by Jen Mallia
Last updated: 9:55 AM ET, Wed July 30, 2025
The World Travel and Tourism Council (WTTC) predicts that 2025 is going to be a banner year for tourism in Canada, raking in $183 billion for the economy and supporting 1.8 million jobs.
While transborder travel between Canada and the United States continues to be “in flux” the domestic market is very strong. According to the WTTC research, in 2025, domestic visitor spending is projected to reach nearly $104 billion, more than double the year-on-year growth last year (8.3 percent).
“Canada’s Travel & Tourism sector continues to be a bright spot in the global economy. With record economic contribution, job creation, and a strong domestic base, the country is proving just how resilient and adaptable its sector can be,” says Julia Simpson, WTTC President & CEO.
“But Canada must remain vigilant. Travel patterns are shifting, and inbound growth from key markets remains delicate. This is the time to invest in smart marketing, frictionless access, and visitor experience to protect that momentum.”
Underscoring Simpson’s point is the fact that last year, 52 percent of Canadian outbound travel was to the U.S., a figure we have already seen plummet. Inbound travel (traditionally dominated by American travellers to Canada) has also slipped as Americans cross into our country in lower numbers.
Another part of the softening inbound travel, posits WTTC, is due to international travellers who would otherwise plan a trip to visit the U.S. and Canada in the same trip. However, thanks to the current political climate, some visitors have decided to avoid the U.S., meaning their Canada visits don’t happen either.
Looking to the future, WTTC sees continued growth for the Canadian tourism sector. By 2035, it projects surging domestic spending on travel, with forecasts the industry will contribute $233.5 billion to the national economy, 6.3 percent of GDP and support more than 2.1 million jobs.
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