Travel Industry to Contribute Record $11 Trillion to Global GDP in 2024

Tourists check a souvenir stand while walking around the Grand-Place square, in central Brussels, Belgium, 31 August 2024. (EPA)
Tourists check a souvenir stand while walking around the Grand-Place square, in central Brussels, Belgium, 31 August 2024. (EPA)
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Travel Industry to Contribute Record $11 Trillion to Global GDP in 2024

Tourists check a souvenir stand while walking around the Grand-Place square, in central Brussels, Belgium, 31 August 2024. (EPA)
Tourists check a souvenir stand while walking around the Grand-Place square, in central Brussels, Belgium, 31 August 2024. (EPA)

A record $1 out of every $10 spent globally in 2024 will be on travel as people briskly book hotels, cruises and flights, according to an annual report by the World Travel and Tourism Council, a non-profit membership organization.

The travel and tourism industry's contribution to global gross domestic product is expected to reach new heights as consumers increasingly see travel as an essential part of their budgets.

The WTTC estimates the industry's contribution to global GDP in 2024 will increase 12.1% year-over-year to $11.1 trillion, making up 10% of global GDP. This represents about a 7.5% increase from the previous record set in 2019.

"Despite some concerns last year about us going into a global recession and high inflation, this year we are looking at travel and tourism being a real economic powerhouse globally," said Julia Simpson, CEO of the non-profit organization.

Travel spending in the US, Chinese and German economies is expected to contribute the most to GDP.

The sector is expected to support nearly 348 million jobs in 2024, or 13.6 million jobs more than in 2019, the previous record prior to the pandemic. The industry is still hiring to fill jobs in the rapidly expanding field.

In the United States, there are currently 1 million job openings across the leisure and hospitality industry, according to the US Travel Association. Total employment supported in the US was about 27 million jobs in 2023, according to the WTTC.



Geopolitical Strife Could Cost Global Economy $14.5 Trln Over 5 Years

09 October 2024, Palestinian Territories, Gaza City: A general view of buildings damaged by Israeli strikes. Photo: Mahmoud Issa/Quds Net News via ZUMA Press/dpa
09 October 2024, Palestinian Territories, Gaza City: A general view of buildings damaged by Israeli strikes. Photo: Mahmoud Issa/Quds Net News via ZUMA Press/dpa
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Geopolitical Strife Could Cost Global Economy $14.5 Trln Over 5 Years

09 October 2024, Palestinian Territories, Gaza City: A general view of buildings damaged by Israeli strikes. Photo: Mahmoud Issa/Quds Net News via ZUMA Press/dpa
09 October 2024, Palestinian Territories, Gaza City: A general view of buildings damaged by Israeli strikes. Photo: Mahmoud Issa/Quds Net News via ZUMA Press/dpa

The global economy could face losses of $14.5 trillion over a five-year period from a hypothetical geopolitical conflict which hits supply chains, insurance market Lloyd's of London said on Wednesday.

The economic impact would result from severe damage to infrastructure in the conflict region and the potential for compromised shipping lanes, Lloyd's said in a statement.

Wars in Ukraine and Gaza have already disturbed shipping routes in the Black Sea and Red Sea.

"With more than 80% of the world's imports and exports – around 11 billion tons of goods – at sea at any given time, the closure of major trade routes due to a geopolitical conflict is one of the greatest threats to the resources needed for a resilient economy," Lloyd's said.

The possibility of such a geopolitical conflict was a systemic - or low likelihood but high impact - risk, Lloyd's said.

Lloyd's said it has also researched other potential systemic risks in partnership with the Cambridge Centre for Risk Studies, including cyber attacks and extreme weather events.