Tourism: A strategic lever for trade and investment

Tourism has long been considered a luxury, or a “nice to have,” but with Alberta’s visitor economy breaking records with $14.4 billion in visitor spending in 2024, tourism is demonstrating it is so much more, including a significant economic driver. 

Take Edmonton for example. With consistent promotion and investment over the years, the city was recently selected as the newest location by Scandinave Spa, which is expected to bring in $121 million in economic impact over its first 10 years. Amid ongoing economic uncertainties and shifting international trade relationships, it shows tourism is standing out more than ever as a stable and reliable driving force in Alberta’s economic landscape.

A recent study by Deloitte LLP, commissioned by Travel Alberta, goes deeper into this understanding that tourism is a powerful driver of export revenue (new money into the province) and a magnet for global investment.

Why does this matter?

Tourism strengthens local economies, creates jobs, energizes communities, celebrates all cultures, and fosters pride of place for Albertans. So why should you care?

Findings from the study make a compelling case for prioritizing tourism as a long-term strategy to diversify Alberta’s, and Canada’s, economy. A more diverse economy helps us weather political uncertainty, market fluctuations, and crises like wildfires or floods. And that’s just the economic impact.

When tourism is prioritized, the benefits communities already experience will multiply. Residents enjoy improved amenities and infrastructure, which boost quality of life. Jobs become more secure, businesses thrive year-round, and tourism’s natural pride of place makes living in Alberta even more rewarding.

What does prioritizing tourism look like?

The study evaluated countries that treat tourism as a core economic strategy. In these countries, tourism is supported by investment, policy alignment, and long-term planning. These countries are realizing substantial and sustained returns in the form of GDP, employment, and direct investment. 

Tourism contributes just 1.8% to Canada’s GDP, which is modest compared to countries that have made tourism a priority. Ireland and New Zealand each see tourism account for 4.4% of their GDP, while Australia sits at 2.9%. These examples show how focused investment can deliver stronger economic returns.

What’s the potential benefit if Alberta (and Canada) prioritized tourism?

Investment in tourism enhances the province we already know is the best to live, work, play and invest. Whether it's through investment or export revenue, tourism impacts the whole economy and with every $1 billion of visitor spending in Alberta, our GDP could grow by $1.25 billion and Canada’s could grow by $1.26 billion.

Tourism is not just an economic opportunity; it's a competitive advantage that Alberta and Canada are positioned to benefit from. By making tourism a core part of its economic strategy, billions can be generated in export revenue while attracting global investment, strengthening the economy for everyone. But there is urgency behind this: Canada is falling behind its global peers in the race for investment and jobs, and prioritizing tourism can help us catch up and lead.

For Alberta, tourism is a pathway to strengthen our home-grown industry and secure long-term economic resilience for communities across the province. By treating tourism as a core economic strategy, Alberta can seize a competitive advantage, driving growth not only of the visitor economy, but strengthening Alberta’s overall economic resilience and prosperity.

Curious about the full report? You can find it all right here.