Australia’s Tourism Sector Set to Contribute $176.91 Billion to Its Economy
- Economy Leisure travel Tourism World
Global Business Magazine- 4 minutes read
Australia’s travel & tourism sector has bounced back to pre-pandemic levels last year and is poised to surpass its previous peak with a projected economic contribution of $176.91 billion, representing 10% of the Australian economy, the World Travel & Tourism Council (WTTC) said.
In its 2024 Economic Impact Research (EIR), the London-based WTTC said that the travel & tourism will contribute more to Australia’s economy in 2024 than any previous year on record. The sector is expected to maintain robust growth over the next decade, aligning with the global economy’s growth rate, and is projected to exceed $229.88 billion by 2034, WTTC said.
Furthermore, jobs in Australia’s Travel & Tourism sector surged by nearly 10% from the previous year, hitting 1.42 million in 2023, representing a tenth of the national workforce. The EIR predicts a full recovery of jobs lost during the pandemic this year, with job levels surpassing the 2018 peak by 2026.
“Over the next decade, the sector is expected to support over 2 million jobs, representing 12% of all Australian employment,” the EIR said. As many as 6.6 million tourists visited Australia in 2023 and the figure is expected to cross 7 million in 2024.
Julia Simpson, WTTC President & CEO, said that Australia is set to break tourism records. WTTC will throw a spotlight on the value of Travel & Tourism to the Australian economy when we celebrate the WTTC Global Summit in Perth, Western Australia later this year.
“The Summit will highlight Australia’s dynamic growth, reflecting Travel & Tourism’s broader economic recovery and rising employment trends,” she said.
Visitor Spending Up
Last year, domestic visitors set a new record for total spending in Australia, hitting $146 billion – a new high since 2018. This upward trend is set to continue, with forecasts predicting spending will reach nearly $98.61 billion in 2024.
Despite reopening its border later than many other major destinations around the world, in 2023, spending by overseas visitors surged by nearly 195%, ranking Australia 10th globally for growth in international visitor spending. By 2034, international visitor spending will reach almost $34.98 billion in 2034, WTTC predicted.
With employment booming and spending by domestic visitors reaching unprecedented levels, the upcoming WTTC Global Summit in Western Australia is set to showcase a sector that’s not just rebounding, but truly thriving.
Although international visitor spending is still expected to be down on 2019, by the end of this year, this is a pivotal moment, as WTTC witness Australia solidify its position as a global leader in tourism growth and economic resilience.
Oceanic Region
The sector is forecast to contribute $224.81 billion this year, 10.7% of Oceania’s total. Jobs are expected to grow by 10% and reach 2.33 million across the region, equivalent to nearly one in nine jobs.
Domestic visitor spending is anticipated to reach almost $119.94 billion, an uplift of almost 31% since 2019, whilst international visitor spending is projected to recover to $43.78 billion and be within touching distance of the 2019 peak, WTTC said.
