According to the news, the Russian rouble fell the most, at 33.43 per cent, followed by the Brazilian real by 25.27 per cent, the South African rand 23.26 per cent and the Malaysian ringgit by 11.87 per cent, between April 2012 and March 2017. Anil Khandelwal, Chief Financial Officer, Cox & Kings, offered this comment:
“These are not the most sought-after destinations, usually, but because of the depreciation of these currencies, tourist traffic has increased for sure as packet prices are substantially cheaper. The fall in currencies has attracted travellers, though this is not the only reason.”
While currency fluctuations do play a role, the example of the rouble’s rebound (April 2016-March 2017) back to 13.23 per cent, and the real by 13.23 per cent, has not thus far impacted negatively touristic interest. This supports Khandelwal’s assessment, that other factors are now playing an equally important role.
The long trend of Russia’s currency decline may well end up being the catalyst for establishing repeat tourism and amplified word of mouth marketing for Russia. Some India travel experts say Russia and these other markets appear to be emerging as preferred destinations. Mirroring these sentiments, Sandhya Kartha of travel firm Redchilli Holidays, said Indian tourists seem to far more aware of the rupee advantage this time around.
The Indian outbound travel market and further expected to grow from 2016 to 2020. The UNWTO also predicts India will account for 50 million outbound tourists by 2020. Back in April Russian Prime Minister Dmitry Medvedev announced that Indian businessmen and tourists will not need to undergo the traditional procedure for Russian visas. According to the official site of the Russian cabinet, the list of 18 countries comprises Algeria, Bahrain, Brunei, India, Iran, Qatar, China, North Korea, Kuwait, Morocco, Mexico, UAE, Oman, Saudi Arabia, Singapore, Tunisia, Turkey and Japan, Tass news agency reported.