Malta’s tourism is expected to continue on the upward path over the next two years, according to a study.
A 4.1 per cent increase in arrivals is forecast for this year and another 7.5 per cent in 2016.
The study, called ‘The contribution of the Tourism Industry to the Maltese Economy’, was commissioned by the Tourism Ministry and authored by economist Gordon Cordina.
Tourism has been setting new records year after year, particularly since the introduction of low-cost airlines which carry hundreds of thousands of tourists to Malta every year.
According to the study, 1.7 million tourists visited last year, pumping some €1.5 billion into the economy.
Dr Cordina said the increase in spending contributed to the creation of about 500 new jobs in the industry last year alone.
An estimated 20,500 jobs were sustained directly by tourism in 2014 and a further 7,300 jobs through supporting activities, according to his study.
“One in every seven jobs in Malta is a result of tourism expenditure and this implies that for every €10 million spent by tourists some 137 new jobs are created,” Dr Cordina said.
While tourism is a main pillar of Malta’s economy and a money spinner, the effect of the industry on Gozo is even more accentuated.
The study estimates that tourism accounts for half the size of the Gozitan economy and one in every five jobs on the sister island is related directly to the industry.
The future is looking positive for the industry, with tourism on the rise globally and the EU’s economies gaining ground.
Although the island has been hit by political developments in Libya and Russia – two important markets for Maltese tourism – the introduction of new routes particularly by the low-cost airlines are compensating for the losses.
Tourism Minister Edward Zammit Lewis said that despite the positive developments, the industry still has many challenges ahead including the need to continue to diversify the Maltese product and to attract more tourists in the low season.
He said the government was confident that this year would be another record year, as arrivals over the first few month already show a substantial increase on last year.
An important challenge, he added, was the training of human capital, essential for the island to offer a better service.