scholarly journals Role of tourism industry in generating foreign exchange

2021 ◽  
pp. 10-12
Author(s):  
Kseniia KOVTUNENKO ◽  
Alina VLAIEVA ◽  
Albina KOVALENKO
Keyword(s):  
Exchange Rate ◽  
Foreign Exchange ◽  
Foreign Currency ◽  
National Income ◽  
The United States ◽  
Tourism Industry ◽  
Local Currency ◽  
The World ◽  
The Impact

Introduction. The tourism industry affects the development of both individual countries and the world economy as a whole. With the expansion of international trade and other forms of international economic relations, raising the level of culture and education, tourism is developing rapidly. Significant impact on the activities of the tourism sector is caused by exchange rate fluctuations. As the tourism industry cannot adjust the exchange rate on its own, it has to adapt to currency fluctuations. Thus, the role of the tourism industry in the formation of foreign currency is significant, so the question of the impact of the tourism industry on the formation of foreign currency is relevant today. The purpose of thepaper is to determine the role of the tourism industry in the formation of foreign currency. Results. International tourism is the most numerous commodity in world foreign trade, and for some countries it is already the most important export sector and foreign exchange earnings. As the world is currently experiencing a global health, social and economic emergency with the COVID-19 pandemic, travel and tourism are among the most affected sectors with local aircraft, closed hotels and travel restrictions in almost all countrieіs. The exchange of foreign currency is associated with the purchase or sale of currency other than their own. The rate at which the currency of one country can be converted into the currency of another country is the unit price in terms of another currency in which the exchange takes place. For the tourism industry, a “strong” currency makes its country less attractive, while travel to countries with a “weak” currency is encouraged. A further fall in the dollar against the euro will mean that Europeans, inspired by the purchasing power of the euro and the low dollar, will be much more likely to visit the United States and countries whose currencies are pegged to the dollar as tourists. Conclusion. Thus, on the basis of the conducted analysis it is possible to define that really, there is an interdependence of development of tourist branch and formation of foreign currency in the country. Particular attention should be paid to further study of exchange rate changes and their impact on the intensity of tourism development. In countries where the local currency is pegged to the US dollar, the depreciation of the dollar will also depreciate the local currency. Changes in exchange rates affect the level of price competition in countries, as well as the growth rate of national income.

scholarly journals Optimality of Morocco’s Currency Basket

2019 ◽  
Vol 2 (2) ◽  
pp. 97
Author(s):  
AZZOUZI Asmae ◽  
BOUSSELHAMI Ahmed
Keyword(s):  
Exchange Rate ◽  
Trade Balance ◽  
Foreign Currency ◽  
Financing Constraints ◽  
External Financing ◽  
Local Currency ◽  
Optimal Weights ◽  
Monetary Authorities ◽  
The Stability ◽  
The Impact

<p><em>The objective of this article is to analyze the behavior of the monetary authorities of Morocco in the readjustment of the official weights of anchor currencies in Dirham basket on April 13, 2015. To do this, we are taking into account the objective of the external financing constraints for comparing, with different scenarios, the optimal weights with the implicit weights of the currencies. Such a comparison proves that the authorities take more into consideration the structure of the commercial exchanges than that of the debt for the choice of the optimal weight of the anchor currency. In the final part of the paper, we have delved deeper into this issue by proposing a detailed sectoral study to examine the impact of the exchange rate on the trade balance for each activity sector. Our intention is to find out which foreign currency seems more volatile against the local currency in order to lead the economy to manage the stability of dirham by increasing its weight in the basket. As a result, the higher price elasticity of the Dollar against the dirham encourages Moroccan monetary authorities to increase its weight in the basket. </em></p>

scholarly journals Tourist development between security and terrorism: empirical evidence from Europe and the United States

2019 ◽  
Vol 10 (2) ◽  
pp. 219-237 ◽  
Author(s):  
Mariya Stankova ◽  
Tsvetomir Tsvetkov ◽  
Lyubov Ivanova
Keyword(s):  
United States ◽  
Value Added ◽  
The United States ◽  
Tourism Industry ◽  
International Tourism ◽  
Causality Test ◽  
Financial Flows ◽  
Financial Outcomes ◽  
The World ◽  
The Impact

