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Contribution of Tourism Industry to the Economy Posts 5.9 percent in 2011

Reference Number: 20121126-ES4-01
Release Date: 26 November 2012

As measured by the share of tourism direct gross value added (TDGVA) to total gross domestic product (GDP), the contribution of tourism industry to the economy was 5.9 percent in 2011. It averaged 5.8 percent during the years 2000-2010. TDGVA, an indicator which measures the value added of different industries in response to activities of both domestic and inbound visitors, amounted to PhP 571.3 billion in 2011, higher by 10.2 percent than in the previous year.

Among the tourism-characteristic industries, shopping had the biggest share to TDGVA at 22.9 percent, followed by accommodation at 11.2 percent, and entertainment and recreation at 6.8 percent.

These are based on the latest results of the Philippine Tourism Satellite Account (PTSA) which also provides information on tourism expenditure and employment. Other key results from PTSA include the following:

  • Inbound tourism expenditure, which refers to the expenditure of non-resident visitors (foreign visitors and Philippine passport holders permanently residing abroad) within the Philippines, continued to increase as it posted double-digit growth of 13.9 percent in 2011, amounting to PhP 124.5 billion from PhP 109.2 billion in 2010.
  • Shopping, food and beverage, and accommodation topped the list of consumption products among inbound tourists, with 28.5 percent, 25.6 percent and 24.5 percent shares to the total expenditure, respectively.
  • Domestic tourism expenditure, which includes expenditure of resident visitors within the country either as domestic trip or part of international trip, grew largely by 27.1 percent, from PhP 783.4 billion to PhP 995.7 billion.
  • Share of tourism employment to total employment in the country slightly increased at 10.3 percent from the previous year’s 10.2 percent. Employment in tourism industries was estimated at 3.8 million in 2011, higher by 3.5 percent from last year’s 3.7 million.

The PTSA is compiled by the National Statistical Coordination Board (NSCB) in collaboration with the Department of Tourism and the NSCB Inter-Agency Committee on Tourism Statistics. 

 

JOSE RAMON G. ALBERT
Secretary General

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Assistant National Statistician
Macroeconomic Accounts Service
Telephone: (02) 8376-1996
E-mail: v.ilarina@psa.gov.ph

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Division Chief
Satellite Accounts Division
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E-mail: g.clarino@psa.gov.ph

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Given the importance of tourism in the overall economic growth in the country, one would wonder how much income does tourism bring into the country. In response to this, the Philippine Statistics Authority (PSA)  and the Department of Tourism (DOT) are closely working together to measure the contribution of tourism in the economy through the institutionalization of the PTSA.