World Economic Forum's Travel & Tourism Development Index 2024

●The index is prepared in collaboration with the University of Surrey.

●The biennial index analyzed the travel and tourism sectors of 119 countries, assessing a range of factors and policies.

India ranking

●India's rank has risen to 39th place as global tourism returns to pre-pandemic levels.

●India ranked highest in South Asia and among lower-middle-income economies.

●In the 2021 index, India was ranked 54th, though changes to index parameters limit comparability with earlier years.

●India's strong Natural (6th), Cultural (9th), and Non-Leisure (9th) Resources are key drivers of travel, making it one of only three countries to score in the top 10 for all resource pillars.

●Despite a decline compared to 2019, India still scores well for travel and tourism demand sustainability, partly due to longer, more sustainable stays among inbound visitors.

●However, global inflationary trends have affected travel and tourism conditions in India, with price competitiveness declining and air transport and tourist services infrastructure yet to recover to 2019 levels.

●Consequently, India's overall TTDI (Travel and Tourism Development Index) score is 2.1 percent below its 2019 level.

World ranking

●The US topped the list.

●Following the US, the top five countries in the 2024 list are Spain, Japan, France, and Australia.

●Germany ranked 6th, followed by the UK, China, Italy, and Switzerland in the top ten.

●As per the report, India is highly price-competitive (18th) and has strong Air Transport (26th) and Ground and Port (25th) infrastructure.

A Stronger Position in the world

●High-income economies in Europe and Asia-Pacific continue to lead the index. International tourist arrivals and the travel and tourism sector's contribution to global GDP are expected to return to pre-pandemic levels this year, driven by the lifting of COVID-19 travel restrictions and strong demand.

●The Middle East had the highest recovery rates in international tourist arrivals, exceeding 2019 levels by 20 per cent, while Europe, Africa, and the Americas showed a strong recovery of around 90 per cent in 2023.

●The results highlighted that high-income economies generally have more favourable conditions for travel and tourism development, supported by good business environments, dynamic labour markets, open travel policies, strong transport and tourism infrastructure, and well-developed natural, cultural, and non-leisure attractions.

PRACTICE QUESTION

Q. Which of the following statements regarding India's ranking in the World Economic Forum's Travel & Tourism Development Index 2024 is correct?

1. India's rank has declined compared to the 2021 index, indicating a decrease in global tourism.
2. India's overall TTDI score has increased by 2.1 percent compared to its 2019 level.
3. India ranked highest in South Asia and among upper-middle-income economies.
4. Despite global inflationary trends, India's price competitiveness has improved, contributing to its rise in rank.

Choose the incorrect option:

a)1 and 2

b) 2 and 3

c) 3 and 4

d) All four

Answer: d

Explanation:

Statement 1 is incorrect:

●India's rank has actually risen to 39th place in the 2024 index from 54th in the 2021 index. Therefore, there has been an improvement in India's ranking rather than a decline.

Statement 2 is incorrect:

●Despite a decline compared to 2019, India still scores well for travel and tourism demand sustainability, partly due to longer, more sustainable stays among inbound visitors.

●However, global inflationary trends have affected travel and tourism conditions in India, with price competitiveness declining and air transport and tourist services infrastructure yet to recover to 2019 levels.

●Consequently, India's overall TTDI (Travel and Tourism Development Index) score is 2.1 percent below its 2019 level.

Statement 3 is incorrect:

●India ranked highest in South Asia and among lower-middle-income economies, not upper-middle-income economies.

Statement 4 is incorrect;

●Global inflationary trends have affected travel and tourism conditions in India, with price competitiveness declining. Therefore, India's price competitiveness has not improved despite its rise in rank.