What Percent of Mexico’s Economy Is Tourism?

By Robert Palmer

Mexico is a country that is known for its vibrant culture, rich history, and beautiful landscapes. One of the major contributors to the country’s economy is tourism. In this article, we will delve into the question of what percent of Mexico’s economy is tourism.

Understanding Mexico’s Economy

Mexico is one of the world’s largest economies, with a Gross Domestic Product (GDP) of $1.3 trillion in 2020. The country has a diverse range of industries that contribute to its economy, including manufacturing, agriculture, energy, and services.

The Significance of Tourism in Mexico

Tourism is a significant contributor to Mexico’s economy. The country has numerous attractions that draw millions of tourists each year. From ancient ruins and historic cities to picturesque beaches and natural wonders, Mexico has something for everyone.

The Number of Tourists Visiting Mexico

In recent years, the number of tourists visiting Mexico has steadily increased. In 2019, over 45 million international tourists visited the country, generating $24 billion in revenue.

Tourism’s Contribution to Mexico’s Economy

Tourism plays a crucial role in Mexico’s economy, accounting for approximately 8.7% of the country’s GDP in 2019. This figure includes both direct and indirect contributions.

  • Direct contribution: This refers to the money spent by tourists on goods and services during their stay in Mexico. Direct contribution includes expenses such as accommodation, transportation, food and beverage, entertainment activities and tourist attractions.
  • Indirect contribution: This refers to the economic activity generated by businesses that supply goods or services to tourism-related companies.

The Impact of COVID-19 on Tourism in Mexico

The COVID-19 pandemic had a significant impact on the tourism industry in Mexico. In 2020, the number of international tourists visiting the country decreased by 46.1% compared to the previous year, resulting in a loss of $13.3 billion in revenue.

Conclusion

In conclusion, tourism is an essential contributor to Mexico’s economy, accounting for almost 9% of the country’s GDP. While COVID-19 has had a significant impact on Mexico’s tourism industry, the country remains a popular destination for travelers around the world, and its industries are already showing signs of recovery.