WEF: Global tourism has moved past global health crisis shock

The global travel and tourism industry is projected to bounce back to pre-pandemic levels this year after nearly three years of being restricted by the Covid-19 crisis. According to the Travel and Tourism Development Index published by the World Economic Forum in collaboration with the University of Surrey, countries like the US, Spain, Japan, and Australia are leading the ranks as the most desirable destinations to visit. However, it is disheartening to note that no African country made it to the top 10 list. CNBC Africa interviewed Francisco Betti, the Head of Global Industries Team at the World Economic Forum, to shed light on the index and what makes certain countries more appealing for travelers than others. Betti explained that the index assesses five key dimensions—business environment, policy and enabling conditions, infrastructure and services, resources, and sustainability—to determine a country's performance in the travel and tourism sector. Countries ranking high on the list have excelled in these areas, showcasing significant progress. While Africa did not crack the top 10, Betti highlighted that African nations have made substantial advancements in recent years, positioning themselves as emerging tourist destinations. Countries like South Africa and Mauritius have notably improved their rankings, with South Africa climbing from 65 to 55. Additionally, Tanzania and Kenya, known for their natural attractions, have been making strides in enhancing their travel offerings and policy environments. Betti emphasized the potential for African countries to leverage tourism as a catalyst for economic growth, job creation, and development, noting a considerable increase in the national GDP due to investments in the sector. The conversation also touched upon pricing trends in the industry post-pandemic. Betti acknowledged the challenges faced by the sector, including inflationary pressures and a surge in demand that has outpaced supply. This imbalance has led to increased costs, making it difficult for the industry to maintain competitiveness in terms of pricing. Overall, the outlook for the global tourism industry is optimistic, with signs pointing towards a full recovery and surpassing pre-pandemic levels. Developed economies in North America, Europe, and Asia Pacific have been leading the way, while regions like the Middle East, Africa, and Latin America are also witnessing a gradual rebound. As countries continue to invest in key areas such as infrastructure, services, and sustainability, the travel and tourism sector is expected to thrive in the coming years.