In a groundbreaking revelation at the World Travel & Tourism Council’s (WTTC) 24th Global Summit held in Perth, Australia, the region of Oceania is poised to witness a staggering US$112 billion boost to its Travel & Tourism sector by 2034. This surge would catapult the sector’s total economic contribution to an unprecedented US$336 billion, potentially creating 1.1 million new jobs, as highlighted in the newly released report titled “Unlocking Opportunities for Travel & Tourism Growth in Oceania.”
Key Drivers for Economic Growth
Oceania, which encompasses Australasia, Melanesia, Micronesia, and Polynesia, is uniquely positioned to become a global leader in sustainable travel, thanks to its diverse natural landscapes and cultural heritage. However, this potential can only be harnessed through targeted strategic investments in infrastructure, climate adaptation, and policy reform. According to the WTTC, four primary areas of focus are pivotal to unlocking this economic and social potential:
- Sustainable Infrastructure Development: Investing in climate-resilient tourism infrastructure to mitigate the impacts of climate change.
- Enhanced Air Connectivity: Improving regional air transport links to facilitate seamless multi-country travel.
- Streamlined Visa Processes: Simplifying visa procedures to encourage longer stays and multi-destination trips.
- Eco-Friendly Tourism Practices: Promoting sustainable tourism models that respect and uplift Indigenous communities.
If these actions are implemented, Oceania’s Travel and tourism sector will boost its economic clout and set a global benchmark for sustainable and inclusive growth.
A Pathway to Sustainability: Oceania’s Unique Opportunity
According to Julia Simpson, WTTC President & CEO, “Oceania has an unparalleled opportunity to grow its Travel & Tourism sector in a way that not only drives economic growth but sets the standard for sustainability.”
Simpson emphasized that the region’s long-term success hinges on investments in climate-resilient infrastructure and initiatives that protect and empower Indigenous communities. “By investing in climate-resilient infrastructure and supporting Indigenous communities, the region could become a global leader in eco-conscious, inclusive tourism,” she noted.
The Call for Strategic Investment and Policy Overhaul
The report advocates for a comprehensive policy package to bolster regional infrastructure, such as expanding airports and developing renewable energy sources specifically designed for tourism. It also recommends the establishment of cross-border travel corridors, which could significantly enhance intra-regional tourism by making it easier for visitors to explore multiple countries within the Oceania cluster.
VFS Global’s Role in Facilitating Growth
In a strategic partnership with WTTC, VFS Global, the world’s most extensive outsourcing and technology services specialist for governments and diplomatic missions, has been identified as a critical player in advancing the region’s tourism potential. With a strong presence in Oceania since 2008, VFS Global has become the trusted partner for 26 governments across eight regional countries.
Zubin Karkaria, Founder and Chief Executive Officer of VFS Global Group, commented on the partnership: “We are delighted and honored to collaborate with WTTC on this comprehensive report that highlights the immense potential of the Travel & Tourism industry in Oceania. Our goal is to streamline visa processes, support upskilling initiatives, and promote sustainable travel practices that ensure the long-term resilience and success of the sector.”
Building Climate-Resilient Tourism for a Greener Future
Sustainability remains at the core of Oceania’s tourism growth strategy. The report highlights the need for eco-friendly infrastructure, including renewable energy solutions for resorts, water management systems, and climate-adaptive projects that will reduce the sector’s environmental footprint and attract the burgeoning market of environmentally conscious travellers.
Simpson reiterated the importance of building a climate-resilient sector: “Sustainability is central to the region’s long-term success. By prioritizing renewable energy and protecting natural ecosystems, Oceania can create a tourism model that future-proofs its unique cultural and environmental assets.”
Indigenous-Led Tourism: A Pillar of Sustainable Growth
A notable highlight of the report is its emphasis on Indigenous-led tourism. Oceania’s rich cultural heritage and Indigenous knowledge offer unique opportunities for authentic tourism experiences that are both respectful and profitable. Indigenous communities are poised to play a pivotal role in this transition, ensuring that local cultures are preserved while benefiting directly from tourism revenue.
The WTTC report calls for increased investment in Indigenous tourism enterprises and community-led initiatives, which provide authentic experiences and serve as a vehicle for sustainable economic empowerment.
Economic Outlook for 2024 and Beyond
The short-term outlook for Oceania’s Travel & Tourism sector is equally promising. By the end of 2024, the industry is projected to grow by 16.5% above pre-pandemic levels, reaching a total contribution of US$224 billion. Employment is also expected to surpass pre-pandemic figures by 4.8%, with 2.3 million jobs supported by the industry. However, international visitor spending is forecast to remain 4% below 2019, with a full recovery not expected until 2025.
Unlocking the Region’s Potential
Oceania stands at a pivotal moment in its tourism evolution. The next decade will determine whether the region can realise its immense potential and redefine its position on the global tourism map. By embracing sustainable development and prioritizing long-term resilience, Oceania could achieve economic growth and set a new standard for sustainable tourism worldwide.
Written by: Jill Walsh
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