Tourists bound for Boracay Island are still required to submit a negative COVID-19 test result even those fully vaccinated as tourist arrivals continue to surge in the popular tourist destination (Photo courtesy of Jack Jarilla)
MANILA, Philippines — The local tourism sector grew by a record-high 47.9 percent to P2.09 trillion from P1.41 trillion in 2022, propelled by the surge in expenditures by tourists visiting the country.
The Philippine Statistics Authority (PSA) reported on Tuesday that the tourism sector’s contribution to the economy rose to 8.6 percent of the gross domestic product (GDP) in 2023, an increase from the 6.4 percent share in 2022.
The tourism sector’s contribution to the country’s economy is defined as the tourism direct gross value added, which is generated by tourism industries and other industries of the economy that directly serve visitors.
READ: Prospects for Philippine tourism
“Among the forms of tourism expenditures, inbound tourism expenditure [or tourism expenses of a nonresident or foreign visitor] posted the highest annual growth of 87.7 percent, amounting to P697.46 billion in 2023,” the statistics agency said.
Meanwhile, domestic tourism expenditures, which include spending of residents traveling within the country, amounted to P2.67 trillion in 2023. This was higher by 2.3 percent from the P1.55 trillion in 2022.
Outbound tourism expenditures or the spending of residents traveling abroad increased by 10 percent to P208.25 billion in 2023 from P189.29 billion in 2022.
Internal tourism expenditure, comprising inbound and domestic tourism expenditure, grew by 75.3 percent to P3.36 trillion in 2023 from P1.92 trillion in 2022.
Employment in the tourism sector was estimated at 6.21 million in 2023, up by 6.4 percent from the 5.84 million recorded in 2022. This equates to 12.9 percent of total employment in 2023, highlighting the value of the tourism sector to the overall economy. INQ