The tourism industry contributes more to Russia’s gross domestic product than car and chemical manufacturing, according to a study released Wednesday by the World Travel & Tourism Council.
The industry’s contribution was 3.4 trillion rubles ($106 billion) in 2011, which accounts for 5.9 percent of GDP, compared with the 4.8 percent and 3.3 percent shares of the car manufacturing and chemicals sectors, respectively.
This percentage is pretty high for a European country, said Olivia Ruggles Brise, director of policy and research at the council.
The European average is 8 percent, but more manufacturing-focused countries — such as Germany, where tourism’s share of GDP is 4 percent — have lower numbers
The revenues of Russia’s tourism sector are only expected to grow. The study forecasts that the industry’s contribution to GDP will increase by 4 percent each year over the next decade, which is faster than the expected growth rate for the whole economy.
“The percent share is probably not going to increase radically, but there are great tourism opportunities in Russia,” Ruggles Brise said.
However, the country still struggles to draw foreign tourists.
According to the study, 77 percent of the tourism sector’s revenue in 2011 was from domestic travelers.
Related articles:
A Message from The Moscow Times:
Dear readers,
We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."
These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.
We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.
Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.
By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.
Remind me later.