Canada's Tourism Sector Booms in Q4 2025

0:00It's March 27. This is Toronto News Today, driven by AI. Canada's tourism sector showed real strength in the fourth quarter of 2025, with gross domestic product growing 1.2 percent. That outpaced the overall economy, which saw a slight contraction of 0.1 percent. Tourism made up 1.74 percent of the country's nominal gross domestic product, according to the latest report from Statistics Canada. Tourism spending rose 1.2 percent overall, fueled by gains from both international visitors and Canadians traveling domestically. International spending jumped 3.6 percent. The strongest pace in two years, while domestic outlays increased 0.5 percent. Growth came mainly from transportation, up 3.5 percent, and accommodations of 1 percent. Passing your air transport led with a 5.3 percent boost for internationals and 3.2 percent for Canadians. Food and beverage services, plus recreation and entertainment, also contributed positively.

1:02Annually, tourism gross domestic product expanded 2.2 percent, beating the economy wide gain of 1.6 percent. Jobs and tourism grew 1.3 percent for the year, holding steady at 3.33 percent of total employment. International visitors accounted for 24 percent of spending, up slightly from the prior quarter. Despite early trade tensions with the United States slowing things down, the late surge and overseas travel points to a brighter path ahead for Canada's tourism industry.