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Tourism industry's contribution to GDP rises to 12.7%

June 10, 2019 - Monday 12:06 PM by Funny Pearl A. Gajunera

Article Banner Image The country's tourism industry continued to grow despite the six-month closure of Boracay -- one of the country's top tourist destinations. Photo by Rhonson Ng

Despite the six-month closure of Boracay island last year, the tourism industry’s contribution to the Philippine economy increased to 12.7 percent of the country’s Gross Domestic Product (GDP), 0.5 percent higher than in 2017.

Citing data released by the Philippine Statistics Authority (PSA) on June 6, the Department of Tourism (DOT) said the Tourism Direct Gross Value Added (TDGVA), an indicator that measures the value added of the tourism industry, amounted to P2.2 trillion, which is an increase of P14.3 percent from the 2017 TDGVA of P1.9 trillion.

Employment in the tourism industry also rose increased to an estimated 5.4 million, 1.8 percent higher than the 5.3 million in the previous year.

DOT Secretary Bernadette Romulo-Puyat attributed the booming tourism of the Philippines to the current administration of President Rodrigo Duterte and its Build Build Build program.

“The Build Build Build Program of the administration has greatly improved infrastructure and transport connectivity, while the ease of doing business, coupled with a facilitative environment for investments has boosted both visitor and investor confidence in Philippine tourism,” Romulo-Puyat said in a statement.

The number of domestic tourists reached 110 million, which is an increase of 14.1 percent from the previous year’s figure of 96.4 million.

This exceeds the 89.2 million target in 2022 stated in the National Tourism Development Plan (NTDP), the DOT said.

Domestic tourism expenditure is also up by 21 percent at P 3.2 trillion, compared to the P2.6 trillion in 2017.

“These numbers show that the Philippine tourism industry is sustainable; it is an engine for socio-economic growth that provides jobs and income to the country while preserving Filipino culture and tradition as well as conservation of the environment,” Romulo-Puyat said.