Tourism spending in Canada drops 2.6 pct in Q1

Tourism spending in Canada dropped a further 2.6 percent in the first quarter of 2021 after a 48.8 percent year-over-year drop in 2020.

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Tourism spending in Canada dropped a further 2.6 percent in the first quarter of 2021 after a 48.8 percent year-over-year drop in 2020, according to Statistics Canada on Tuesday.

Tourism gross domestic product fell 1.3 percent and jobs attributable to tourism decrease in the first quarter of this year. The decline in tourism spending in the first quarter was due to lower spending on passenger air transport which plunged 22.9 percent. The spending on recreation and entertainment, which fell 9.7 percent, and vehicle fuel, which fell 4.5 percent, also contributed to the decline.

Meanwhile, tourism spending in Canada was 57.3 percent less than the pre-COVID-19 pandemic levels of the fourth quarter of 2019. Employment attributable to tourism declined 5.1 percent in the first quarter of 2021, following a 1.1 percent increase in the fourth quarter of 2020.

Food and beverage services lost 4.4 percent while accommodation decreased 5.4 percent and recreation and entertainment fell 9.8 percent.

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