U.S., China dominate global tourism GDP as Nigeria struggles

The United States leads the travel and tourism market globally with $2.36 trillion contributed to the country’s GDP in 2023, according to the World Travel & Tourism Council’s (WTTC) recently released 2024 Economic Impact Trends Report.

The U.S. continues to be a dominant power, contributing roughly twice as much to the economy as its closest rival, notwithstanding the gradual recovery of foreign visitor expenditure.

With a $1.3 trillion economic contribution in 2023, China came in second, despite the delayed reopening of its borders. Having contributed $487.6 billion to the economy, Germany took third place. Japan, which had come in fifth in 2022, rose to fourth place with $297 billion. Finishing at number five with $295.2 billion is the United Kingdom.

The most popular travel destination in the globe, France, held its sixth place with a contribution of $264.7 billion, closely followed by Mexico at $261.6 billion.

With $231.6 billion, India moved up to the eighth rank from its previous tenth position.Spain and Italy, with contributions of $227.9 billion and $231.3 billion, respectively, round out the top 10. But WTTC projects that in the next 10 years, China is expected to overtake all other travel and tourism markets.

These changes highlight how the travel and tourism industry is dynamic, with traditional powerhouses holding onto their strongholds while new countries gain traction.

The analysis claims that several important travel destinations will benefit from a spike in foreign expenditure this year, with Saudi Arabia leading the way at 91.3 per cent higher than in 2019, followed by Turkey (+38.2 per cent), Kenya (+33.3 per cent), Colombia (+29.1 per cent), and Egypt (+22.9 per cent).

Global visitor spending is expected to expand by almost 16 per cent to $1.9 trillion, while domestic traveller spending is expected to soar to $5.4 trillion, an increase of 10.3 per cent over 2019 levels. Investment in travel and tourism increased by 13 per cent in 2023 to exceed $1 trillion by 2025. Globally, high interest rates, however, might make future investments difficult.

The WTTC President & CEO, Julia Simpson, said, “As we look forward to a record-breaking 2024, it’s clear that travel & tourism is not only back on track but also set to achieve unprecedented growth.

We will continue to prioritise sustainability and inclusivity, ensuring that this growth benefits everyone and protects our planet for future generations. The sector’s resilience and potential for innovation continue to drive us forward.” A record-breaking year for travel and tourism, it continues to be the engine of many national economies and provides millions of employment worldwide.

However, despite the rich geographic environment and tourism magnets of the most populated country in Africa, Nigeria hasn’t been mentioned in the top leading travel and tourism markets both globally and in Africa.

Experts opine that the country is not investing enough resources and using the right personnel to handle the sector. Business consultant and former Miss Tourism Nigeria, Joy Ebere, told The Guardian that though Nigeria has all it takes to lead other countries of the world in the travel and tourism market and heap trillions of dollars for its economy, the country doesn’t make use of experienced and skilled individuals who can manage the sector and make it thrive.

“It is until we start harnessing the right people that know the technical know-how that Nigeria will continue to backslide, and we will be making complaints that are irrelevant while the relevant people would go to waste,” she said.