Thursday, March 4, 2021

Tourism contributes 3.2 percent to GDP

The World Travel and Tourism Council (WTTC) report on the economic impact of tourism in Botswana in 2014 has shown that the direct contribution of travel and tourism to GDP was P5, 486.6 million which is 3.2 percent of total GDP in 2013.

WTTC works to raise awareness on travel and tourism as one of the world’s largest sectors, supporting over 266 million jobs and generating 9.5 percent of global GDP in 2013. It forecasts that tourism will rise by 7.6 percent in 2014 and by 5.8 percent per annum between 2014 and 2024, generating P10, 325.6 million, which is┬á3.8 percent of total GDP in 2024.

The 2014 annual research indicates that the total contribution of travel and tourism to GDP was P14, 172.1 million, 8.4 percent of GDP in 2013, and is expected to rise by 8.1 percent in 2014, rising by 6.1 percent per annum to P27, 573.7 million, 10.2 percent of GDP in 2024.

“In 2013 travel and tourism directly supported 31,000 jobs, 4.6 percent of total employment. This is expected to rise by 2.5 percent in 2014 and rise by 2.6 percent pa to 41,000 jobs, 5.2 percent of total employment in 2024,” read the report.

The research also indicated that travel and tourism investment in 2013 was P1, 846.9 million, which is equivalent to┬á7.6 percent of total investment. It added that the investment should rise by 8.4 percent in 2014, and 4.5 percent pa over the next ten years to P3, 111.6 million in 2024, 8.1 percent of total. Botswana’s leisure travel spending, inbound and domestic, generated 76.4 percent of direct travel and tourism GDP in 2013 about P9, 688.1 million compared with 23.6 percent for business travel spending P2, 994.5 million.

“Business travel spending is expected to grow by 5.1 percent in 2014 to P3, 147.6 million, and rise by 4.7 percent yearly to P5, 002.8 million in 2024. Leisure travel spending is expected to grow by 8.0 percent in 2014 to P10, 461.8 million, and rise by 4.4 percent yearly to P16, 055.4 million in 2024,” states the report.

Botswana’s domestic travel spending generated 29.3 percent of direct travel and tourism GDP in 2013 compared with 70.7 percent for visitor exports as foreign visitor spending or international tourism receipts. The country’s domestic travel spending is expected to grow by 5.0 percent in 2014 to P3, 899.4 million, and rise by 3.9 percent per year┬áto P5, 700.4 million in 2024. Visitor’s exports are expected to grow by 8.3 percent in 2014 to P9, 710.0 million, and also to rise by 4.7 percent yearly to P15, 357.8 million in 2024.

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