Dominican Tourism has an impact on 38 economic activities

Tourism activity in the Dominican Republic has a direct, indirect or induced impact on the growth of at least 38 economic activities, ranging from various services to public administration, defense and social security.

Services is the economic activity in which tourism generated the most added value (36.2%) until 2019, according to the study “Dominican Tourism: a decade of contributions 2009-2019”.

The research, conducted by the National Association of Tourism of the Dominican Republic (Asonahores) and Banco Popular, specifies that tourism is responsible for generating 29.3 % of the added value of the activities dedicated to the manufacture of textile and clothing products.

“The value chain begins with the construction and equipping of hotel facilities, which require energy, furniture and service to maintain swimming pools, gardens and other areas. This is followed by the hiring of personnel, which requires the purchase of uniforms and footwear,” he adds.

Similarly, tourism activity is responsible for generating 22.6% of the added value in the alcoholic and non-alcoholic beverage and food processing sector.

The document shows that in the local manufacturing industries and in transportation and storage, tourism represents 22.2% and 22% of its added value, respectively. In the case of telecommunications, 16.2 % of its GDP comes from hotel activity.

Nearly 42% of the impact of tourism on other activities is direct, that is, from employment, income and production generated by its operation; 22% is induced, from purchases and investments in other economic activities; and 36.29% is induced, generated by the consumption of employees in the chain.

In addition, tourism has an impact on meat processing and preservation (13.3 %), professional, scientific and technical activities (14.5 %), sugar processing (12.5 %), manufacture of chemical substances and products (12.1 %), real estate activities (11.4 %), other crops (10.2 %), among others.

The study states that the average daily rate, which refers to the total income received per occupied room in a specific period, in the country was US$213 in 2018, well above Argentina with US$139, the second closest competitor in this matter.

“It should be noted that this indicator is strongly influenced by the characteristic of the ‘all-inclusive’ package that predominates in its hotels,” he explains.

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