still well below their level in 2019, before the health crisis, according to official figures released on Monday.

The National Institute of Statistics (Ine) announced that hospitality revenue last year amounted to 2.3 billion euros, which is an increase of 61.2% compared to 2020, but a decrease of 45.8% compared to 2019.

Hotels and other accommodation establishments received a total of 14.5 million tourists, including 5.9 million foreign tourists, Ein said. In 2019, Portugal welcomed 16.4 million international tourists. The weight of tourism in the Portuguese economy fell from 15 to 8% of GDP between 2019 and 2020.

The health crisis caused a recession of 8.4% in Portugal in 2020, the most severe recession since the 1974 Carnation Revolution, but in 2021 the country recorded a growth of 4.9%, a record since 1990.

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