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Tourism satellite accounts in europe – 2023 edition.

Tourism plays an important role in many countries’ economies and labour markets. Tourism Satellite Accounts (TSA) is a framework developed to quantify the importance of tourism. This publication disseminates national results for a set of key TSA indicators for EU and EFTA countries, submitted on a voluntary basis to Eurostat, and is a follow-up of the publication Tourism Satellite Accounts in Europe of 2019. The publication focuses on data for the reference year 2019, but also includes an ad-hoc chapter using partial data for 2020 and giving preliminary insights on the impact of the COVID-19 pandemic on the European tourism sector.

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Additional information

  • Product code: KS-FT-22-011
  • ISBN 978-92-76-60228-6
  • ISSN 2529-3222
  • doi: 10.2785/7794
  • Themes: Industry, trade and services
  • Collection: Statistical reports

Previous editions

Tourism Satellite Accounts in Europe — 2019 edition 09‑12‑2019

Tourism Satellite Accounts in Europe 16‑02‑2017

Measuring the Economic Impact of Tourism in Malta Using the Tourism Satellite Account

Measuring the Economic Impact of Tourism in Malta Using the Tourism Satellite Account

Measuring the economic impact of tourism in Malta using the Tourism Satellite Account

Brandon Sacco 1* and Ian P. Cassar 2

Received: 16/10/2018 Accepted: 19/03/2019

1 Senior Analyst at the National Statistics Office of Malta. National Statistics Office, Valletta , Malta; email: [email protected] ; Phone +356 79459674 2 Senior Lecturer in the Economics Department of the University of Malta. email: [email protected] . * Corresponding author Coordinating editor: Stanislav Ivanov

This article puts forward an analysis of the first Tourism Satellite Account compiled for the Maltese economy. The resulting Tourism Satellite Account (TSA) compiled for Malta adheres to the European System of Accounts (2010) and is based on the reference year of 2010. It reveals that tourism’s direct contribution to Malta’s GDP is around 6.1% and that the tourism sector directly employs 8.0% of the total population of gainfully occupied persons (employed or self-employed). Both the symmetrical approach and a variant of the net ratio approach are utilised to derive the tourism value added and tourism gross domestic product. The contribution of tourism to the local economy during 2010 is on par with that of what are generally considered to be the key sectors in Malta, however, the direct contribution to GDP is significantly lower than the estimates presented from past studies. The results presented in the article can be of significant use to further understand the various dimensions of both tourism demand and the tourism supply chain.

Keywords: Tourism Satellite Account, Tourism Industry, Tourism Contribution

Citation: Sacco, B., I. P. Cassar (2019) Measuring the economic impact of tourism in Malta using the Tourism Satellite Account. European Journal of Tourism Research 23, pp. 86-111

Introduction development in tourism statistical Unlike other intermittent key industries in the infrastructure, the Maltese tourism industry Maltese economy, tourism has perpetually stakeholders and policy makers have little been considered an important beacon for the access to statistical information on the economic well-being of the country and its economic impact of tourism. The existence of prosperity for economic growth (E-Cubed, several statistical focal points on a number of 2015; Briguglio, 2002). Despite the ample tourism facets has, over the years, provided

