IMPACT OF COVID-19 ON GDP: A SERIAL MEDIATION EFFECT ON INTERNATIONAL TOURISM AND HOSPITALITY INDUSTRY

The tourism and hospitality industry has been a major contributor to the global economy since the decade, however, the upsurge of the COVID-19 pandemic has brought world economic activities and planning into shatters. The drastic effects of COVID-19 on the major determinants of GDP of the global economy including massive unemployment, resource insufficiency, productivity, trade, travel, and tourism have resulted in an enormous global downturn. In this instance, the global tourism industry has dwindled to 25% less tourism output, thus leaving a grand mark on the revival of the industry. Hence, an expounded research on the matter is inevitable. This study thus attempts to fill this research gap by quantitatively evaluating the impact of the COVID19 pandemic on the GDP output of Pakistan, through collecting the travelling consultant's opinion-based data. For data analysis, structural equation modelling through Smart-PLS software was applied. The findings of the study revealed that the economic upheaval brought on by the recent pandemic has a deep embedding impact on the tourism industry in Pakistan. The study recommends some useful suggestions for industry decision-makers to cope with the repercussions brought by the pandemic and proposes a policy framework to counteract the emerging challenges.