The Benefits Of Tourism In An Economy

Tourism is an important industry in many countries because of the large number of benefits it has. Tourism improves the standard of an economy thereby causing many other benefits as well. The main cause of development in many localities is tourism therefore it must be considered important by all governments. Below are some benefits of tourism to an economy. 


A basic benefit of tourism is that it creates employment in an economy. Tourists not only pay to visit the destination but also pay local businesses for food, hotels and other products and services. The increasing popularity of tourism in many developing economies have increased the number of well paid jobs available in the industry. Educational qualifications such as great diploma of travel and tourism online are ideal methods of securing good jobs within the tourism industry. Tourism also has a positive impact on many other businesses like cabs and restaurants as well.

Economic Development

Tourists have had a direct impact on the economic development of many developing areas. The tax revenue from the tourism industry has allowed many localities to improve themselves. Tourism has encouraged people to open new businesses in the area and also enrol in travel courses due to the large number of jobs available in the industry.


The increase in tourism has lead to improvement of infrastructure in many areas. This has been a great benefit for local residents because they are also able to access better facilities. Tourism has lead to improvement in the medical care available in the locality. Governments are also more likely to fund infrastructure projects in areas with high number of tourists. Improved infrastructure has many benefits to the residents such as increase in income and better quality of life.

Additional Support

Many countries which depend on tourism are developing economies with almost no support. Therefore tourism is a very important source of income for such economies. Without tourism most businesses will not be able to earn a steady profit and will be forced to close. Developing economies are usually employed in the agricultural industry which may not be reliable because of the major climatic conditions. Tourism helps support such economies because of the dollars coming into the economy. Tourists also spend much more whilst travelling and this in turn is beneficial for the host country.


Tourism allows people to preserve their cultural sites for a longer period of time. The reason for increase in tourism in many areas is due to the cultural beauty. Therefore tourism allows local people to preserve their culture without any damage.