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Sacco, B., I. P. Cassar (2019) / European Journal of Tourism Research 23, pp. 86-111 only a limited view on the actual significance of reaching significant influence on Maltese the economic aspect of tourism as an industry. internal tourism as in other EU countries and The measurement of the economic dimension consequently such tourism type may of tourism may have often been limited to sometimes be omitted from particular tourism simply the total expenditure of tourists for a trip economic impact assessments. Although the in Malta reported in surveys. Such data may majority of tourism in Malta is accounted for by provide insufficient information to discriminate inbound tourism, domestic tourism is an between national earnings and other integral part of internal tourism consumption. exogenous supply of tourism services. In The TSA exercise ensures that the notion of response to the statistical vacuum surrounding domestic tourism is accounted for as an this phenomenon, the Tourism Satellite essential element. Moreover, the concept of Accounts (TSA) framework (UNSD et al., 2008) ‘tourism volume’ may vary significantly from emerges as an ideal tool which enables one stakeholder to another, each according to tourism, in its entirety as a satellite industry, to the respective perception and main field of be compared with traditional industries as well interest. For instance, on the one hand, a group as providing a better and deeper understanding of hotels may measure tourism through the of the effective role of tourism in the Maltese utilisation of nights in collective accommodation economy. as this type of consumption would typically reflect in their respective occupancy rate and Malta features as the state with the highest earnings. Hotels operators typically have little tourism intensity in the European Union or no interest in same-day visitors arriving by a (Eurostat, 2017a), and such a social aspect is cruise ship or tourists staying at private certainly felt and acknowledged by the resident accommodation. On the other hand, the Malta population. The tangible nature of the tourism International Airport has limited interest in the phenomenon especially in a small geographical duration of a tourist’s visit but is more likely to area such as the Maltese islands makes it show interest in the head count of their arrivals prone to the amplification of its economic and departures, while an airline operator is significance, possibly due to its social impact interested in the passenger traffic on routes on the society. The number of tourism arrivals which is currently operating or viable for the is, in general, a primary cause for future. overestimating the economic dimension of tourism. Behind the millions of tourist arrivals The TSA framework provides a solution to one reported annually in tourism surveys, which of the primary challenges faced by tourism may sound extraordinary relative to the local analysts, that of measuring the tourism activity population, nights spent in Malta are an in a form which is comparable with other important indicator which allows the derivation industries using the widely-recognised Gross of tourism population – a numerical value which Domestic Product (GDP) approach. Tourism could be compared with the resident activity is, in essence, recognized as a population. Tourism population is a concept consumption kind of activity – thus used mainly for analytical purposes and is acknowledged when the consumption is linked to the intensity of tourism activity by effectuated by a specific type of consumer. neutralising the large numbers of tourism Contemporary statistical instruments such as arrivals and overnights to population the Travel item in the balance of payments equivalents. This is generally achieved by current account and the total final consumption dividing the number of overnights by the expenditure in the form of exports within the amount of days in the reference period. Such national accounts statistical framework does computation yields the average number of not provide a sufficient set of aggregates which tourists present on a particular geographical allow for an appropriate comparison with other area at any point in time during the reference economic activities or indeed the economic period. performance of tourism in other countries or regions. Moreover, the tiny geographical scale of the Maltese islands impedes domestic tourism from 87

Measuring the economic impact of tourism in Malta using the Tourism Satellite Account.

