An optimistic outlook has been forecasted for the travel and tourism sector in 2024, with expectations for the industry to contribute a record-breaking $11.1 trillion to the global economy.
According to World Travel & Tourism Council – WTTC’s 2024 Economic Impact Research (EIR), Travel & Tourism will contribute an additional $770BN over its previous record, stamping its authority as a global economic powerhouse, generating one in every 10 dollars worldwide.
The WTTC, in collaboration with Oxford Economic, highlights that 142 out of 185 countries analyzed are set to surpass their historical economic contributions. This comes as the sector is predicted to support nearly 348 million jobs globally, a significant uptick from its peak in 2019.
International visitor spending is forecasted to nearly match its 2019 high, reaching $1.89 trillion. Domestic tourism spending is also expected to set new records, with projections hitting $5.4 trillion.
Reflecting on 2023, despite global challenges, the travel and tourism sector demonstrated remarkable resilience.
With an economic injection of nearly $10TN, the sector matched its pre-pandemic zenith, flexing its resilience and proving its critical role in the global economy.
Representing 9.1% of global GDP at just over $9.9TN in 2023, Travel & Tourism’s financial footprint was the largest it’s been since the golden year of travel in 2019, trailing its peak by a mere 4%.
The sector also bolstered its workforce by an additional 27.4MN, propelling the total to nearly 330MN jobs worldwide.
International spending increased by 33.1% to reach $1.63TN, underscoring a vibrant comeback story for many countries around the world, with domestic spending increasing by more than 18% to reach almost $5TN.
2023 set the stage, demonstrating the unwavering passion for travel, paving the way for a record-breaking year in 2024.
This growth comes despite two of the world’s biggest tourism markets lagging in terms of international visitor spend, with both the U.S. and China seeing a far slower return of international tourist spend.
Last year in the U.S., 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, emphasized the sector’s strength amidst global uncertainties. She highlighted the need for support from the U.S. and Chinese governments to bolster their travel and tourism sectors.
“There’s a risk however, we need the U.S. and Chinese governments to support their national Travel & Tourism sectors. The U.S. and China will continue to suffer whilst other countries are seeing international visitors return much faster,” said Simpson.
Travel and Tourism by 2034
The next decade holds a bright future for the travel and tourism sector, as forecasted by the WTTC, with substantial growth and unprecedented opportunities for careers on the horizon.
By the year 2034, this dynamic sector is anticipated to inject a remarkable $16 trillion into the global economy, accounting for 11.4% of the total economic output.
It’s poised to become a powerhouse in job creation, expected to employ 449 million individuals globally. This will mean that nearly 12.2% of all jobs will be within this thriving industry, highlighting its crucial role in worldwide employment.
With the majority of countries analyzed projected to surpass their 2019 GDP contributions, the travel and tourism sector is on the verge of entering its most groundbreaking period yet. It stands ready to usher in an era of prosperity, innovation, and connectivity like never before witnessed.
