ECONOMIC CONTRIBUTION OF TOURISM IN GILGIT-BALTISTAN, PAKISTAN

Abstract

This study aims to assess the economic impact of tourism in Gilgit-Baltistan, Pakistan, focusing on its contribution to key economic indicators. The study uses a comprehensive research methodology and data collection techniques to examine tourism’s direct and indirect effects on the local economy. The research encompasses various tourism-related sectors, including accommodation, transportation, food and beverage, and attractions. The study employs the Tourism Satellite Account (TSA) framework and Granger Causality to find the data and causal relationship among the variables, which allows for a systematic analysis of tourism's economic impact. It investigates indicators such as gross domestic product (GDP), tourist arrivals and spending. Primary data is collected through baseline surveys, while secondary data is obtained from government reports, statistical databases, and industry and research publications. Preliminary findings reveal that tourism significantly affects the region's economy. It contributes to GDP growth by stimulating tourism, generating employment opportunities, and attracting investments. Additionally, tourism-related activities contribute to tax revenue, enhancing public infrastructure and services. Overall, this study provides valuable insights into the economic impact of tourism, offering a comprehensive analysis of its contribution to the Gilgit-Baltistan economy. The findings can guide policymakers, destination management organisations, and tourism stakeholders in formulating strategies to maximise the economic benefits of tourism while addressing associated challenges.