The major challenge confronting the cross- Malta (NSO, 2017) demonstrates that tourism industry comparison is mainly the concept of as an autonomous industry in national fitting a final demand ‘satellite industry’ notion accounts is not merely an abstract idea simply into a system which suits the production side used for rhetoric. Furthermore, these results approach of GDP measurement. Meantime, demonstrate that the actual direct contribution tourism may be logically looked at as a final of tourism to the Maltese economy is different demand concept and thus, its economic to what has traditionally been perceived. significance may not be sufficiently measured up to merely its direct economic effects. In turn, Several studies have been undertaken to however, such prospect exposes the inability of estimate the economic contribution of tourism tourism as an industrial sector to be compared to the Maltese economy with significantly on a level playing field with other traditional different estimates between them. Briguglio industries outlined by the European Statistical (2002), estimates that the economic Classification of Economic Activates (NACE), contribution of tourism ranges between 15 to as there is no such classification for Tourism as 20%; using a crude import content assumption. a production activity. The WTTC claims that tourism accounts for 14.2% in direct impact to GDP (WTTC, 2018) Although, a TSA may be considered as the while other studies have estimated that tourism approach closest to measuring tourism in a accounts for 30% (Hoti, S., McAleer, M., & form which is comparable with the classical Shareef, R., 2007) and 25% (Blake, 2003) of ‘production-side’ economic industries, a tourism total Maltese GDP. The inconsistency in satellite industry is still conceptually separate to declared tourism importance on the national the core national accounts and thus cannot be economy also coincided with the global tallied up with the conventional industries to challenges and varied developments in the derive the total economy GVA as it represents measurement of the economic aspect of a collection of tourism-related industries which tourism. The absence of an official position in do not belong to the tourism domain in their Malta regarding the economic contribution of entirety. This means that despite the tourism to the economy paved way for convenient bridge which the TSA provides speculation and various different between the expenditure approach and the interpretations, each based on distinct production approach to GDP, tourism as an viewpoints. The latter is particularly highlighted autonomous economic activity still has to be by Cassar et al. (2016) which puts forward a regarded as a ‘satellite industry’ as its critical assessment of the key studies which components implicitly contain various elements present empirical estimates for the contribution from conventional industries such as the of the tourism sector to the Maltese economy. accommodation and air passenger transport This variation in the results of the mentioned industries. For this reason, the Tourism Gross empirical studies further highlights the need for Value Added (TGVA), derived as a main a tourism satellite account (TSA) as a tool to aggregate from the TSA does not explicitly add undertake a holistic economic measurement of up with the rest of the industries to the total the direct impact of tourism in terms of GVA and GDP. Nonetheless, the influence of consumption, GDP and employment. This the TSA as a tool is not directly connected to study shall utilise the TSA to generate economic modelling or as an instrument for estimates for TGVA and TGDP (Tourism Gross economic impact assessment (Song, Dwyer, Li, Domestic Product) based on two common & Cao, 2012) and thus, it should be regarded approaches, as well as to undertake a brief as a statistical instrument which retrospectively assessment of the impact of tourism demand records in substantial detail the influence of on employment based on an analysis of TSA tourism on the economy in terms of direct Table 7. economic effects. As such, a TSA may be considered as a national accounts sub-system Data and Methodology or an implied extension to the core framework The TSA framework is regarded as the rather than an instrument for forecasting. The contemporary standard approach for gauging publication of the results of the first TSA for the economic influence of tourism with a 88

Sacco, B., I. P. Cassar (2019) / European Journal of Tourism Research 23, pp. 86-111 specific focus on the direct impact of tourism interpretation of ‘usual environment’ adopted by spending and its immediate effects. The metho- local statisticians. The interpretation of domes- dological design strictly adheres to the national tic tourism adopted for the Maltese islands for accounts concepts and dimensions of SNA the purpose of TSA and national tourism (2008) and ESA (2010) in the process of statistics is delimited to the Maltese residents deriving the main economic aggregates and is visiting Gozo for leisure-related purposes. The supported by a number of international ‘usual environment’ application for the Maltese organisations which include the World Tourism islands adopted for the TSA is in sync with the Organization (UNWTO), Organization for interpretation adopted by the NSO (Malta) in Economic Co-operation and Development related surveys, such as the National Tourism (OECD), and Eurostat. This framework puts Survey (NSO, 2017). This interpretation of forward the guidelines to tourism economic usual environment has been defined in this analysts in measuring every layer of tourism manner in order to avoid overestimating the consumption in a harmonised and consistent extent of domestic tourism in Malta and to be manner which is comparable both across compliant with similar interpretations of usual industries as well as across different nations. environment and domestic tourism adopted by Since the standard TSA specifically measures countries across Europe in terms of distance. the direct contribution of tourism to GDP, it In addition to the country-specific interpretation does not account for other indirect and induced of ‘usual-environment’, the classification of effects which are generated in the economy in products ‘predominately used for tourism con- response to tourism final demand. sumption’ allows different countries to specify a number of country-niche products which may The application of the TSA to the Maltese not be considered tourism-specific products in Economy other geographical locations. The country- The methodology of the TSA for the Maltese specific product considered specific to Malta economy follows the aforementioned frame- (other than the conventional ten tourism work’s guidelines for the construction of products defined in the TSA Framework) during Demand-side TSA-Tables (1 to 4), as well as 2010, is ‘English-language Education’. for the derivation of the TGVA and TGDP in table 6, including the conceptual transformation The Methods towards achieving TGVA and of package tours in TSA Table 51 . TGDP The tabulation of consumption data from Within the context of this study, both the various sources into a TSA structure com- symmetric approach and the net ratio approach parable with National Accounts is able to to TGDP are applied to the main tourism generate a spectrum of indicators related to the consumption values to obtain the main tourism tourism related industries and the flow of goods economic aggregates. This will allow a and services involved to meet tourism demand. comparison to be made between the two The derivation and analysis of both the TGVA methods being applied on the same reference and TGDP is key to understand the effective period and country. Although no ad-hoc direct contribution of Tourism to the overall surveys were carried out specifically for the economy and are amongst the most important construction of the TSA, all the essential values tourism economic instruments available in the related to TSA Tables 1, 2 and 4 were TSA. generated from a broad set of collected data available from a number of surveys carried out The data required to implement the two by various organisations contributing to a approaches used to measure the direct strong tourism statistical infrastructure at a economic contribution of tourism in Malta is number of entry/exit points to/from the Maltese gathered directly from the data within the TSA islands. tables. Several countries which maintain the calculation of TSA on a regular basis typically The consumption boundaries of domestic approach the calculation of TGVA by applying tourism are generally defined according to the symmetrical approach (Eurostat, 2009) to country-specific criteria based on the distribute the value of internal tourism 89

