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Outbound News

Monday, 11 January, 2021, 15 : 30 PM [IST]
Canada witnesses record decrease in tourism spending in 2020

Tourism spending in Canada surged 56.4 per cent in the third quarter of 2020 but remained less than half its level in the fourth quarter of 2019, Statistics Canada said, reports Xinhua.

The 56.4 per cent increase partially offset the large drops in the first and second quarters, which fell 14 per cent and 65 per cent respectively, due to the impact of the COVID-19 pandemic.

Tourism gross domestic product (GDP) and jobs attributable to tourism were also up from the second quarter but remained well below pre-pandemic levels.

All tourism spending categories posted double-digit growth or greater from the historic lows of the second quarter. Despite more than doubling, passenger air transport remained the hardest hit spending category, with levels 89.9 per cent lower than in the fourth quarter of 2019.

Tourism GDP increased by 62.6 per cent in the third quarter following record declines in the first two quarters. Despite this increase, tourism GDP remained 51.5 per cent lower than in the fourth quarter of 2019.

Employment attributable to tourism rose 27.1 per cent in the third quarter, following sharp declines in the first two quarters. The increase was driven mainly by more jobs in food and beverage services, accommodation, and non-tourism industries, which all registered significant losses in the second quarter.

Tourism spending in Canada by Canadians rose 56.9 per cent in the third quarter, recouping some of the 56.8 per cent decline from the previous quarter. Compared with the fourth quarter of 2019, domestic tourism spending plunged 40.6 per cent.

Tourism spending by international visitors to Canada rose 28.2 per cent in the third quarter, following a second quarter that plummeted 97.1 per cent due to travel restrictions. Despite the large quarterly growth, spending was down 97 per cent compared with the fourth quarter of 2019. (Source: Xinhua)



 
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