Russia’s $106 billion travel and tourism is bigger than the size of its automotive manufacturing industry and directly supports almost as many jobs as the financial sector, new research shows.
The sector supports four million jobs and generates more employment than the chemical industry, according to the study by Oxford Economics for the World Travel & Tourism Council.
Travel and tourism’s contribution to GDP is growing faster than most other sectors in Russia, the study shows. It will grow by an average of 4% a year over the next ten years, a faster growth rate than the total economy.
The total contribution to GDP in Russia was $106 billion last year, or 5.9% of total GDP. This compares to 4.8% for automotive manufacturing, 2.9% communications services and 3.3% for chemicals.
WTTC president and chief executive David Scowsill, speaking at the Moscow International Travel Forum, described the numbers as being “extremely significant”.
He said: “As a driver of economic recovery and growth in a very turbulent time, the industry stands apart for the sheer scale of its ability to create jobs and growth in every part of the globe and especially in Russia as shown by this study.”
Tui AG chairman Michael Frenzel added: "This research demonstrates the vast economic and social relevance of the travel and tourism industry in Russia, but also its potential.
“It is vital that the government puts the industry alongside Russia's traditional industrial base when considering long-term policies to create jobs, growth and economic prosperity."
Russia hosts the next T20 tourism ministers’ meeting next year ahead of the Winter Olympics in Sochi in 2014 and the football World Cup in 2018.
“It’s a great time for Russia to take notice of the travel and tourism industry as a generator of jobs and growth and ensure that sufficient investment and support is in place to ensure the success of these important events as well as the ongoing growth of Russia’s travel and tourism,” said Scowsill.
This is a community-moderated forum.
All post are the individual views of the respective commenter and are not the expressed views of Travel Weekly.
By posting your comments you agree to accept our Terms & Conditions.