Research background: Today’s world is torn between extreme conservatism and duality, in opposition, trying to break the classical framework of freedom in the movement of people. In the context of complex global relations, this impulse, especially related to the travels for tourism purposes, raises new issues concerning the safety and security. The tourism industry has a priority for the economic development of many countries in the world and is a large source of export earnings and, at the same time, an important factor in the balance of payments of a significant part of the national economies in the world. The growing importance of the tourism industry, however, puts tourist destinations worldwide at the forefront of new challenges, one of which is terrorism. In this environment, new relationships are emerging and this reflects on the development strategies, as well as on the financial outcomes of tourism industry which are also largely affected. Purpose of the article: Respecting the new realities, the study explores the link between the risk of terrorism and the revenues from international tourism. Its main purpose is to investigate the impact of terrorism on the financial revenues from tourism in the European countries and the United States. The research is deter-mined by the perception that the financial flows from the international tourism are the quantitative manifestation of the hidden effects of the terrorism. Methods: The research method includes a regression cross-section analysis and Granger Causality test. The survey is panel and includes 37 countries from Europe tourism region and the United States from Americas’ tourism region (according UNWTO) for the period 2012–2017. Findings & Value added: In conclusion, the effects of terrorism on the studied regions have been summarized, establishing dependence between terrorism and tourism, which illustrates a specific creative-destructive reflections of terrorism on tourism with regions particularities.

scholarly journals Foreign Exchange Exposure Management Practices by Zimbabwe's Tourism and Hospitality Companies: A Case for the Depreciation of Rand (2014-2016)

2016 ◽  
Vol 8 (4(J)) ◽  
pp. 123-132
Author(s):  
Wilford Mawanza
Keyword(s):  
Foreign Exchange ◽  
Management Practices ◽  
Foreign Currency ◽  
Service Providers ◽  
Exchange Rate Regime ◽  
Tourism Industry ◽  
Research Approach ◽  
Currency Risk ◽  
Tourism And Hospitality ◽  
The Impact

One of the key challenges for tourism and hospitality in the Sub-Sahara Africa (SSA) region is currency behaviours and Exchange rate regime choices. When a company engages in international business foreign currency risk management becomes a crucial part of doing business and the tourism industry of Zimbabwe was not spared on this issue. The objective of this research was to assess the foreign exchange (forex) Exposure Management Practices by Zimbabwe's tourism and hospitality companies. The study was done through a survey on 28 operators in Zimbabwe. A qualitative research approach was adopted in analysis of the data It was found out that the most commonly used ways of reducing the exposure by Zimbabwe's tourism companies were the amicable and mixed-method approaches, of receiving the currency and use it in the country of origin to import materials, matching receipts and payments in foreign currency, risk shifting though it come with low volumes and compromised repeat business. The study recommended that companies and the entire economy must consider invoicing products and services in Rands and even use the rand as a reporting currency. If for example tourism and hospitality players would price regional tourists especially from South Africa and other Rand countries, ignoring the impact of rand depreciation, it would mean that Zimbabwe's tourism and hospitality providers will be in direct competition with the former's own local service providers based on rand priced packages.

scholarly journals Tourism Firms’ Vulnerability to Risk: The Role of Organizational Slack in Performance and Failure

2021 ◽  
pp. 004728752110149
Author(s):  
Chen Zheng ◽  
Zezeng Li ◽  
Jialin (Snow) Wu
Keyword(s):  
Political Risk ◽  
The United States ◽  
Tourism Industry ◽  
Business Failure ◽  
Organizational Slack ◽  
Firm Level ◽  
Threat Rigidity ◽  
The Impact ◽  
Level Performance

This study explores the influence of political risk on firms in the tourism industry. It addresses a research gap regarding the impact of political risk on firm-level performance and failure and uncovers the role of organizational slack in this relationship. Firm-level political risk is estimated from 2002 to 2019 financial data for firms across six tourism sectors in a developed economy, the United States. Such risk is found to be significantly associated with firm performance and business failure. From the perspectives of the resource-based view and the threat-rigidity hypothesis, the results support the moderating effects of absorbed and unabsorbed slack on links between risk, performance, and business failure. Given that the COVID-19 pandemic has highlighted the tourism industry’s vulnerability, this study will be of interest to tourism firms seeking to improve business sustainability and resilience.

