Strong tourism growth expected

Strong growth is predicted to continue in both overseas and domestic tourism markets, the latest six-year forecast predicts, with international visitor numbers expected to reach 3.2 million by 2011.

The Tourism Research Council New Zealand (TRCNZ) and the Ministry of Tourism forecast a 52.3 per cent increase in international spending to $9.6 billion (2004: $6.3b), and a 28.9 per cent domestic tourism spending increase to $9.3 billion (2004: $7.2b) from 2005 to 2011.

"The forecasts reinforce that the long term prospects for tourism remain excellent," TRCNZ chairperson Lex Henry said today.

"For our largest industry to be growing at this sustained rate has important implications for New Zealand's overall economic performance."

"The provision of reliable and credible forecasts is critical to informing tourism sector decision-making, whether deciding on staffing levels for the coming summer season or for deciding on a major upgrade of water and sewerage facilities at a tourist destination," he said.

Total expenditure is forecast to increase by 39.8 per cent to $18.9 billion in 2011.

- NZPA