Rio De Janeiro authorities are expecting almost one billion USD in economic activity, during this year’s carnival, 12.5% more than 2020. The last carnival before the Covid-19 pandemic.
According to a study from Rio’s Economic Development Secretary, carnival is the city’s biggest event in terms of tourism numbers and tax receipt, attracting more than 2 million tourists and collecting 23% more service tax in the event’s month compared to the rest of the year.
In 2021, carnival was cancelled because of the pandemic. According to Rio’s Hotel Union, hotels in the city are almost at full capacity with many already at 90% a week ahead of the official opening on Friday.
Carnival impacts the economy from hotels, leisure, restaurants to small shops that sell costumes, ornaments and props that are seen at street parties with owners relying on the growth of sales during this period to pay their dues.