Intervention Strategies in Foreign Exchange Market

2020 ◽  
Vol 58 (3) ◽  
pp. 381-399
Author(s):  
Vesna Martin
Keyword(s):  
Exchange Rate ◽  
Foreign Exchange ◽  
Financial Stability ◽  
Foreign Exchange Market ◽  
Foreign Currency ◽  
Supply And Demand ◽  
Central Banks ◽  
Intervention Strategies ◽  
Exchange Market ◽  
The Impact

Abstract The goal of the paper is to present the intervention strategies used by central banks in order to influence the value of the domestic currency, transparency versus discretion when it comes to publishing data about FX intervention and the cost and effectiveness of intervention. It is rarely that nowadays countries allow for an exchange rate to be formed on the market basis through the effects of supply and demand for foreign exchange on the foreign exchange market. The central bank buys or sells a foreign currency in the foreign exchange market in order to increase or decrease the value of its national currency in comparison to the foreign currency. The reasons for the intervention are the reduction of short-term oscillations of the exchange rate, the impact at the level of foreign exchange reserves, as well as the maintaining the price and financial stability as the ultimate goal of most central banks. The paper will present intervention strategies on foreign exchange market, which involves the implementation of interventions in the market of options, forward, foreign currency repo and foreign currency swaps. Then, on the spot market, interventions using an auction, as well as the application of foreign currency indexed certificates.

scholarly journals The Impact of the COVID-19 Pandemic on the Competitiveness of the Tourism Industry

2020 ◽  
Vol 3 (2) ◽  
pp. 126
Author(s):  
Paulus Rikumahu
Keyword(s):  
Human Resources ◽  
Tourism Industry ◽  
Infrastructure Development ◽  
Development Environment ◽  
Role Of Government ◽  
The World ◽  
Temporary Closure ◽  
The Impact ◽  
Better Than

The COVID-19 pandemic has been going on since December 2019 and changed all predictions of tourism competitiveness in various countries in the world, including various regions in Indonesia. The research objective is intended to measure the competitiveness of tourism in the AmboThe COVID-19 pandemic has been going on since December 2019 and changed all predictions of tourism competitiveness in various countries in the world, including various regions in Indonesia. The research objective is intended to measure the competitiveness of tourism in the Ambon City area to determine the contribution of tourism to the economy of Ambon City and Tual City. This study was done in an exploratory manner. The results of the Competitiveness Monitor analysis show that the competitiveness indicators (Human Tourism, Price Competitiveness, Infrastructure Development, Environment, Human Resources, and Social Development) in Ambon City was better than the ones in Tual City. However, the tourism competitiveness analysis referred to had completely changed along with the regional quarantine (lockdown) system implemented in various countries, and the Regional-Scaled Social Restrictions (Pembatasan Sosial Berskala Regional (PSBR)) system implemented in various provinces in Indonesia – which also included a temporary closure of inter-province seaports in Maluku to limit the virus spread. Therefore, there is an urgency of the role of government and related stakeholders to prepare for a new tourism business order, especially in the provision of transportation, and availability of hotels, restaurants, human resources, and environment which are free from the COVID-19 virus.

scholarly journals THE IMPACT OF BALANCE OF PAYMENTS ON MONETARY POLICY

2019 ◽  
Vol 34 (5) ◽  
pp. 1337-1342
Author(s):  
Vesna Korunoska ◽  
Biljana Mitrovic ◽  
Pavle Trpeski
Keyword(s):  
Exchange Rate ◽  
Exchange Rates ◽  
Foreign Exchange ◽  
Foreign Currency ◽  
Supply And Demand ◽  
Real Exchange Rates ◽  
Balance Of Payments ◽  
Adjustment Process ◽  
The Exchange Rate ◽  
The Impact

The paper monitors the balance of payments in the Republic of N. Macedonia, which determines the amount of the exchange rate through the supply and demand of foreign currency, as well as the impact of the exchange rate on the balance of payments movements. Real exchange rates are essentially equilibrium exchange rates. exchange rate that will keep the balance of payments in balance without taking measures for foreign exchange control, without pronounced inflation and deflationary tendencies and without constant expectation of monetary and foreign exchange reserves.There are several methods by which balance of payments can be established: by devaluation, by currency control and by deflation. When considering the relationship between the national currency exchange rate and the balance of payments of a national economy in terms of their interconnections, one should depart from their causal link of impacts. The exchange rate affects the balance of payments, as well as the balance of payments affects the exchange rate.The first part of the paper elaborates in detail the key activities of the balance of payments adjustment and the exchange rate adjustment, as well as their mutual impact.We use the adjustment mechanism to restore balance once the initial equilibrium has been disturbed. The payment adjustment process takes two different forms. One, under certain conditions, has adjustment factors that automatically contribute to balancing. Second, in the event that automatic adjustment fails to strike a balance, the government adopts a discretionary policy to achieve this goal.

