The Philippines can further boost tourism’s contribution to export revenue, given its untapped potential as a driver of foreign exchange and export diversification, according to a study by the Philippine Institute for Development Studies (PIDS).
PIDS senior research fellow John Paolo Rivera, research specialist John Joseph Ocbina and De La Salle-College of Saint Benilde lecturer Marga Clarence Bolalin noted that tourism’s average share of export revenues from 2000 to 2024 was 6.5 percent. That figure rose to 10.3 percent in 2024, underscoring growing global demand for the country as a destination.
“This upward trend shows inbound tourism is becoming a key part of the services export strategy, complementing merchandise exports such as electronics and agriculture,” the researchers said.
Unlocking further growth in inbound tourism expenditures (IBTE) requires strategic investments in destination competitiveness, service quality, infrastructure and air connectivity, particularly in high-potential but underserved areas.
IBTE’s share of total exports rose steadily from 6.2 percent in 2000 to 10.3 percent in 2024, with spikes in 2017 during the ASEAN Summit (9.3 percent) and again in 2019 and 2023, the study noted. Real IBTE grew from P230.9 billion in 2012 to P585.9 billion in 2019, with its export share rising from 6.5 percent to 10.8 percent.
