A total of 219 deals* were announced in the global Travel and Tourism sector during January to April 2023, which is a 43% decline over 384 deals announced during the same period in 2022, finds GlobalData, a leading data and analytics company.

Aurojyoti Bose, Lead Analyst at GlobalData, comments: “Deal activity in the travel and tourism sector suffered a significant setback across several key markets and regions as deal-makers seemed to have become cautious amid recession fears, geopolitical tensions, and uncertain economic conditions.’

North America, the traditionally dominant region in terms of travel and tourism related deal activity, recorded a massive 50.4% decline in deals volume during January-April 2023 compared to January-April 2022.

Other regions such as Europe, Asia-Pacific and South and Central America also experienced a decline in deal activity by 48.1%, 28.9% and 66.7% during January-April 2023 compared to January-April 2022, respectively. Meanwhile, deal volume for the Middle East and Africa region remained unchanged.

Travel and tourism related deal activity also remained subdued across several key markets. The US, the UK, Japan, France, India, and South Korea saw deals volume decline by 51.1%, 39.5%, 47.6%, 18.2%, 55.6%, and 30%, respectively during January to April 2023 compared to January to April 2022. Meanwhile, deal activity in China and the Netherlands showcased some improvement.

Bose adds: “All the deal types under coverage also witnessed a significant year-on-year decline in volume during January-April 2023. The numbers of mergers and acquisitions (M&A), venture financing, and private equity deals declined by 41.4%, 36.2%, and 62.7% during January-April 2023 compared to January-April 2022, respectively.”

*Comprising mergers & acquisitions, private equity, and venture financing deals