Tourism industry needs ‘strategic intervention’

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In this file photo foreign tourists explore New Bazaar in Skardu.—Dawn/File
In this file photo foreign tourists explore New Bazaar in Skardu.—Dawn/File

KARACHI: The Policy Advisory Board of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has said that despite Pakistan’s extraordinary natural beauty, rich cultural heritage, religious landmarks, and adventure tourism potential, the sector requires strategic intervention to fully capitalise on its global appeal to tourists.

In its report titled “Mapping Pakistan’s Tourism Potential: A Comprehensive Export Analysis, built on primary data from 213 stakeholders — including tourists, tour operators, the hospitality sector, and government representatives — underscored the strategic economic importance of the Travel and Tourism (T&T) sector.

Spending behaviours further illustrate the economic potential of attracting international visitors. Foreign tourists spend an average of $12.5 per day, with a typical four-to-five-day trip injecting between $1,500 and $1,750 into the local economy.

In contrast, domestic tourists spend an average of $8.5 per day, totalling approximately $500 per trip.

FPCCI study cites infrastructure, visa hurdles blocking foreign tourist inflows

To bridge this gap and boost foreign inflows, the study isolates critical barriers stifling industry growth as demand-side constraints which refer to inadequate road infrastructure, limited basic amenities, weak digital connectivity, and ongoing safety and security concerns.

Whereas, supply-side bottlenecks include unplanned construction, visa complexities, poor international marketing and branding, inconsistent government policies, and severe regulatory hurdles – most notably the requirement of No-Objection Certificates (NOCs) for foreign tourists.

To unlock new avenues for tourism-driven economic growth and improve Pakistan’s standing on the global Travel and Tourism Development Index (TTDI), the FPCCI board recommends the immediate implementation of targeted strategies as regulatory reforms to simplify visa procedures and ease NOC requirements for foreign visitors.

The board emphasised digital integration to introduce digital governance systems for surveillance and complaint management, and aggressively promote digital payment infrastructure across tourist hubs.

Infrastructure development stressed the need to invest in climate-resilient infrastructure and expand roadside facilities to ensure safety and convenience. Whereas, quality control mechanism is required to standardise and improve food quality, hygiene, and robust waste management systems in tourist zones.

Tourism currently contributes approximately 5.9 per cent to Pakistan’s GDP and supports 4.7 million jobs. Whereas, export earnings contribution of the sector in 2024 was $1.15 billion as tourism export earnings. Additionally, trade share of tourism exports accounted for 2.9pc of Pakistan’s total exports and 14pc of its services exports in 2024.

The policy board has mapped Pakistan’s tourism demand across eight major categories: adventure (45pc), religious (22pc), historical (11pc), business (6pc), education (6pc), sports (5pc), dark (3pc), and cruise (2pc).

The FPCCI report identifies a substantial imbalance between inbound and outbound tourism spending. While Pakistan earned $1.15bn from foreign tourists in 2024, Pakistani outbound tourists spent an estimated $2.4bn abroad.

Published in Dawn, June 25th, 2026

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