How Much Money Does Australia’S Tourism Industry Bring In?

Tourism in Australia continues to be a significant driver of growth for the Australian economy, with domestic and international tourism spending totaling $122 billion in 2018-19. In the financial year 2018-19, Australia generated $60.8 billion in direct tourism gross domestic product (GDP), representing a 3.5% growth over the previous year. However, tourism exports from international visitors spending money on Australian goods and services rose by $20.1 billion to $26.1 billion in 2022-23.

The tourism GDP as a share of the national economy fell from 3.1 in 2018-19 to 2.5 in 2019-20. The recovery in the Australian tourism industry following the pandemic has faced challenges in reopening, and uncertainties around the outlook for the sector remain. In current price terms, tourism GDP rose 76.6 to $63.0b in 2022-23 to be above the 2018-19 level of $60.3b.

Australia Tourism Revenue grew 5.9 YoY in September 2019, compared with an increase of 1.3 YoY in the previous quarter. Tourism Research Australia predicts that international visitor expenditure will exceed pre-pandemic levels in 2024 before increasing to A$50.7 billion by 2028. In 2022/23, the total tourism sales in the City of Sydney were $14841.7m, with a total value added of $8346.7 million.

Tourism is a key industry to the Australian economy, filling 110,800 jobs and contributing $13.2 billion to WA’s economy (by Gross State Product) in 2022-23. Victoria’s tourism industry generated $28.2 billion in gross state product, accounting for 5 of the state’s economy. A 78.5 increase in tourism revenue in 2022/23 is expected to further boost the industry’s economic contribution.

Why is tourism so important in Australia?

Australia, a high-value market with world-class cultural and natural attractions, is experiencing a recovery in international tourism following the pandemic. Tourism Research Australia predicts that international visitor expenditure will exceed pre-pandemic levels in 2024 and increase to A$50. 7 billion by 2028. Australia’s long-term national strategy, THRIVE 2030, aims to return to pre-pandemic visitor expenditure of A$166 billion by 2023 and sustainably grow to A$230 billion by 2030.

The country’s political stability and resilient economy provide a safe and low-risk business environment for businesses and investors. The Australian Government has announced a $48 million tourism and travel package in the October 2022 Budget to support further recovery.

What contributes to the Australian economy?

The industry is characterized by the sharing of key sectors, including mining, finance, health and education, manufacturing, and construction. The distribution of output shares varies by state. The export share is derived primarily from the resources, services, rural, and manufactured sectors.

What is the biggest contributor to the Australian economy?

In 2024, Australia’s top industries by revenue include professional services, consumer goods retailing, national and regional commercial banks, health services, financial asset investing, iron ore mining, supermarkets, and grocery stores. The State Government Administration industry, comprising eight state and territory governments, generated $365. 4B in revenue, including actions such as schools, hospitals, roads, and railways.

This report doubles key information with other industries in Australia, including teachers employed in government schools. Finance in Australia also saw a revenue of $360. 6B in 2024. These industries contribute significantly to the country’s economy and economy.

What is Australia’s main source of income?

The Australian economy is primarily dominated by its service sector, which accounted for 62. 7 percent of GDP in 2017 and employed 78. 8% of the labor force. Despite the decline in the mining sector, the Australian economy has remained resilient and stable, with a highly efficient and strong social security system comprising roughly 25 percent of GDP. The Australian Securities Exchange in Sydney is the 16th-largest stock exchange in the world and has one of the largest interest rate derivatives markets in the Asia-Pacific region.

Australia’s economy is strongly intertwined with East and Southeast Asia, also known as ASEAN Plus Three (APT), accounting for about 64 percent of exports in 2016. China is Australia’s main export and import partner. The country is a member of APEC, G20, OECD, and WTO, and has entered into free trade agreements with ASEAN, Canada, Chile, China, South Korea, Malaysia, New Zealand, Peru, Japan, Singapore, Thailand, and the United States. The ANZCERTA agreement with New Zealand has significantly increased integration with the economy of New Zealand.

How much does tourism contribute to the economy?

