LONDON — Canada’s travel and tourism sector is forecast to contribute almost $183 billion to the economy in 2025.
That’s a record-setter, according to the World Travel & Tourism Council and its just released Economic Impact Research (EIR).
The sector is also set to support 1.8 million jobs in 2025, a figure the WTTC calls “a major milestone”, one that underlines travel and tourism’s role as key to Canadian labour market and reflects continued strength in Canada’s travel and tourism industry.
The booming numbers come with a warning, however: “As global dynamics are shifting, Canada will need to remain proactive to retain momentum as international travel patterns are evolving.”
The WTTC notes that Canada’s tourism economy has benefitted from a stable and growing domestic market.
In 2025, domestic visitor spending – i.e. Canadians’ travel spend within Canada – is projected to reach nearly $104 billion, more than double the year-on-year growth last year (8.3%).
International visitor spending is continuing to recover, forecast to hit $34 billion, just 2.9% below 2019 levels.
“Canada’s travel and tourism sector continues to be a bright spot in the global economy. With record economic contribution, job creation, and a strong domestic base, the country is proving just how resilient and adaptable its sector can be,” said WTTC President & CEO, Julia Simpson.
“But Canada must remain vigilant. Travel patterns are shifting, and inbound growth from key markets remains delicate. This is the time to invest in smart marketing, frictionless access, and visitor experience to protect that momentum.”
According to the data, 71% of Canada’s inbound arrivals in 2024 came from the U.S., and 52% of outbound travel by Canadians headed to the U.S.
But as Simpson notes, having so many eggs in one basket creates challenges in these fractious times. As the travel industry well knows, since early 2025 Canadian travel south of the border has dropped precipitously, and inbound travel from the U.S. is down too.
The downward trend started in the early months of the new U.S. administration and has continued with drops every month.
In 2024 Canada’s travel and tourism sector contributed just under $169 billion to Canada’s economy and supported 1.7 million jobs.
Domestic visitor spending reached $95.7 billion, while international visitor spending totalled $28.9 billion.
WTTC forecasts that by 2035, Canada’s Travel & Tourism sector will contribute $233.5 billion to the national economy, 6.3% of GDP, and support more than 2.1 million jobs.
Also by 2035, international visitor spending is projected to reach $40 billion, with domestic spending forecast to surge to over $132 billion.
