INTERNATIONAL. The World Travel & Tourism Council (WTTC) has predicted that the travel & tourism’s global economic contribution is set to reach an all-time high of US$11.1 trillion this year.
According to the tourism authority’s 2024 Economic Impact Research – carried out in partnership with Oxford Economics – the sector will contribute an additional US$770 billion over its previous record, generating one in every ten dollars worldwide.
International visitor spending is projected to reach the 2019 peak, approaching US$1.89 trillion, while domestic tourists are anticipated to surpass any previous records with US$5.4 trillion spending.
WTTC expects 142 countries of 185 analysed in the research to outperform previous national records.
According to WTTC the travel & tourism sector is brimming with opportunities, underpinning almost 348 million jobs globally. This represents an increase of more than 13.6 million jobs compared to its highest point in 2019.
Looking back on 2023
WTTC noted: “Despite economic uncertainties and geopolitical shake-ups, the travel & tourism sector is thriving. With an economic injection of nearly US$10 trillion, the sector matched its pre-pandemic zenith, flexing its resilience and proving its critical role in the global economy.”
Last year, travel & tourism accounted for 9.1% of the global gross domestic product (GDP), totalling slightly over US$9.9 trillion. This financial impact marked the sector’s largest since the ‘golden year of travel’ in 2019, falling short of its peak by 4%.
International spending increased by +33.1% to reach US$1.63 trillion, while domestic spending grew by over +18% to reach almost US$5 trillion.
The sector also bolstered its workforce by an additional 27.4 million, propelling the total to nearly 330 million jobs worldwide.
WTTC remarked: “This growth comes despite two of the world’s biggest tourism markets lagging in terms of international visitor spend, with both the US and China seeing a far slower return of international tourist spend.”
Last year in the US, international visitor spending remained more than a quarter below the peak of 2019, while China’s visitor spend remained almost 60% down.
WTTC President & CEO Julia Simpson said: “Against the backdrop of uncertainty, the travel & tourism sector remains a global economic powerhouse.
“This isn’t just about breaking records, we’re no longer talking about a recovery – this is a story of the sector back at its best after a few difficult years, providing a significant economic boost to countries around the world and supporting millions of jobs.
“There’s a risk however, we need the US and Chinese governments to support their national travel & tourism sectors. The US and China will continue to suffer while other countries are seeing international visitors return much faster.”
What to expect in the next ten years?
WTTC predicts that by 2034, the travel & tourism sector will contribute a staggering US$16 trillion to the global economy, comprising 11.4% of the total economic landscape.
The industry is also expected to provide employment for 449 million people worldwide. Nearly 12.2% of the workforce will be powering the travel & tourism sector, showcasing its pivotal role in global employment.
WTTC concluded: “With more than three-quarters of the countries analysed expected to exceed the high point of 2019 in terms of GDP contribution, travel & tourism is on the brink of its most transformative era yet. It promises prosperity, innovation and connection on a scale we’ve yet to see.” ✈
Photo and infographics courtesy of World Travel & Tourism Council
