Canada is known worldwide for its breathtaking natural landscapes, vibrant cities and multicultural communities. As a result, it’s no surprise that the tourism industry is a major contributor to the Canadian economy. In this article, we will explore the worth of Canada’s tourism industry and how it impacts the country’s overall economic growth.
What is the Tourism Industry?
The tourism industry encompasses all economic activities related to travel and hospitality. This includes transportation, accommodation, food and beverage services, recreation activities and attractions. The industry plays a significant role in creating jobs, generating income and promoting cultural exchange between countries.
How Much is the Tourism Industry Worth in Canada?
According to Statistics Canada, in 2019, Canada welcomed over 22 million international visitors who spent approximately $22 billion on tourism-related goods and services. Additionally, domestic tourists spent over $80 billion on travel within Canada. This means that the total worth of Canada’s tourism industry was over $102 billion in 2019.
Impact on Jobs
The tourism industry plays a major role in creating employment opportunities in Canada. According to Destination Canada, the country’s national tourism marketing organization, the industry directly employs over 1.8 million people across various sectors such as transportation, accommodation and food services. The indirect employment generated by the industry is estimated to be even higher.
Impact on Economic Growth
The tourism industry has a significant impact on Canada’s overall economic growth. In addition to job creation, it also generates revenue for government through taxes such as GST/HST and other taxes imposed on tourist-related activities such as hotel stays and rental cars.
Furthermore, as tourists spend money on local goods and services during their visit to Canada, it helps support small businesses and contributes to local economies across the country.
The Future of Tourism Industry
The COVID-19 pandemic has had a significant impact on the tourism industry in Canada and around the world. According to Destination Canada, international arrivals to Canada were down by 96% in May 2020 compared to the same month in 2019.
However, as vaccination rates increase and travel restrictions ease, there is hope for a rebound in the industry. The Canadian government has announced various measures such as financial aid programs and initiatives to promote domestic tourism to support the industry during these challenging times.
Conclusion
In conclusion, the tourism industry is a crucial contributor to Canada’s economy. Its worth of over $102 billion in 2019 highlights its importance in creating jobs, generating revenue for government and supporting local businesses across the country. As we navigate through the COVID-19 pandemic, it’s important that we continue to support this vital industry so that it can once again flourish and contribute to Canada’s overall economic growth.