In 2022, the travel and tourism industry contributed just over US$241.7 billion to Southeast Asia’s GDP. By comparison, this figure was US$379.9 billion in 2019. The industry’s GDP contribution in Southeast Asia had been consistently growing throughout the past decade, but was halved in 2020 due to the global pandemic.
Tourism in Southeast Asia is recovering
Tourist arrivals in Southeast Asia have grown significantly over the past decade. Although the COVID-19 pandemic has dealt a major blow to the tourism industry, the Southeast Asian region has been the fastest recovering in international tourist arrivals to the Asia Pacific region. Southeast Asia was also the Asian sub-region with the largest year-on-year change in monthly international tourist arrivals, especially from January to March.
The Importance of Tourism in Southeast Asia
Tourism in Southeast Asia is a major contributor to GDP, with many countries relying on it to boost their emerging economies. The tourism industry contributes significantly not only in monetary value but also in employment to Southeast Asian countries. Indonesia is among the top five countries where travel and tourism contributes the most to employment. To maintain and further boost the growth of the tourism sector, both in terms of domestic and international tourists, many Southeast Asian countries have launched programs such as visa simplification and the establishment of low-cost airlines to stimulate the tourism industry.
