O Carnival 2023 must move BRL 8.18 billion in revenue this year, an advance of 26.9% compared to 2022 estimates the National Confederation of Trade in Goods, Services and Tourism (CNC).
According to the confederation, around 85% of revenue should be generated by three segments: bars and restaurants, passenger transport and hotel and lodging services. The expected movement of the sectors is respectively: R$ 3.63 billion, R$ 2.35 billion and R$ 890 million.
The CNC informs that the remaining 15% are divided between leisure and culture companies and other segments, such as car rental and travel agencies.
Carnival: Before, during and after the pandemic
In 2020, the last carnival before the coronavirus pandemic Covid-19 having been enacted, the financial volume was R$ 8.47 billion. According to the CNC, in 2021, this brand showed a 43% drop in revenues, accounting for BRL 4.82 billion, due to the restriction measures.
In 2022, when there was already a partial resumption of movement, due to the vaccination of the population, revenue was R$ 6.45 billion, 24% below the 2020 level.
“The entry of foreign tourists in the months of February, which is another important thermometer of the level of activity in the tourismwas 672 thousand in 2020, 36 thousand in 2021 and 254 thousand in 2022. The expenses were, respectively, US$ 478 million, US$ 211 million and US$ 359 million”, informs the confederation.
José Roberto Tadros, president of the CNC, says that the main obstacle to restoring revenues to pre-pandemic levels is the current less favorable economic context.
“Price readjustments in virtually all segments, the significant increase in interest rate and the high commitment of income to debts make spending on leisure moderate, but still considerably higher than in 2021”, says the president.
aerials in the heights
O Extended National Consumer Price Index (IPCA), calculated by Brazilian Institute of Geography and Statistics (IBGE), pointed to an increase of 23.53% in airline tickets, in 2022.
In the same sense, accommodation increased by 18.21%, and tour packages were 17.16% more expensive. The three variations projected above the general price level, which rose 5.79%.
Fabio Bentes, economist at CNC, explains that these services are most often purchased in installments, which, with more expensive credit, explains the difficulty of the tourism sector in surpassing the pre-pandemic level.
According to the CNC, the average interest rate on loans and financing freely obtained by individuals reached 59% per year, the highest level since August 2017, when the index was 62.3%.
Source: Moneytimes
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