“More fun in the Philippines” on hold as tourism reopening faces delays

Amidst the emerging threat of the Omicron variant of the coronavirus, the Philippine government deferred plans to ease border restrictions for fully vaccinated international tourists arriving from ‘Green List’ countries from 1 December 2021. This decision came merely five days after the government announced that it was reopening borders for tourism. The Philippines, with its Department of Tourism at the helm, prides itself on the enjoyment that each of its thousands of islands can offer (hence its well-known slogan: “It’s more fun in the Philippines”). However, with no specified date for these deferred plans, the question remains whether the Philippines will be able to welcome international tourists anytime soon.

 

Considering the Philippines’ border measures

With a general entry ban on foreign travellers in place and all visa-free privileges suspended since March 2020, the Philippines has among the strictest border measures in the region. Arguably, relatively low vaccination coverage in the Philippines has been one of the largest impediments to the easing of border measures. With only about 43% of its population fully vaccinated as of November, the country is still far from its target vaccination coverage of 70% by the end of 2021. Vaccination rollout in the Philippines has also been slower than its neighbours—for example, more than 70% of the population in Malaysia and Singapore are already fully vaccinated. Nonetheless, while the Omicron variant has halted inbound tourism, it has also spurred the country to launch a massive three-day campaign to vaccinate nine million people against COVID-19.

The nation’s public health and safety remains a priority, but there are also other important factors at play in considering whether the Philippines should reopen its borders to international tourism. For one, as a country that is heavily dependent on people mobility, it may not be economically viable to keep international borders closed for extended periods. Pre-pandemic, tourism was one of the country’s top GDP contributors, amounting to about 13% in 2019 and providing over 5.8 million jobs domestically. However, since the start of the pandemic, tourism has fallen more than 80% and tourism-related employment shrank by 28%.

While the Philippines continues to face difficulties with its tourism sector, other countries in the region, in contrast, have reopened borders to international tourism. In July, Thailand started its Phuket Sandbox for vaccinated international travellers. Malaysia has also announced plans to reopen borders to all tourists from 1 January 2022. As of mid-December, Singapore extended Vaccinated Travel Lanes (VTL) to over 20 countries (although a suspension of bus and flight VTL ticket sales has since been imposed given the threat of the Omicron variant).

 

Implications on business immigration

Until the Philippines reopens its borders more fully, business may not be as usual. Prior to the travel ban, business visitors could enter the Philippines as tourists and start working as soon as they secured work authorisation. Now, they are likely to face longer waiting periods before securing the relevant approvals required just for entry into the country. Companies are advised to plan well ahead and integrate flexibility into their travel and relocation plans into the Philippines to minimise the turbulence amidst an unpredictable immigration climate.

That said, avenues for entry into the Philippines for business purposes remain open (if not unwieldy). In recent months, the Philippine government has introduced some flexibility to facilitate business entries into the country. Previously, foreign nationals were limited to applying for long-term work visas only after they had entered the country (an almost fully in-country process that was unique to the Philippines). Now, such foreign nationals have the option to apply for certain long-term work visas while overseas (introduced as a concession during the pandemic).

 

Matter of time

We are hopeful that the recent setback to plans to reopen the country for tourism is only temporary, as the world quickly learns more about the Omicron variant and how to manage its health risks effectively. Borders are likely to reopen only after this holiday season, as the Philippine government must manage a possible spread of the virus as many Filipinos travel back home.

Nonetheless, the Philippine government is poised to reopen borders as they prepare their immigration infrastructure to meet the much-anticipated arrivals, alongside strengthening the country’s healthcare system to manage COVID-19 infections.

 

Need to Know more?

For further information on this topic, please contact Angela de Guzman at [email protected] or Chiu Yee Koh at [email protected]. This blog was published on 30 December 2021, and due to the circumstances, there are frequent changes. To keep up to date with all the latest updates on global immigration, subscribe to our alerts and follow us on LinkedIn, Twitter, Facebook and Instagram.