Contribution of Tourism to the Economy is 8.6 Percent in 2016

Reference Number: 2017-064
Release Date: 08 June 2017
As measured by the share of tourism direct gross value added (TDGVA) to total gross domestic product (GDP), the contribution of tourism to the economy was estimated at 8.6 percent in 2016 (Figure 1). The TDGVA amounted to PhP 1,243.5 billion in 2016, higher by 13.7 percent compared to previous year’s PhP 1,093.4 billion.  
The TDGVA estimate is based on the latest results of the Philippine Tourism Satellite Accounts (PTSA) which also provides information on tourism expenditure and employment.  The following are the other key results from PTSA:
  • Inbound tourism expenditure, which refers to the expenditure of non-resident visitors (foreign visitors and Filipinos permanently residing abroad) within the Philippines, grew by 2.3 percent in 2016, amounting to PhP 313.6 billion from PhP 306.6 billion in 2015.  Compared to the country’s total exports, the share of inbound tourism expenditure was 7.7 percent. Inbound tourism ranked third among the biggest export items in 2016, after miscellaneous services at 34.1 percentand semiconductors at 20.9 percent.
  • Domestic tourism expenditure, which includes expenditure of resident visitors within the country either as domestic trip or part of an international trip, grew by 19.1 percent, from PhP 1,770.7 billion in 2015 to PhP 2,108.2 billion in 2016.  Domestic tourism expenditure represents 19.8 percent of the household final consumption expenditure (HFCE) in 2016.
  • Employment in tourism characteristic industries was estimated at 5.2 million in 2016, higher by 5.1 percent compared to 5.0 million in the previous year.  Share of employment in tourism industries to total employment in the country was recorded at 12.8 percent in 2016.  
The PTSA is compiled by the Philippine Statistics Authority (PSA) based on the international recommendations for tourism statistics and tourism satellite accounts of the United Nations World Tourism Organization.  The PTSA tables are available at
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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.