Pakistan’s Tourism Industry Set to Surpass $4 Billion by 2025
Pakistan’s travel and tourism sector is poised for substantial growth, with projections indicating that the industry will generate over $4 billion in revenue by 2025. This anticipated expansion reflects an annual growth rate of 6.75%, potentially reaching a market volume of $5.53 billion by 2029.
Key Factors Driving Growth
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1. Package Holidays
The ‘Package Holidays’ segment is expected to dominate the market, with revenues estimated at $1.92 billion in 2025. This growth is attributed to the convenience and cost-effectiveness of bundled travel services, which appeal to a broad range of travelers. The number of users in this segment is anticipated to reach 22.17 million by 2029, with user penetration increasing from 11.3% in 2025 to 14.6% by 2029. geo.tv
2. Digital Transformation
The tourism industry in Pakistan is undergoing a significant digital shift, with online sales projected to account for 66% of total revenue by 2029. This transformation is facilitated by the proliferation of online booking platforms and the increasing influence of social media on travel decisions. The average revenue per user (ARPU) is expected to be $150.66, reflecting a growing consumer preference for digital engagement in travel planning and purchasing. geo.tv
3. Domestic Tourism
There is a notable rise in domestic tourism, as more Pakistanis choose to explore local destinations. This trend is driven by improved infrastructure, increased disposable incomes, and a desire to support the local economy. Government initiatives to promote tourism and the development of new flight routes have also enhanced accessibility to various regions, encouraging domestic travel. bolnews.com
Economic and Social Implications
The projected growth in tourism is expected to boost Pakistan’s economy, create employment opportunities, and promote regional development. Government initiatives, infrastructure projects, and enhanced international connectivity are contributing to this positive trend.
With strategic developments and a focus on digitalization, Pakistan’s tourism industry is poised for significant expansion, positioning the country as a prominent destination in the global travel market.
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