In 2023, travel and tourism’s contribution to global GDP declined by 1. 3 percentage points compared to 2019, the year before the COVID-19 pandemic. These industries made up 9. 1% of the global GDP, contributing nearly 10 trillion U. S. dollars. The pandemic’s lockdowns and travel restrictions impacted travel and tourism, with job growth but slightly below pre-pandemic levels. International tourist arrivals also lagged pre-pandemic levels, with Europe being the global region with the highest number of international tourist arrivals. Despite a rebound in 2022 and 2023, the number of international tourist arrivals remained below the peak of nearly 1. 5 billion reported in 2019.

Which country makes the most money from tourism?

In 2023, the United States ranked highest in international tourism receipts, with inbound tourism receipts reaching nearly 176 billion U. S. dollars. This figure is a sharp increase from 2019, despite a decrease from the previous year before the COVID-19 pandemic. Spain and the United Kingdom followed with 92 billion and 74 billion U. S. dollars respectively. France topped the list of countries with the highest number of inbound tourist arrivals, with 100 million arrivals in 2023.

Spain and the United States followed with over 85 million and 66 million arrivals, respectively. The total contribution of travel and tourism to GDP worldwide was estimated to be just under 10 trillion U. S. dollars in 2023, with over 300 million travel and tourism jobs worldwide.

What is the leading economic activity in Australia?

Australia’s major economic activities include mining, industry, agriculture, small businesses, and tourism. Mining is the largest exporter of diamonds, aluminum, and coal, while industry produces food, paper, machinery, and technological equipment. Agriculture imports sugar, wheat, cotton, barley, grapes, and other fruits. Small businesses make up about 30 percent of the economy and employ over 3. 3 million people. Tourism creates employment for about 500, 000 people and generates revenues of over 94 billion dollars annually.

Australia’s success in this sector is attributed to the increasing number of students seeking to complete exchange programs. The labor market in Australia is thriving due to its economic and industrial development. The Australian government offers work permits for foreigners, allowing international students to work legally for up to 40 hours biweekly during their course and full-time on vacation.

Which country has the highest GDP from tourism?

In 2023, the United States surpassed pre-pandemic levels in terms of travel and tourism contribution to GDP, with a total of 2. 36 trillion U. S. dollars. China and Germany followed closely, with travel and tourism contributing around 1. 3 trillion and 488 billion U. S. dollars, respectively. The total contribution of travel and tourism to global GDP reached just under 10 trillion U. S. dollars in 2023. GDP, the total value of goods and services produced in a country in a year, is a crucial indicator of a country’s economic strength.

How much does tourism contribute to the Australian economy?

Tourism’s GDP increased by 60. 1 to $57. 1b in 2022-23, but it remains below the 2018-19 peak of $63. 4b. Its direct contribution to the economy, including GDP, value added, employment, and consumption by product and industry, rose to 2. 5 in 2022-23 but remains below the 2018-19 level of 3. 1. Domestic tourism consumption increased by $34. 9b to $124. 9b, while international tourism increased by $17. 7b to $23. 6b in chain volume terms.

Tourism filled jobs rose to 626, 400 in 2022-23 but remains below the 2018-19 peak of 700, 900 filled jobs. Direct tourism impacts occur when there is a direct physical and economic relationship between the visitor and producer of a good or service.

What are the main drivers of Australian economic growth?

Australia’s economic outperformance has been largely driven by population growth and immigration, with the country’s population growing by 1. 4 per annum since 1985, with 0. 7 per annum driven by net overseas migration. This is significantly higher than the average population growth rate of 0. 4 per annum in other developed nations. The US has also experienced strong population growth and immigration, with an average of 1. 0 per annum since 1985, with just under half of that growth coming from net migration. Both countries have outperformed their developed market peers economically, despite starting from a larger base.

How does Australia benefit from tourism?

Tourism Research Australia is a strategic research and analysis program that focuses on the structure and performance of the Australian tourism industry. The program uses surveys and supply and demand intelligence to support policy making, marketing, and industry development. The reports cover issues such as tourism’s value to the Australian economy, industry performance, market dynamics, and emerging trends. Additionally, the annual State of the Industry report analyzes the industry’s current performance, challenges, and how to respond.