The Department of Tourism (DOT) and the Philippine Statistics Authority (PSA) recently conducted the 2023 Philippine Tourism Satellite Accounts (PTSA) and Tourism Statistics Dissemination Forum at the Philippine International Convention Center.
The Tourism Satellite Account (TSA) is a globally recognized statistical framework used to measure the economic impact of tourism.
Developed by the United Nations World Tourism Organization (UNWTO – now UN Tourism), the Organization for Economic Co-operation and Development (OECD), Eurostat, and the UN Statistics Division, the TSA provides a comprehensive set of tourism data.
In the Philippines, the TSA is compiled through a collaboration between the PSA and the DOT.
The latest PTSA revealed that in 2023, the share of Tourism Direct Gross Value Added (TDGVA) to the Philippine economy as measured by the Gross Domestic Product (GDP), reached 8.6 percent. This equates to P2.09 trillion, marking a 47.9 percent increase from the P1.41 trillion recorded in 2022, representing the highest growth in tourism since the data compilation began in 2000.
Other than inbound tourism, domestic tourism expenditure grew by 72.3 percent, from P1.55 trillion in 2022 to P2.67 trillion in 2023.
Outbound tourism expenditure also increased by 10.0 percent, from P189.29 billion in 2022 to P208.25 billion in 2023.
Overall, internal tourism expenditure, which includes both inbound and domestic expenditures, rose by 75.3 percent from P1.92 trillion in 2022 to P3.36 trillion in 2023.
“This in and of itself, manifests both the power of tourism to transform lives, to contribute to our economy.”
Tourism Secretary Christina Garcia Frasco emphasized the importance of the forum, dedicating the positive figures it bared to the country’s tourism players, saying that “This in and of itself, manifests both the power of tourism to transform lives, to contribute to our economy, and most importantly, evinces the sacrifice, the service, the work, the blood, sweat, and tears that have been put in by everyone that has contributed to Philippine tourism in 2023.”
In addition to the historic growth of the tourism industry in recent years, the PTSA report highlights the rise of tourism investments by 34.3 percent in 2023 from P378.88 billion in the previous year to P510.10 billion in 2023. This relevantly illustrates the confidence of tourism investors to the potentials and bright promise of the Philippine tourism industry.
Similarly, collective government spending for tourism grew by 15.4 percent in 2023 from P83.31 billion in the previous year to P96.11 billion in 2023, alluding to the government’s conscious efforts at improving tourism services in support of tourists related government agencies that cater to the improvement of tourists’ experience in the country.
“The surge in tourism expenditure has, as mentioned by the PSA, contributed significantly to our economy. Showing that the Philippines tourism is now one of the strongest pillars of our Philippine economy, demonstrating the sector’s critical role as far as the development of the Philippines is concerned,” Frasco stressed.
“The directive of our President has been very clear that we must expand tourism opportunities to as far and wide as to the country as possible. Inbound tourism expenditure, on the other hand, saw an extraordinary 87.7 percent growth faster than the 3.7 growth of total Philippine exports and reaching 697 billion pesos, the highest to date. The share of inbound tourism expenditure to total Philippine exports has already reached double digits at par with our 2019 record,” the tourism chief added.
The PTSA presentation captures various tourism-related products, including accommodation services, food and beverage serving activities, transport services, travel agencies and other reservation services, entertainment and recreation services, shopping, and miscellaneous services that broadly represent revenue on tourism-related activities in the country.
The forum aligns with the mandates outlined in the Republic Act No. 9593, also known as the Tourism Act of 2009. Specifically, Section 11(e) of the Act directs the Office of Tourism Development Planning, Research, and Information Management (OTDPRIM) of the DOT to conduct research, disseminate data, and analyze the socio-economic impact of tourism.
The DOT’s Statistics, Economic Analysis, and Information Management Division (SEAIMD) is tasked with organizing forums to share research findings and facilitate policy formulation, planning, product development, regulation, and marketing.
Likewise, the forum runs parallel to the provisions of Republic Act No. 10625, the policy “Reorganizing and Strengthening the Philippine Statistical System and for Other Purposes” that facilitated the compilation of national accounts including satellite accounts by the PSA, such as that of tourism data for the country.
The PTSA report further reveals that employment in tourism characteristic industries was estimated at 6.21 million in 2023, a 6.4 percent increase from the 5.84 million employment in 2022. This number is already very close to the 6.4 million projected employment for 2028 under the National Tourism Development Plan. The share of employment in tourism industries to the total employment in the country in 2023 was recorded at 12.9 percent.
“To harness the power of tourism to ensure that it positively contributes to the lives of our fellow Filipinos. The work that we do and everything that we are trying to push as far as Philippine tourism is concerned will redound to the benefit of our fellow citizens and that we can see is growing exponentially,” the tourism head said.
“This achievement of Philippine tourism underscores the sector’s capacity to create meaningful livelihood opportunities that drives inclusive growth and ensures that no one is left behind as our country progresses.”
“This achievement of Philippine tourism underscores the sector’s capacity to create meaningful livelihood opportunities that drives inclusive growth and ensures that no one is left behind as our country progresses. These statistics are not just figures. They are the bedrock upon which we build our tourism development initiatives and shape the future of our industry,” she added.
In his message, National Statistician and Civil Registrar General Dr. Claire Dennis Mapa gave thanks to those who participated and contributed to the realization of the Satellites Accounts surveys, “We extend our gratitude to our data partners, the local government units, and other tourism stakeholders whose support is crucial in strengthening the tourism industry in our country. In the 2023 to 2028 Philippine development plan, we recognize tourism as one of the key drivers of economic growth, considering also the significant number of jobs that the tourism industry would create.”
