Nicola Madden-Greig Underscores the Solid State of the Caribbean Travel Industry

Nicola Madden-Greig, President of the Caribbean Hotel and Tourism Association (CHTA), provided a detailed analysis of the state of the tourism industry in the Caribbean.

The report covers various aspects including economic contributions, tourist arrivals, performance by destination, and future projections. This article synthesizes the key points from her address, highlighting the resilience and growth of the Caribbean tourism sector post-pandemic.

The tourism industry remains a cornerstone of the Caribbean economy. In 2023, the total contribution of travel and tourism to the Caribbean's GDP was significant, with projections indicating continued growth. The industry's GDP contribution in the Caribbean was 10.3% in 2022, with forecasts suggesting it could reach 15.2% by 2032. The sector also supports a substantial number of jobs, reinforcing its importance to the regional economy.

The Caribbean tourism sector has shown remarkable recovery and growth, surpassing pre-pandemic levels. In 2023, the region experienced a 0.8% increase in tourist arrivals compared to 2019. This recovery was uneven throughout the year, with the most significant increases occurring in the latter half of the year. September and October 2023 saw particularly strong growth, indicating a robust rebound in tourist interest and confidence.

In 2023, the Dominican Republic emerged as the leading destination in the Caribbean, capturing 25% of the market share. Puerto Rico and Cuba followed with 12% and 8% respectively. The report also highlighted the performance of other destinations, noting that the Organization of Eastern Caribbean States (OECS) countries saw the largest increase in tourist arrivals at 20.4%, while the French Caribbean experienced a decline of 8.8%.

The Caribbean saw varied performance across different source markets. Notably, tourist arrivals from Canada increased by 46.1%, while arrivals from Germany decreased by 5.8%. This shift underscores the importance of North American markets for the region. Additionally, mid-tier destinations have shown significant growth, contributing to the overall success of the region.

The accommodation sector in the Caribbean also showed positive trends. Key performance metrics such as occupancy rates, Average Daily Rate (ADR), and Revenue per Available Room (RevPAR) indicated growth. For instance, occupancy rates in March 2024 were higher compared to the same period in 2023, demonstrating the sector's recovery and resilience.

Looking ahead, the Caribbean tourism industry is expected to maintain its growth trajectory. Projections for 2024 suggest continued increases in tourist arrivals, with particular emphasis on enhancing connectivity and infrastructure to support this growth. The focus will also be on sustainable tourism practices to ensure the long-term health of the industry and the environment.

The Caribbean tourism sector has demonstrated impressive resilience and growth in the wake of the COVID-19 pandemic. With strong economic contributions, increasing tourist arrivals, and positive trends in the accommodation sector, the region is well-positioned for continued success. The insights provided by Nicola Madden-Greig highlight the dynamic nature of the industry and the ongoing efforts to promote sustainable and inclusive growth across the Caribbean.