The Effects of Terrorism on the Travel and Tourism Industry


International travel and tourism is a significant contributor to economic growth and development, with worldwide growth in international tourist arrivals outpacing national income growth one out of every two years over the past 30 years. The growth continues, one billion tourists have travelled the world in 2012, marking a new record for the international tourism sector that accounts for one in every 12 jobs and 30% of the world’s services exports (WTO, 2013). Receipts from international tourism in destinations around the world grew by 4% in 2012 reaching US$ 1,075 billion. This growth is equal to a 4% increase in international tourist arrivals over the previous year which reached 1,035 million in 2012. An additional US$ 219 billion was recorded in receipts from international passenger transport, bringing total exports generated by international tourism in 2012 to US$ 1.3 trillion (WTO, 2013). For many developing countries, travel and tourism serves as the primary export industry. However, in terms of overall trade dollars, it is industrialized countries that are some of the largest beneficiaries of inbound international travel. The major threats to the industry are socio–economic problems which in most cases lead to an increase in the crime rates but, the threat of terrorism remains on an even higher alert. Anecdotal evidence suggests that tourists and visitors are at great risk of being victims of violent,