The Impact of COVID-19 Quarantine on Children‘s Behaviors and Language

2020 ◽  
Vol 11 (SPL1) ◽  
pp. 796-806
Author(s):  
Sana M Kamal ◽  
Ali Al-Samydai ◽  
Rudaina Othman Yousif ◽  
Talal Aburjai
Keyword(s):  
Social Relations ◽  
Child Psychology ◽  
Simple Random Sample ◽  
Community Pharmacies ◽  
The World ◽  
Female Children ◽  
And Behavior ◽  
The Impact ◽  
Pharmaceutical Interventions

COVID-19 pandemic has spread across the world, which considered a relative of the severe acute respiratory syndrome (SARS), with possibility of transmission from animals to human and effect each of health and economic. Several preventative strategies and non-pharmaceutical interventions have been used to slow down the spread of COVID-19. The questionnaire contained 36 questions regarding the impact of COVID-19 quarantine on children`s behaviors and language have been distributed online (Google form). Data collected after asking parents about their children behavior during quarantine, among the survey completers (n=469), 42.3% were female children, and 57.7 were male children. Results showed that quarantine has an impact on children`s behaviors and language, where stress and isolationism has a higher effect, while social relations had no impact. The majority of the respondents (75.0%) had confidence that community pharmacies can play an important role in helping families in protection their children`s behaviors and language as they made the highest contact with pharmacists during quarantine. One of the main recommendations that could be applied to help parents protection and improvement their children`s behaviors and language in quarantine condition base on simple random sample opinion is increasing the role of community pharmacies inpatient counseling and especially towards children after giving courses to pharmacists in child psychology and behavior. This could be helpful to family to protect their children, from any changing in them behaviors and language in such conditions in the future if the world reface such the same problem.

AN EMPIRICAL STUDY OF INDIAN INSURANCE INDUSTRY POST GLOBAL FINANCIAL CRISIS

2015 ◽  
Vol 6 (01-02) ◽  
Author(s):  
Anis Ur Rehman ◽  
Yasir Arafat Elahi ◽  
Sushma .
Keyword(s):  
Financial Crisis ◽  
Global Financial Crisis ◽  
Insurance Industry ◽  
Primary Data ◽  
Policy Recommendations ◽  
Insurance Sector ◽  
The World ◽  
The Impact ◽  
The New Deal

India has recently emerged as a major political and economic power in the world. The financial crisis that engulfed the world in 2008 needed developing countries like India to lead the rescue and recovery, instead of G7 westerns countries who dealt with such crisis in the past. Recently, discussions and negotiations are going amongst G20 countries regarding a new global financial architecture (G-20 Summit, 2008). The outcome will affect the relevant industries in India and hence it is a public interest issue for the actuarial profession in the country. Increased and more intrusive and costly regulations and red tapes are likely to be a part of the new deal (Economic Survey 2009-10). The objective of this paper is to study the perception of higher level authorities in Insurance sector regarding the role of regulator in minimizing the impact of global financial crisis. The primary data has been collected from 200 authorities in insurance industry. The data has been analyzed with statistical tools like MS-Excel. On the basis of the findings, various measures and policy recommendations for insurers have been suggested to minimize the impact of crisis.

The link between coronavirus, anxiety, and religious beliefs in the United States and United Kingdom

2020 ◽  
Author(s):  
Francesco Rigoli
Keyword(s):  
United States ◽  
United Kingdom ◽  
Religious Beliefs ◽  
Well Being ◽  
The United States ◽  
Christian Faith ◽  
Stressful Event ◽  
Cultural Implications ◽  
The Impact

Research has shown that stress impacts on people’s religious beliefs. However, several aspects of this effect remain poorly understood, for example regarding the role of prior religiosity and stress-induced anxiety. This paper explores these aspects in the context of the recent coronavirus emergency. The latter has impacted dramatically on many people’s well-being; hence it can be considered a highly stressful event. Through online questionnaires administered to UK and USA citizens professing either Christian faith or no religion, this paper examines the impact of the coronavirus crisis upon common people’s religious beliefs. We found that, following the coronavirus emergency, strong believers reported higher confidence in their religious beliefs while non-believers reported increased scepticism towards religion. Moreover, for strong believers, higher anxiety elicited by the coronavirus threat was associated with increased strengthening of religious beliefs. Conversely, for non-believers, higher anxiety elicited by the coronavirus thereat was associated with increased scepticism towards religious beliefs. These observations are consistent with the notion that stress-induced anxiety enhances support for the ideology already embraced before a stressful event occurs. This study sheds light on the psychological and cultural implications of the coronavirus crisis, which represents one of the most serious health emergencies in recent times.

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