How Much Does Vietnam Rely on Tourism?

By Robert Palmer

Vietnam is a country that is known for its natural beauty, rich culture, and friendly people. Over the years, tourism has become a significant contributor to the country’s economy. In this article, we will take a closer look at how much Vietnam relies on tourism.

Overview of Tourism in Vietnam

Tourism has been one of the fastest-growing industries in Vietnam over the past decade. The country welcomed over 18 million international visitors in 2019, which was an increase of 16 percent compared to the previous year. The tourism industry also generated over $30 billion in revenue for Vietnam in 2019.

Impact of COVID-19 on Tourism

The COVID-19 pandemic has had a significant impact on the tourism industry worldwide, and Vietnam has not been an exception. The country closed its borders to foreign travelers in March 2020 to prevent the spread of the virus. As a result, international arrivals to Vietnam dropped by 99 percent in April 2020 compared to the same period in 2019.

Domestic Tourism

In response to the drop in international visitors, Vietnam has been promoting domestic tourism as a way to support local businesses and attractions. The government introduced several initiatives aimed at encouraging Vietnamese citizens to travel within their own country. These initiatives included discounts on travel packages and hotel bookings.

Future of Tourism in Vietnam

Vietnam’s government has set an ambitious Target of welcoming more than 20 million foreign visitors by 2020 and increasing tourism’s contribution to GDP from seven percent to ten percent. However, with ongoing travel restrictions and uncertainty due to COVID-19 pandemic, it remains unclear whether these Targets can be met.

Conclusion

Tourism plays an essential role in Vietnam’s economy, contributing significantly to GDP growth and job creation. However, like many other countries, Vietnam has been hit hard by the COVID-19 pandemic, and the future of tourism remains uncertain. Nonetheless, with its natural beauty, rich cultural heritage, and friendly people, Vietnam is likely to remain a popular destination for travelers once international travel resumes.