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TRAVEL AND TOURISM:
A POWERFUL ECONOMIC DRIVER AND SERVICE EXPORT FOR CANADA

Delivering benefits for Canadians and communities across the country.

Value of Tourism

Tourism creates jobs, supports businesses and generates export revenue for Canada.

Tourism is Canada’s second-largest service export. International visitors bring new revenue into the country, driving trade and creating prosperity in every region. It strengthens local economies and helps support the infrastructure and services that Canadian communities rely on. 

Driving Canada’s tourism sector is Destination Canada, providing the insight, strategy and global reach needed to turn tourism demand into real economic benefits.

$140.5B

annual revenue contributed to the Canadian economy

280,010

businesses in 5,000 communities 
 

1 in 10

jobs in Canada relies on tourism
 

Tourism is one of Canada’s most immediate and scalable export opportunities. With global travel demand accelerating, Canada is well positioned to capture a greater share of the USD $2 trillion international visitor economy. As Canada navigates a defining global moment marked by shifting travel demand and intensified competition, this sector continues to demonstrate its growing contribution to Canada’s economic goals.”

- Meaghan Ferrigno, Interim President and CEO, Destination Canada.
 

Economic

A powerful economic driver

In 2025, the sector generated $140.5 billion in direct visitor spending, or more than $385 million every day. It was a record summer for Canadian tourism and domestic travellers helped drive this growth. Destination Canada estimates summer tourism revenue reached nearly $60 billion, up 6 per cent compared with the same period in 2024. 

A leading service export 

Tourism is one of Canada's top two service exports. International visitor spending is considered export revenue, because it brings money from other countries into Canada every time travellers book a hotel, join a guided tour, dine at a local restaurant, visit an attraction or purchase Canadian-made products. In 2025, these tourism exports generated $34.9 billion in revenue and accounted for 14.5 per cent of Canada's total service exports, placing tourism ahead of both telecommunications and financial services. 

As Canada works to diversify its trade and export markets, tourism is helping drive export growth in communities across the country. By 2035, the sector is projected to contribute up to $30 billion toward Canada's goal to generate an additional $300 billion in exports to non-US markets.

Jobs & Businesses

Jobs and businesses

Tourism is a major employer in Canada, supporting 687,800 jobs in more than 70 industries and more than 280,000 businesses in 5,000 communities across the country. The sector offers diverse career opportunities, from pilots and programmers to sommeliers and surf instructors, enabling people to build meaningful careers in the communities they call home. Tourism also provides an important entry point for young people and newcomers, creating pathways to rewarding long-term employment. 

Overall, one in 10 jobs in Canada relies on tourism-related economic activity.  This activity supports Canadian workers, strengthens local businesses and generates revenue that helps fund essential public services in communities across the country. 

Building Wealth and Wellbeing for All Canadians

Benefits for communities

Tourism is a vital pillar of Canada's economy, generating jobs, supporting businesses, and helping fund the public services and infrastructure Canadians rely on every day. When the world comes to Canada, communities across the country benefit through stronger local economies, increased investment and enhanced quality of life. 

Beyond its economic impact, tourism helps sustain vibrant communities by supporting cultural events, recreational amenities and year-round economic activity that benefit residents as much as visitors. It also supports environmental stewardship and conservation efforts that help protect Canada's natural landscapes, waterways and wildlife while creating sustainable visitor experiences.  

Indigenous tourism continues to be a powerful driver of demand for real, meaningful, and authentic experiences. 60% of Highly Engaged Guests are seeking Indigenous-led tourism experiences in Canada, according to Destination Canada’s Traveller Segmentation data. Through Indigenous-led experiences, visitors gain a deeper understanding of the histories, cultures and traditions of Indigenous Peoples, who have stewarded these lands since time immemorial. 

To better understand tourism's contribution to Canadians, Destination Canada developed the Wealth & Wellbeing IndexExternal Link Title, a first-of-its-kind framework that measures tourism's social, cultural, environmental and economic benefits beyond traditional metrics such as visitor spending and arrivals. 

Destination Canada Leadership

Destination Canada’s role

Destination Canada leads Team Canada, bringing together provinces, territories, cities and industry partners to promote Canada internationally across all regions and seasons. Through data-driven marketing, research and strategic partnerships, Destination Canada helps to attract highly engaged travellers and generate economic benefits for Canadians. 

Research and intelligence 

In a rapidly evolving and competitive global marketplace, Destination Canada’s  Canadian Tourism Data CollectiveExternal Link Title equips tourism leaders, businesses,  destinations, investors, researchers and policymakers with the insights needed to  strengthen Canada’s tourism competitiveness and drive more strategic,  sustainable growth. 

Delivering measurable impact

Investment in Destination Canada delivers measurable returns. According to an independent Tourism Economics report, every $1 invested in Destination Canada in 2023 generated $23.85 in total economic activity, $2.25 in federal tax revenue and $4.80 in total tax revenue. Destination Canada’s $134 million budget helped generate 879,000 international  visits resulting in $1.6 billion in visitor spending and $3.2 billion in total economic impact for Canada.  

An updated Value of Tourism report will be published soon, with early results pointing to continued growth and strong economic returns. 

According to the World Travel & Tourism Council’s (WTTC)1 latest Economic Impact ResearchExternal Link Title, in 2025 international visitor spending exceeded USD $2 trillion (CAD $2.8 trillion) globally, highlighting both the scale of the opportunity and the intensity of global competition. Investment in Destination Canada and the tourism sector is essential to secure Canada’s share of this growing market, attract high-value visitors, and advance Canada’s broader economic and trade diversification objectives. 

Tourism Markets

Growth markets and outlook

Destination Canada promotes Canada in nine key international leisure markets: Australia, China, France, Germany, Japan, Mexico, South Korea, the United Kingdom and the United States. 
 

  • Canadians are increasingly choosing to travel at home, with more travel spending expected to remain in the country. This shift is projected to add $1.5 billion in 2025 and $4.4 billion between 2025 and 2027, benefitting communities across Canada’s 122 tourism regions. 
     
  • The United States remains Canada’s largest international tourism market. Spending by US visitors is expected to grow 5.3 per cent annually, led by travellers arriving by air, who typically spend more per trip. 
     
  • Overseas markets are forecast to grow by 9.8 per cent annually through 2035—approximately twice the pace of the US market. This growth would help Canada diversify its international visitor markets and attract travellers across more seasons. 
     
  • Business events attract international delegates who tend to spend more and can create lasting benefits for host communities. By 2028, the number of association events is projected to be 132 per cent above 2019 levels, while delegate attendance is expected to be 118 per cent higher. These events can support long-term trade, attract talent and deliver value far beyond short-term economic impact. 


Destination Canada's forecast projects tourism revenue will grow by six per cent in 2026, creating immediate and long-term value for Canada's economy. 

 

This article was last updated August 2026