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What Are the Positive Effects of Tourism:The Economic Guide

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Cultural Awareness In UAE

Tourism has become very popular these days. It’s a good thing!

In fact, there are several particular spots in some countries that tourists like to observe, so regarding this information it clearly describes that tourism plays an important role for the country. 

Let’s make things clear!

The term “Tourism” doesn’t mean spending time to see some places, it’s more than just a vacation. It’s like an enormous industry that helps the world economy in several ways. How?

Listen, when COVID-19 closes the whole world it may cause several problems for tourism such as airports were not active, all hotels are empty and all online travel agencies were shut and stopped making money. Yes, it’s true!

Now a question arises, “Why did we discuss this?As we are growing rapidly to avoid disturbances in future, it’s crucial to understand the potential of tourism and its positive impacts on the economy. 

Let’s discuss it in detail!

Economic Impact of Tourism: Why Should the Government Have To Invest? 

The simplest answer is: 

Tourism helps the world’s economy a lot. How? Listen, tourism has the ability to help a range of places to make a lot of money. Example, by the help of tourism you can bring money into a destination by employing some ways that tourism offers such as employment, currency exchange, import and taxes extra. 

If we’re talking about the stats of recent people they are traveling all over the globe because of today’s excellent technology. Furthermore, individuals have a pretty good amount of money to spend and how can I forget the important thing “there’s some cheap and affordable airlines” 

Tourists love to observe and see new places. 

Now for better understanding, let’s discuss the importance of the economic industry of tourism all over the world.

“Tourism is a really important part of the world’s money. Here are some simple facts:”

  • Tourism makes up 5 percent of all the money made around the world.
  • It gives jobs to 6-7 percent of all workers.
  • In the things countries sell to other countries, tourism is the fourth biggest (after fuels, chemicals, and cars).
  • The whole tourism industry is worth a huge trillion every year.
  • 30 percent of the stuff countries sell to other countries comes from tourism.
  • 6 percent of all the things countries sell come from tourism.
  • In 2018, 1.4 billion people from different countries went on trips.
  • In more than 150 countries, tourism is one of the top five ways they make money from selling things to other countries.
  • For one-third of developing countries and half of less rich countries, tourism is the main way they get money from other countries.

It’s really impressive. Move forward to the next one!

How Does Tourism Harm Developing Countries?

When tourists spend more money on their trips, and that money goes back into the local community, it helps the economy a lot.

Tourism makes the local economy busier. But more tourists means there’s a chance of more local businesses which require more things such as services and products. This could make job vacancies for the persons which results in making more money, as well as helps reduce inequality.


The advantages we have just discussed are the direct benefits which include jobs in places that tourists employ, such as hotels and transportation. Other businesses that help tourism, such as building and sales, offer indirect benefits.

Closing Point:

Tourism is also very important for developing countries in several ways. It makes people see their country better globally, and more foreign money comes in.

Positive Economic Impacts of Tourism: 

Well now we are successful at our main question which has remained the same for a long time “ what are the positive impacts of tourism on the economy?”

Let’s discuss together!

As we discussed several places intentionally select particular places to invest their time and effort of money to tourism. Why are they doing this?

Because behind their mind they expect the positive impacts of tourism on the economy. So, we’ve researched some impacts for our potential audience to make things easier like never before. 

Let’s go!

Earning Through Currency Exchange:

Tourism is really good for making money from other countries.

When tourists spend money in a country, it helps the local economy. That country will have the ability to use this money for several things. 

Some destinations employ it to improve tourism, while others use it for public services such as schools or hospitals. But in some places, there’s a problem with corruption, so it’s unclear where the money goes.

About Currencies:

Currencies like British Pounds, American Dollars, Australian and Singapore Dollars, and the Euro are usually liked more because they are strong. Many countries prefer these currencies. 

This is because tourism is a big way for many countries to make money from other countries, and having valuable currencies helps them a lot. In fact, for many countries, tourism is one of the top ways they make money from other places, and having strong currencies makes it even better.

Employment Creation:

Several people are achieving their dream job because of tourism. According to reports about 7% of the world’s workers are supported by tourism, from hotel and restaurant staff to taxi drivers. 

There are almost two types of jobs in tourism: direct and indirect.

Direct jobs are connected to tourism, like hotel or restaurant staff.

Indirect jobs are related to tourism but not directly in it. For example, a fisherman doesn’t deal with tourists, but he sells fish to a hotel that serves tourists. So, he’s indirectly employed by tourism. 


Lastly, as we discussed the economical impact of tourism and about the topic of online travel agencies they actually play an important role in this success, and understanding the impact of tourism on their business is very important for good decision and growth. 

Regarding the impacts, tourism has an impact on hotels, airlines, and other related businesses, providing prospects for growing. 

Tourism develops as an essential source of revenue and job creation in a culture focused on sustainability, contributing to a more responsible and prosperous global economy.

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