Travel and tourism showing ‘remarkable resilience’ as households face rising costs

Global travel and tourism is projected to continue outpacing wider economic growth this year with an expected contribution of $12 trillion to the world economy.

 

The sector is forecast to account for 9.9% of global GDP based on growth of 3.2% - ahead of a wider global economic increase of 2.4%, according to new data from the World Travel & Tourism Council.

 

The WTTC’s latest economic impact research suggests travel and tourism is set to support 376 million jobs worldwide, representing one in nine jobs globally.

 

The sector is projected to support almost 89 million new jobs over the next decade or about one-third of all new jobs expected across the wider economy. 

 

During this same period, global travel and tourism GDP is forecast to grow at an annual rate of 3.6%, 1.5 times faster than the wider global economy at 2.4%.

 

While wider European GDP growth is forecast to reach just 1% amid continued inflationary pressures and economic uncertainty, travel and tourism GDP across Europe is expected to grow by 3.6%, nearly four times faster.

 

The study indicates that the sector continues to exhibit “remarkable resilience”, even as households face rising costs and “persistent value-seeking behaviour”.

 

International visitor spending across Europe is projected to grow 7.1% this year, ahead of the global average of 3.7%, as travellers increasingly choose destinations closer to home amid geopolitical uncertainty and disruption in other regions.

 

Southern European destinations continue to lead the region’s momentum, with Spain standing out as one of Europe’s strongest performing major tourism economies. 

 

Spain’s travel and tourism sector will grow 3.7% in 2026, matching Turkey and outperforming the wider European economy, while Italy is expected to lead the region’s major markets with growth of 3.8%. 

 

International visitor spending in Spain is also forecast to increase by 5.3% this year, underlining the continued strength and competitiveness of Mediterranean destinations. 

 

Spain recorded 96.8 million international visitor arrivals last year, the second highest international visitor arrivals in Europe after France, yet the country recorded €115.1 billion in international visitor spending in the same year, making it the leading destination in Europe and third globally. 

 

The WTTC highlighted the importance of continued investment in smart infrastructure, digital innovation, sustainable destination management, skills development, and cross-border connectivity to maintain the sector’s strong long-term growth trajectory. 

 

The organisation also pointed to the growing role of AI and new technologies in improving traveller experience, operational efficiency and workforce development across the sector.

 

President and chief executive Gloria Guevara said: “Travel and tourism continues to prove its resilience across Europe and remains one of the region’s most important economic growth engines at a time when wider economic expansion is slowing. The sector is creating jobs, driving investment, and supporting communities across the continent.

 

“Countries such as Spain, Italy, France and Turkey are showing what is possible when governments recognise the strategic value of travel and tourism and support the sector through smart investment, strong connectivity, and forward-looking policies. 

 

“Europe has a real opportunity to build on this momentum, but maintaining competitiveness, affordability, and seamless travel will be critical.”