Record Economic Contribution Just Made by Tanzania’s Tourism Sector
The World Travel & Tourism Council’s (WTTC) 2024 Economic Impact Research (EIR) has revealed a remarkable surge in Tanzania’s Travel & Tourism sector for 2023. The sector has reached unprecedented levels of economic contribution and visitor expenditure, marking a significant milestone in the nation’s economic development.
In 2023, Tanzania’s Travel & Tourism sector contributed a staggering TZS 18.6 trillion to the national economy. This figure surpasses the previous peak recorded in 2019 by 4%, highlighting the sector’s substantial impact on the country’s economic output. The sector now represents 9.5% of Tanzania’s total economy, underscoring its vital role in the nation’s financial health.
Visitor spending also hit new heights last year. International visitor expenditure exceeded TZS 8 trillion, while domestic spending reached TZS 3.7 trillion. These figures represent increases of 11.1% and 12.8%, respectively, compared to 2019 levels. This surge in spending reflects the growing appeal of Tanzania as a travel destination for both international and domestic tourists.
The Travel & Tourism sector also saw significant growth in employment. The number of jobs in the sector climbed to over 1.4 million, adding more than 97,300 new jobs. However, this figure is still 7.4% below the 2019 high point. Despite this, the growth in employment underscores the sector’s critical role as a major employer in Tanzania.
The positive trend is expected to continue in 2024. The WTTC projects that the sector’s contribution to Tanzania’s national economy will reach TZS 20.3 trillion, representing nearly 10% of the economy. International visitor expenditure is anticipated to rise to TZS 8.7 trillion, an 8.5% increase from 2023, while domestic visitor spending is projected to grow to more than TZS 3.9 trillion.
Employment within the Travel & Tourism sector is also expected to reach new heights. The number of jobs is projected to grow to more than 1.5 million, further cementing the sector’s role as a significant employer in the country.
Julia Simpson, WTTC President & CEO, expressed her enthusiasm about the sector’s growth. “Tanzania’s Travel & Tourism sector is growing from strength to strength, contributing record numbers to the national economy. This underscores the sector’s crucial role in driving economic development and job creation, with projections indicating continued growth and increased employment over the coming years,” she said.
The WTTC’s 10-year forecast paints an even brighter picture for Tanzania’s Travel & Tourism sector. By 2034, the sector is expected to achieve substantial growth, with its economic contribution projected to reach TZS 30.9 trillion. This growth will further enhance the sector’s significance in the national economy.
The sector is also expected to continue its role in job creation. Total employment in Travel & Tourism is projected to reach 2.25 million, adding 710,000 new jobs. This means that nearly one in 15 workers in Tanzania will be employed in the sector, highlighting its importance as a source of employment and economic stability.
Several factors have contributed to the impressive growth of Tanzania’s Travel & Tourism sector. The country’s rich cultural heritage, diverse wildlife, and stunning landscapes have made it a top destination for travelers worldwide. Tanzania’s efforts to improve infrastructure, such as upgrading airports and roads, have also played a crucial role in attracting more visitors.
Moreover, the government’s focus on promoting sustainable tourism practices has resonated well with eco-conscious travelers. Tanzania’s commitment to preserving its natural beauty while providing exceptional travel experiences has set it apart as a leading destination in the global tourism industry.
Tanzania has made significant strides in promoting sustainable tourism. Initiatives aimed at conserving wildlife, protecting natural habitats, and supporting local communities have been integral to the country’s tourism strategy. These efforts not only enhance the visitor experience but also ensure the long-term sustainability of the tourism sector.
The country’s national parks and conservation areas, such as the Serengeti National Park and Ngorongoro Conservation Area, have become iconic symbols of Tanzania’s commitment to preserving its natural heritage. These areas attract millions of tourists annually, contributing significantly to the economy while promoting conservation efforts.
Despite the remarkable growth, Tanzania’s Travel & Tourism sector faces several challenges. Infrastructure development, although improved, still requires significant investment to keep pace with the increasing number of visitors. Additionally, the sector must navigate global economic uncertainties, such as fluctuating exchange rates and changes in international travel policies.
However, these challenges also present opportunities for further growth. By continuing to invest in infrastructure, enhancing the quality of services, and promoting sustainable tourism practices, Tanzania can solidify its position as a leading travel destination. The government’s proactive approach to addressing these challenges will be crucial in ensuring the sector’s continued success.
The WTTC’s 2024 Economic Impact Research highlights the remarkable achievements of Tanzania’s Travel & Tourism sector in 2023. With record-breaking economic contributions, increased visitor spending, and significant employment growth, the sector has demonstrated its vital role in the country’s economy. Looking ahead, the positive trends are expected to continue, with even greater contributions and job creation projected for the coming years.
As Tanzania continues to develop its tourism infrastructure and promote sustainable practices, the country is well-positioned to attract more visitors and achieve further growth. The future looks promising for Tanzania’s Travel & Tourism sector, promising continued economic benefits and opportunities for all.
As reported by the Tanzanianvest in their recent article
