New Zealand is a beautiful country that is home to some of the most picturesque landscapes in the world. From snow-capped mountains to beautiful beaches, there’s something for everyone.
As a result, it’s no surprise that tourism is one of the country’s most significant industries. In this article, we’ll explore what percentage of New Zealand’s economy comes from tourism.
The Importance of Tourism in New Zealand
Tourism plays a crucial role in New Zealand’s economy, contributing significantly to the country’s GDP and providing jobs for many New Zealanders. The industry has been growing steadily over the years and has become a vital source of income for the country.
The Numbers
According to Statistics New Zealand, tourism accounts for around 6% of New Zealand’s GDP. In 2019, the industry generated around NZD 40 billion (USD 27 billion) in revenue, with international visitors contributing NZD 17.2 billion (USD 11.7 billion) and domestic tourism contributing NZD 23 billion (USD 15.6 billion).
International Tourism
International tourism is an essential component of New Zealand’s tourism industry, with visitors coming from all over the world to experience its natural beauty and unique culture. In 2019, there were over four million international visitors to New Zealand, with Australia being the largest source market followed by China and the United States.
Domestic Tourism
Domestic tourism also plays a significant role in New Zealand’s economy, with Kiwis exploring their own backyard and contributing to local businesses across the country. In fact, domestic tourists make up around 60% of all visitor spending in New Zealand.
The Impact of COVID-19
Unfortunately, like many other countries around the world, New Zealand’s tourism industry has been heavily impacted by the COVID-19 pandemic. With international borders closed and domestic travel limited during lockdowns, the industry has suffered significant losses.
According to Tourism Industry Aotearoa, the industry lost around NZD 7.5 billion (USD 5 billion) in revenue in 2020 due to the pandemic. However, there is hope for recovery with the introduction of a trans-Tasman bubble allowing quarantine-free travel between Australia and New Zealand.
Conclusion
Tourism is a vital industry for New Zealand, contributing significantly to the country’s economy and providing jobs for many Kiwis. While COVID-19 has had a severe impact on the industry, there is hope for recovery as travel restrictions ease. As one of the most beautiful destinations in the world, New Zealand will continue to attract visitors from all over the globe looking to experience its natural beauty and unique culture.