Tourism Now Generates Over One Quarter of Greece’s GDP



A view of the village of Parga, on Greece’s Ionian coast. Source: Wikipedia

The Greek tourism industry’s direct monetary contribution to the country’s GDP came to 21.6 billion euros, or 11.7 percent, in 2018 according to data released this week by INSETE, the research department of the Greek Tourism Confederation.

This represents an increase of 13.3 percent, or 2.5 billion euros, from income generated in the year 2017. The combined direct and indirect income from tourism in Greece in 2018 amounted to between 47.4 billion and 57.1 billion euros, or 25.7 to 30.9 percent of the country’s GDP.

According to INSETE’s recent study, titled “Contribution of Tourism to the Greek Economy in 2018,” tourism employed some 411,000 people during the peak season in accommodations and catering. This translates to a direct contribution of 16.7 percent to the GDP; the combined direct and indirect profits make up between 36.7 percent and 44.2 percent of the GDP.

At the same time, of course, this also reduces unemployment, especially among young people and women.

The study also finds that 90 percent of tourism revenue comes from abroad, including cruise, aviation and sea transport receipts, which came to 18.2 billion euros, which was up by 11.3 percent or 1.8 billion euros from figures seen in 2017.

With regard to investment activity, tourism brought in a total of 5 billion euros in investment funds, 1.9 billion euros of which is domestic value added.