Singapore Expects Full Tourism Recovery by 2024

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Singapore Expects Full Tourism Recovery by 2024

Strong demand and increasing arrivals pave the way for a full rebound in Singapore’s tourism industry.

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SINGAPORE — Singapore's international arrivals in 2022 exceeded expectations, signaling a strong recovery for its tourism sector, which is projected t

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SINGAPORE — Singapore’s international arrivals in 2022 exceeded expectations, signaling a strong recovery for its tourism sector, which is projected to return to pre-pandemic levels by 2024, the Singapore Tourism Board (STB) announced on Tuesday (Jan 17).

Last year, the city-state welcomed 6.3 million visitors, surpassing STB’s forecast of four to six million, with visitor spending estimated between $13.8 billion and $14.3 billion. STB’s Director of Communications, Terence Voon, attributed these figures to the “strong pent-up demand” for travel to Singapore, despite quarantine measures being in place for the first quarter of 2022.

However, STB Chief Executive Keith Tan noted that factors like flight capacity and potential border restrictions could impact the pace of tourism recovery.

Tourism accounts for around four per cent of Singapore’s annual gross domestic product (GDP). In 2019, Singapore saw a record 19.1 million visitors and $27.7 billion in revenue from tourism.

With China recently reopening its borders, Singapore expects 12 to 14 million tourist arrivals and up to $21 billion in revenue in 2023. China was Singapore’s largest source of tourists in 2019, contributing 3.6 million visitors. However, during China’s strict travel restrictions, Indonesia, India, Malaysia, Australia, and the Philippines overtook China in visitor numbers.

Currently, Singapore operates 38 flights to China weekly, about 10 per cent of pre-pandemic levels. The Singapore Transport Minister announced in parliament that airlines have applied to increase flights between the two countries, which will be evaluated and approved progressively.

“If Singapore receives more visitors in 2023 than it did in 2022, the resurgent services sector could provide a much-needed boost to counterbalance softer domestic demand and slowing global trade,” ING said in a recent analyst report.

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