Germany’s Travel and Tourism Industry Continues to Lag Behind European Neighbors

The World Travel & Tourism Council’s (WTTC) latest Economic Impact Research (EIR) has shed light on the slow recovery of Germany’s Travel & Tourism sector compared to other key European destinations. The data reveals that while domestic tourism is keeping the sector afloat in Germany, international travel spend remains below pre-pandemic levels.

In 2023, the sector’s contribution to Germany’s GDP reached just over €453 billion, which is €13.5 billion below 2019 levels. Employment in the Travel & Tourism sector grew by 5% to reach 6.18 million, but this is still almost 250,000 jobs short of the 2019 figures.

International visitor spending in Germany remained more than 25% behind 2019 levels in 2023, with a deficit of €14 billion. On the other hand, domestic visitor spending fully recovered, surpassing the 2019 level by €2.9 billion.

WTTC President & CEO, Julia Simpson, highlighted the resilience of Germany’s Travel & Tourism sector but expressed concerns about the recent increase in airline passenger taxes, which could hinder the recovery. Simpson emphasized the importance of stimulating the return of international visitors to drive the economy forward.

Looking ahead to 2024, WTTC forecasts that the sector’s overall GDP contribution will recover, reaching almost €469 billion. However, jobs and international visitor spending are expected to remain below 2019 levels. Despite the challenges, with the right government support, WTTC believes that Germany’s Travel & Tourism sector could grow significantly in the next decade, contributing nearly €554 billion to the economy by 2034 and employing almost 6.5 million people.

Across the European Union, the Travel & Tourism sector saw growth in 2023, with international spending nearing pre-pandemic levels. WTTC predicts continued growth in the region in the coming years, with GDP contribution set to reach almost €1.75 trillion and jobs exceeding 24.5 million.