Canada’s Travel Industry Shrank by Nearly Half in 2020
Statistics Canada says the Canadian tourism sector shrank by nearly half in 2020 as the disastrous year was capped off by a 3.3 percent decrease in the fourth quarter.
The federal agency says the tourism industry lagged the overall economy, which grew 2.3 percent in the fourth quarter and shrank 5.4 percent in 2020.
Statistics Canada says tourism jobs fell 28.7 percent in 2020, with most of the drop occurring in the second quarter.
Within the tourism sector, food and beverage services and accommodation saw the biggest declines in jobs, decreasing by 32.3 percent and 35.2 percent, respectively.
In 2020, domestic tourism’s share of total tourism spending in Canada rose to 92.7 percent from 78.4 percent in 2019, in light of restrictions on international travel.
In the fourth quarter, domestic tourism spending by Canadians declined 3.4 percent, with an 18.5 percent increase in spending on passenger air transport partially offsetting declines in spending on fuel and food and beverage services.