S-E Asia is open for business, but tourism recovery seen elusive for now

Despite several countries' relaxation of border controls, economists say pickup in travel likely measured due to restrictions, with spending moderate

Sharon See

Published Wed, Oct 13, 2021 · 05:50 AM

Asean

Singapore

SOUTH-EAST ASIA is back in business again, going by several countries' apparent zeal to declare a relaxation of border controls, but economists told The Business Times that this may not necessarily translate to a swift recovery for the region just yet.

Despite the pent-up demand for travel, the pickup is likely to be measured and "subject to diminished multipliers", said Vishnu Varathan, head of economics and strategy for Asia and Oceania treasury at Mizuho Bank.

"For one, the reopening at these early stages is still targeted and conditional rather than unfettered. Accordingly, the pickup will be measured in the extent of upswing to make up for p…