National tourism indicators, second quarter 2016
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Second quarter 2016
Tourism spending in Canada rose 1.1% in the second quarter, following a 1.2% gain in the first quarter. Increased tourism spending by Canadians at home and by international visitors in Canada contributed to the overall growth.
This was the 13th consecutive quarterly increase in tourism spending in Canada.
Tourism spending by Canadians at home continues to rise
Tourism spending by Canadians in Canada increased 1.1% in the second quarter, more than twice the pace recorded in the previous quarter. The gain in the second quarter was the largest since the first quarter of 2014.
The increase was mainly attributable to passenger air transport (+3.0%) and, to a lesser extent, accommodation (+1.3%) and vehicle fuel (+1.0%). Tourism spending on non-tourism goods and services (+1.0%), such as groceries and clothing, was also higher.
Outlays on recreation and entertainment were down 2.8%.
Spending by international visitors increases
Spending by international visitors in Canada rose 1.0% in the second quarter, following a 4.1% gain in the first quarter. An increase in travel from abroad and a depreciation of the Canadian dollar versus its US counterpart may have contributed to growth in the first quarter.
The increase was mainly attributable to passenger air transport (+3.3%). Accommodation (+1.4%) and food and beverage services (+1.5%) also contributed to the gain. Conversely, recreation and entertainment declined 2.7%.
Outlays on vehicle fuel (-2.8%) and non-tourism goods and services (-0.3%) were also lower. The appreciation of the Canadian dollar against the US dollar and a decline in car travel from the United States may have contributed to the decreases.
Tourism gross domestic product increases
Tourism gross domestic product (GDP) grew 0.8% in the second quarter, following a 1.3% gain the previous quarter. A slowdown was recorded in most tourism industries. By comparison, national GDP declined 0.2% in the second quarter, after increasing 0.6% in the first quarter.
The increase in tourism GDP was driven by transport (+1.8%) and accommodation (+1.5%). Tourism GDP in non-tourism industries (+0.5%) also rose, while other tourism industries (-1.1%) posted a decline.
Tourism employment rose 0.7%, following a 0.2% gain the previous quarter. Air transport (+3.2%), food and beverage services (+0.8%) and accommodation (+0.4%) were the largest contributors to tourism job growth; all three tourism industries posted stronger job increases in the second quarter than in the first quarter. Tourism employment in non-tourism industries (+0.3%) was also up. Conversely, the number of tourism jobs in recreation and entertainment (-0.3%) decreased.
Note to readers
Growth rates for tourism spending and gross domestic product are expressed in real terms (that is, adjusted for price changes), at 2007 constant prices, as well as adjusted for seasonal variations, unless otherwise indicated. Employment data are also seasonally adjusted. For information on seasonal adjustment, see Seasonally adjusted data – Frequently asked questions.
Associated percentage changes are presented at quarterly rates unless otherwise noted.
The national tourism indicators are funded by Destination Canada.
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The User Guide: Canadian System of Macroeconomic Accounts (13-606-G) is also available from the Browse by key resource module of our website, under Publications. This publication will be updated to maintain its relevance.
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