Tourism, one of the top four industries in Greece, generated revenue in the 2009-2016 period, contributing 52.3 billion euros – or 1/10th of the country’s 2016 tax revenues – to state coffers, according to a study published by the Greek Tourism Confederation’s (SETE) research body INSETE.
The INSETE report titled “The Contribution of the Tourism Private Sector to the Economy and Tax Revenues – The Case of Greece, 2010-2016” and released this week, found that in 2016, tax returns generated by the tourism sector accounted for 10.5 percent of total tax revenue, exceeding 8.3 percent of its direct contribution to the economy. This figure is even higher when taking into account the indirect outreach of tourism, INSETE analysts said.
According to the study, tourism generated more than 105 billion euros of gross value added (GVA) – or the value of goods and services produced – and 92 billion euros of income over the 2009-2016 period.
Furthermore, in the 2008-2016 period, direct tax revenues from tourism grew at a faster pace than the corresponding size of the whole economy – from 40.8 percent to 60.8 percent for tourism and from 36.7 percent to 48.1 percent for the economy as a whole – raising, in the meantime, concerns as to the private tourism industry’s ability to withstand international competition.
The INSETE study adds that the private sector in tourism contributes more than 8 percent of the total economy (in terms of GVA) and 11.5 percent of the private economy making it one of the most dynamic industries which unlike other sectors has been constantly growing since 2013. Of the GVA, 60 percent is generated by the accommodation industry.
In relevant news, Greece’s travel and tourism sector contributed a total of 19.7 percent to the country’s GDP in 2017, at 35 billion euros, the World Travel & Tourism Council (WTTC) said.