
Philippines Challenges Low Tourism ROI Claims
The Philippine Department of Tourism has refuted claims that the country has the lowest tourism returns on investment in Southeast Asia, disputing a report by a local journalist.
The Philippine Department of Tourism (DOT) has pushed back against a policy report asserting that the country boasts the lowest tourism returns on investment in Southeast Asia.
In a statement issued on Monday, September 8, the DOT criticized local journalist Eric Jurado for his report, terming it flawed, misleading, and damaging to the nation’s global image.
The report published by local outlets Esquire Philippines and BusinessMirror employs a speculative metric named Return on Tourism Impact, which lacks recognition from prominent global tourism organizations like UN Tourism, the World Travel & Tourism Council (WTTC), and the World Economic Forum (WEF).
Gross Misrepresentation
Moreover, the DOT condemned the article for inaccurately portraying the performance of the Philippine tourism sector, which jeopardizes the livelihoods of many individuals associated with the industry.
The DOT stated, “To malign this sector with baseless rankings is not just inaccurate: it is harmful. It is imperative that we correct the misrepresentation because it sends the wrong signal to investors, partners, and travelers at a time when the Philippines is competing fiercely in Southeast Asia for market share.”
According to the Philippine Statistics Authority’s (PSA) Tourism Satellite Accounts, the tourism sector contributed PHP 2.35 trillion in direct gross value in 2024, marking an increase of approximately 11.2% from the previous year and accounting for 8.9% of the nation’s gross domestic product (GDP).
The DOT emphasized that the tourism sector generated $12.25 billion in international visitor receipts and $67.54 billion in total tourism spending, supporting 6.75 million direct jobs and providing indirect job opportunities for up to 16 million citizens.
The PSA also reported that tourism-related investments reached around $10.32 billion last year.
The DOT concluded, “Tourism is therefore a high-yield engine of jobs, livelihoods, and national growth [and] not the laggard the report portrays.”
A Bone of Contention
A significant point raised was Jurado’s methodology, which compared a cumulative multi-year investment figure of $23 billion with a single-year tourism revenue estimate of $13 billion. The DOT also called out Jurado’s neglect of the country’s earnings from domestic tourism, which alone yielded $54.24 billion in 2024.
This omission misrepresented the DOT’s actual returns for 2024, significantly skewing the ROI calculation.
In its closing remarks, the department stated: “Tourism is a force for good, a source of pride, hope, and livelihood for our people. Attempts to erase these achievements with fabricated or distorted numbers affect the millions of Filipinos whose lives depend on this industry. The Filipino people deserve better.”