Bangladesh’s income from foreign tourists has decreased by $13 million in just one year, raising fresh concerns about the health of the tourism sector and its heavy reliance on domestic travellers. The latest report from the Asian Development Bank (ADB) paints a sobering picture of the country’s tourism industry, with spending by international visitors dipping from $453 million in 2023 to $440 million in 2024. At an average exchange rate of 122 taka per dollar, this decline equates to a loss of approximately 159 crore taka in local currency - a notable financial setback for a country aiming to position itself as a vibrant tourist destination in South Asia. A Sector in Slow Decline: The ADB report, which analyzed the economic and tourism performance of countries across the Asia-Pacific region, has highlighted that Bangladesh is currently experiencing a slowdown in international tourism, even though regional tourism as a whole is showing signs of recovery post-COVID.
The report suggests that much of Bangladesh’s current tourism activity is being fueled by domestic travellers, with international tourist arrivals and spending not meeting expectations. Stakeholders in the tourism industry have confirmed this trend, saying that the decline is closely tied to the reduction in foreign tourist arrivals.
The money that international visitors spend on accommodation, food, transport, entertainment, and souvenirs is typically recorded as a country’s income from foreign tourism. The $13 million drop, therefore, is more than just a number - it signals broader underlying issues in attracting and retaining foreign visitors.
Comparison with Regional Neighbours: The ADB report places Bangladesh alongside other South Asian nations, including India, Sri Lanka, the Maldives, Nepal, and Bhutan, providing insight into regional tourism dynamics.In comparison to its neighbors, Bangladesh lags significantly in both tourist arrivals and income. For instance:India earned $32.2 billion in 2023 from foreign tourists. That figure rose to $35.2 billion in 2024.Sri Lanka also saw a jump in earnings, from $30.69 billion in 2023 to $31.7 billion in 2024, an increase of $1.01 billion.The Maldives, which relies heavily on high-end tourism, continued to attract luxury travelers despite global economic challenges.
While these nations have been able to increase their revenues through consistent promotion, better infrastructure, and more liberal visa regimes, Bangladesh’s growth has stagnated, highlighting the need for urgent intervention.
Lack of Promotion and Policy Gaps: In response to the findings, Md. Rafeuzzaman, President of the Tour Operators Association of Bangladesh (TOAB), identified several key reasons for the decline in foreign tourism income:”The country’s tourism is not at the expected level. One of the main obstacles is the lack of electronic or online visa facilities. If these were introduced and promoted, more international travellers could be encouraged to visit Bangladesh.”
He further emphasized the lack of global promotion of tourist destinations such as the Sundarbans, Cox’s Bazar, and archaeological and religious sites. The minimal presence of Bangladesh in international travel marketing channels significantly limits its ability to attract inbound tourism.Moreover, political instability continues to act as a deterrent for foreign travellers, many of whom consider safety and stability as primary factors when choosing travel destinations.”If the ongoing political instability in the country ends,” Rafeuzzaman added, “both domestic and foreign tourist numbers will increase.”
A Growing Reliance on Domestic Tourism: The statistics reveal a trend of increasing reliance on domestic tourism. According to the Tourism Satellite Account released by the Bangladesh Bureau of Statistics (BBS) in 2020, 1.64 million tourists visited the country during the 2018-19 fiscal year. Of these, 1.35 million were non-resident Bangladeshi (NRB) tourists, making up over 80% of total arrivals, while only 290,000 were foreign nationals.
Additionally, 72% of tourists arrive in Bangladesh by air, with the rest entering via land routes - a data point that underscores the role of regional overland travellers and the relatively small number of long-haul visitors from Europe, North America, or Oceania.
The data also suggests that the foreign tourism sector is still underdeveloped compared to potential and available resources. Despite being home to one of the world’s longest sea beaches, UNESCO World Heritage sites, and rich cultural history, Bangladesh remains largely overlooked on the global tourism map.
Domestic Tourism Rising - But Is It Enough: In the aftermath of COVID-19, many countries - including Bangladesh - saw a rise in domestic travel as international travel restrictions disrupted traditional tourism flows. Mohibul Islam, Deputy Director (Marketing and Branding) of the Bangladesh Tourism Board, noted:”In the post-COVID period, a positive trend has been observed in the country’s domestic tourism as well as international tourism. The country’s income from international tourism has increased fivefold in 10 years.”
However, while domestic tourism has cushioned the overall impact of the decline in foreign tourist spending, it is not a full substitute for the economic benefits that international tourism brings. Foreign tourists tend to spend significantly more per capita, and their visits create ripple effects across multiple sectors, from hospitality and transport to crafts and cultural industries.
Regional Growth and Bangladesh’s Missed Opportunity: According to the ADB, tourism across South Asia has shown signs of strong recovery post-pandemic. In 2022, approximately 17.4 million tourists visited the region. By 2023, this number had risen to 23.3 million, suggesting renewed global interest in South Asia as a travel destination.Unfortunately, Bangladesh has not been able to capitalize on this rising tide. This missed opportunity becomes even more glaring when viewed against the backdrop of the government’s ambitions to transform tourism into a major foreign currency earner.To reverse the trend, experts say Bangladesh needs a comprehensive tourism strategy, focusing on:E-visa implementation and simplified entry processes. Robust international marketing campaigns. Infrastructure development, including roads, airports, and hospitality services. Safety assurances and political stability. Training and capacity building in the tourism workforce. Incentives for foreign tour operators and travel writers.
Bangladesh’s $13 million loss in foreign tourism income may appear small compared to the billions earned by its neighbors, but it symbolizes a larger structural problem - one that, if left unaddressed, could marginalize the country in one of the world’s fastest-growing economic sectors.
With regional tourism booming and domestic tourism reaching a saturation point, Bangladesh must now pivot decisively toward capturing international markets. Only through policy reform, aggressive marketing, and stable governance can it hope to reverse the current decline and unlock the vast potential of its tourism sector.