An improvement in business travel can help to create jobs and raise GDP, as evidenced in Canada.
An upturn in business levels in any sector can have a positive impact on the economy of any country. However, according to a new study which uses Canada as an example, the level of business travel in a country can be one of the biggest contributing factors to strong economic performance.
A new report issued by the GBTA Foundation at GBTA Conference 2015 Toronto showed the positive impact a strong business travel sector can have on the economy of countries, highlighting the fact that it can improve the number of jobs on offer and help to increase gross domestic product (GDP).
In the Canadian-focused study, it was found that business travel was worth some $23.5 billion per year in the nation as of 2013. It said that this means business travelers are contributing some 1.5 percent of the overall GDP of Canada.
In 2013, the study showed, the number of business trips Canadian companies facilitated amounted to some 35.8 million. The industry also supports the jobs market, with some 434,000 jobs accounted for in this sector, meaning that Canadian business travel companies are spending almost $17 billion in wages.
Another crucial metric comes in the shape of taxes, with business travel firms managing to contribute more than $8.6 billion per year in taxes.
“Business travel drives business growth and these numbers show business travel matters when it comes to positively impacting the economy,” said Joseph Bates, GBTA Foundation vice president of research.
“Nothing can replace face-to-face interactions when it comes to getting business done, so it comes as no surprise the huge impact the business travel industry has on the nation’s economy.”