The winding up of established travel agency STA Travel is a blow to the industry, but no wave of mass closures is expected to follow for now, observers say.
Despite a near-zero business environment, the number of travel agent closures over the last eight months has remained relatively low at 22, about half that of the same period last year, figures from the Singapore Tourism Board (STB) show.
Industry players say this is likely due to the fact that the majority of operators have pared costs and gone into hibernation mode, kept afloat by government support schemes. Some have also pivoted to sell staycation packages to the domestic market, while agents that cater to inbound tourism are now focusing on Singapore-bound international students.
STA Travel stopped operations last month, after its Swiss-based parent company filed for insolvency in August.
Mr Samson Tan, chief executive of GTMC Travel, said the extension