How Much Does Tourism Contribute to the Philippine Economy?

By Robert Palmer

Tourism is a significant sector in the Philippine economy and has been contributing greatly to the country’s GDP. According to the Philippine Statistics Authority, tourism contributed 12.7% or Php 2.2 trillion worth of the country’s GDP in 2019. This figure is expected to increase in the coming years as the government aims for sustainable tourism growth.

What is Tourism?

Tourism refers to the activities of people traveling to and staying in places outside their usual environment for leisure, business, or other purposes. This includes transportation, accommodation, food and beverage services, recreation activities, and other related services.

Tourism Industry in the Philippines

The tourism industry in the Philippines has been steadily growing over the years. In 2019, there were a total of 8.3 million international tourist arrivals in the country, generating Php 482 billion worth of receipts. The top sources of international tourists were from South Korea, China, and the United States.

The domestic tourism market also plays a significant role in the industry with 110 million domestic travelers recorded in 2019.

Contribution to Employment

The tourism industry also provides employment opportunities for millions of Filipinos. In 2019, it employed around 5.7 million people or about 13% of total employment in the country.

Government Efforts to Boost Tourism

The Philippine government has been implementing various programs and initiatives to promote sustainable tourism growth and attract more tourists to visit the country. Some of these include:

  • The implementation of visa-free entry for certain countries
  • The development of new tourist destinations such as Boracay Island and Siargao Island
  • The improvement of airport facilities and infrastructure across different regions
  • The promotion of farm tourism and community-based sustainable tourism

Conclusion

Tourism has undoubtedly become a significant contributor to the Philippine economy, generating billions of pesos in revenue and providing employment opportunities for millions of Filipinos. As the government continues to focus on sustainable tourism growth, we can expect the industry to play an even bigger role in the country’s economic development in the years to come.