Industry to generate $7 trillion this year
World travel and tourism is expected to generate over $7 trillion in 2007, rising to more than $13 trillion in the next decade according to the World Travel & Tourism Council’s (WTTC) Tourism Satellite Account (TSA) research, released at ITB Berlin.
The new TSA results, prepared for WTTC by Oxford Economics and sponsored by Accenture, show strong performance for travel and tourism demand in 2007, growing at a rate of 3.9 per cent. This forecast points to mature but steady growth for the industry in the short and medium term, averaging 4.3 per cent per annum, between 2008 and 2017.
Travel and tourism accounts for 10.4 per cent GDP and over 230 million jobs, and WTTC’s latest findings, available for download at www.wttc.travel, show that the world’s largest travel and tourism economies are holding strong in the top 10 list for 2007. The US continues in pole position, accounting for more than $1,689.3 billion this year.
Over the next decade considerable ground will be gained by China, currently in third position behind Japan and forecast to move up to second position by 2017. This progression is buoyed by a growth in real terms of 9.6 per cent per annum, over the next 10 years.
Notably, by 2017, the Russian Federation will enter the top 10 list of countries expected to total the largest amount (in absolute terms) on travel and tourism demand. Turning to the world’s high performers – defined as countries set to grow fastest over 2007 and the decade to come – results show that Montenegro, China and India top the list, with demand growing each year at a rate of 10.1 per cent, 9.1 per cent and 7.9 per cent respectively. Others on WTTC’s high performers list include Croatia, Romania and Namibia.
In summary, this year’s forecasts show all-round consolidated growth. In contrast to the steep end of the curve experienced in 2006, 2007 is a year where growth trajectories are rounding off to more mature levels. The outlook is one of healthy and stable progress for the industry.
The WTTC has issued the list of the top priorities and critical issues affecting the industry over the next ten years. As the Global Travel & Tourism Summit programme, it is the framework for face-to-face debate among stakeholders at the next edition of the annual summit, which takes place from May 10 to 12 in Lisbon. To kick-start debate, WTTC has opened the industry's first interactive web channel, at www.globaltraveltourism.com