COMCEC Tourism Outlook-2019
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7 Conclusion
Tourism industry has enjoyed continued expansion and diversification, becoming one of the
most rapidly developing industries in the world. Tourism has evolved into a global phenomenon
– one of the most important economic sectors and social activities of the time.
Tourism continues to be an important economic sector capable of attracting foreign direct
investments and supporting sustainable economic development, the production of fairly
distributed wealth, the creation of employment opportunities and poverty alleviation,
particularly in developing countries and the Least Developed Countries.
According to the UNWTO statistics, 1.401 million international tourists travelled in 2018 with
an average annual increase of over 4% since the year 2000. Tourism sector which already
accounts for 10 percent of World GDP is an important source of employment and foreign
exchange that should be supported by governments around the world as part of the policies for
stimulating economic growth.
From the period 1980 to 2018, international tourism receipts —which are the export value of
tourism, excluding international passenger transport—increased from US$125 billion in 1980
to US$ 1,451 billion in 2018 (UNWTO, 2019a) denoting a solid increase in four decades. In real
terms, this corresponds to an average growth of 4 percent a year, which has almost the same
pace as tourist arrivals.
The sector faces some challenges every year and 2019 is likely to be no different. Three main
factors influenced tourism flows in 2017 and 2018; the exchange rate fluctuations, interest rates
race to the bottom, the decline in the price of oil and other commodities which increased
disposable income in importing countries, as well as increased global concern about safety and
security (UNWTO, 2018a). Trade Wars, Brexit and the fall of Thomas Cook had also major
impacts on tourism industry.
However, the growth in tourism sector will continue at a stronger rate than last year, with the
total contribution to GDP expected to increase by 4-5% in 2019. This growth will require OIC
Member Countries to adopt a concerted and coordinated approach to planning and development
within the industry, governments and educational institutions to ensure that they fulfill their
potential in the future.
Considering the modest share of the OIC Member Countries in international tourism market, it
is evident that the inherent potential has not yet been fully realized and manifested itself in
desirable levels. Despite 10%annual increase in 2017 and 2018, for 2018 OIC received only 10%
of tourism receipts and around 15% of arrivals. OIC Member States need to understand how
they can strengthen the position of their tourism industry in response to current global
economic challenges and remain competitive among emerging destinations, within a
sustainable development perspective.
As in the case of OIC tourist arrivals, tourism receipts in the Member Countries are concentrated
in a small number of countries, almost the same countries of the main OIC tourist destinations.