MANILA – Big things are ahead for Philippine tourism. The Department of Tourism (DOT) announced that the sector is projected to generate a massive ₱2.7 trillion for the economy in 2025.
Tourism Undersecretary Verna Buensuceso, speaking before lawmakers during the budget hearing for the DOT’s proposed ₱3.7-billion budget for 2026, said domestic travel will continue to be the industry’s biggest driver.
She explained, “For 2025, we expect tourism to provide 6.8 million jobs and contribute ₱2.7 trillion in gross value added.”
This is a strong jump from 2024, where the tourism industry contributed ₱2.35 trillion, making up 8.9 percent of the country’s economy. Jobs in the sector also rose by 6.1 percent, with 6.75 million Filipinos employed compared to 6.37 million in 2023.
Struggles in Foreign Arrivals
While local travel is thriving, the DOT admitted that foreign arrivals fell short in 2024. The target was 7.7 million visitors, but several issues got in the way—most notably, the delay in the much-awaited e-Visa program for Chinese tourists.
Tourism Secretary Christina Frasco stressed how crucial this program could have been. “If the e-Visa had continued, we could have easily brought in 2 million more visitors. That alone would have pushed arrivals beyond the 7.7 million target,” she said.
Budget Cuts Hit Branding Efforts
Adding to the challenges, DOT’s branding budget has taken a huge cut—from ₱1.2 billion pre-pandemic to just ₱100 million in 2025.
Frasco passionately appealed to lawmakers:
“We have poured blood, sweat, and tears into this industry. But with such meager resources, it is impossible to achieve the success we envision for Philippine tourism.”
South Korean Market Still Strong, But Slowing
South Korea remains the Philippines’ top tourist market, with over 1.5 million arrivals in 2024, contributing around USD 2.3 billion to the economy.
However, Frasco admitted there has been a decline, not just in the Philippines but also across Asia. South Korea’s outbound travel numbers dipped in other popular destinations too—Singapore (-2%), Thailand (-17%), Cambodia (-7%), and Vietnam (-2%).
As of September 1, 2025, more than 880,000 South Koreans have already visited the Philippines.
