Local spending on tourism in Türkiye more than doubled in 2023, official data showed Wednesday, as domestic travel remained buoyant despite soaring inflation.
Expenditures rose by 101% compared to the previous year to nearly TL 229.8 billion (around $7.1 billion), according to the Turkish Statistical Institute (TurkStat).
Throughout the year, Turks made 61.46 million domestic trips, a rise of 17.5% from a year earlier. They lifted their overnight stays by 10.9% to just over 473 million. The average length of stay was recorded as 7.7 nights.
The strong tourism data came despite soaring costs amid stubbornly high inflation, which currently runs at nearly 70%. Inflation ended 2023 at nearly 65% on an annual basis.
Türkiye walked away from years of easing policy after last year’s presidential and parliamentary elections. It delivered aggressive tightening aimed at cooling demand to curb inflation, rebuilding reserves, and flipping chronic current account deficits to surpluses.
The central bank has raised its key one-week repo rate by 4,150 basis points from 8.5% to 50% since last June, mainly seeking to ease demand, the main driver of inflation. It sees inflation easing to around 36% by the year-end.
Locals made 11.51 million domestic trips, including one or more overnight stays, in the fourth quarter alone, TurkStat said, some 32% more than in the same period of 2022. They recorded 77.5 million overnight stays, with an average stay of 6.7 nights.
During these trips, they spent TL 45.7 billion, an increase of a whopping 140% from a year ago.
Personal expenditures accounted for 91% of overall 2023 spending. Package tours comprised 9%. The average spending per trip came in at TL 3,739.
In the fourth quarter, personal spending accounted for 93% of the overall figure, while package tours constituted 7%. The average spending stood at TL 3,974.
Food and beverage held the largest share in annual spending at 32%, rising 111% from 2022. It was followed by transportation at 26.3%, an annual increase of 72%, and accommodation at 17%, marking a 164.3% year-over-year rise.
The foreign exchange it brings makes tourism income vital to Türkiye’s economy. The government focuses on flipping the current account deficits to a surplus, prioritizing exports, production, and investments.
Foreign arrivals hit a record 49.2 million in 2023, up from 44.6 million tourists who arrived in 2022, with trips from Russia and Europe, driven by Germany, spearheading the increase.
Combined with nearly 7.5 million Turkish citizens living abroad, the number of visitors rose to 56.7 million.
Tourism income climbed to an all-time high of $54.32 billion, compared to $46.48 billion in 2022.
The government expects arrivals to reach 60 million this year before hitting 90 million in 2028. The income is envisaged to rise to $60 billion this year and $100 billion five years from now.