Measuring the economic impact of tourism in Malta using the Tourism Satellite Account. consumption among the suppliers in the particular industry requires as much domestic economy. For this reason, the sym- intermediate inputs as the overall industry, metrical approach to TGVA and TGDP will also whose output is generally dominated by a be applied in this paper to allow relative single product. The former assumption’s draw- comparisons between the TSA of Malta and back is that certain industries, despite those of other countries. This method dis- producing a particular tourist-characteristic tributes the value of derived internal tourism service in the domestic economy, may do so consumption by product generated from in- specifically to non-visitors. This means that if bound and domestic tourism consumption, for instance, the tourism ratio of a particular including domestic expenditure for outbound product is 50%, the symmetrical approach trips, across the industries of the reference assumes that 50% of any industry supplying economy according to the respective weight of the corresponding product was consumed by the particular industry in supplying the specific visitors, however, this is not always the case. product. This method is a convenient solution Examples of such services include, for in absence of accurate data by industry directly instance, sports and recreational complexes related to tourism demand on each particular which provide accommodation services to non- product supplied. The latter is understood to be visitors as a secondary activity. Moreover, from a very difficult type of data to obtain, not only a product point of view, an air carrier supplying as it requires further collection of data by air passenger transport services strictly extra- industry but also as it is very impractical for territorial, for instance, may create additional suppliers of goods and services to keep a statistical noise in the derivation of intermediate detailed account of their related consumer costs required in the supply chain. groups. This may therefore interfere with a particular The symmetrical approach to the main tourism product’s allocation of internal tourism economic aggregates generates tourism output consumption among industries and may risk shares by industry in proportion to the providing an odd picture about the origin of industry’s weight on the supply of each tourism-characteristic products being supplied. particular tourism-related product and On the other hand, the second assumption is connected products and may be summarised pivotal in determining the level of TGVA as it as follows: assumes that the production process to supply secondary activities are generated using the identical industry overall costs’ ratio, even if [1] certain products require significantly different inputs to produce and a totally different supply- chain. For instance, the value of costs incurred Where: TVAj = Tourism value added for the jth by hotels to serve a meal costing 100 euro may industry, n = Number of product categories not be the same as supplying 100 euro worth of analysed, GOij = Gross output of the ith accommodation services or 100 euro of spa commodity of the jth industry, GOj = Gross services (or any other service) within the hotel. output of the jth industry, IIj = Intermediate inputs for the jth industry and TSi = Tourism Consequently, different services supplied by share of the output of the ith commodity. the same industry are assumed to incur the same level of costs. However, the costs This approach generates industry-based TGVA structure of each service offered may vary shares using the same intermediate significantly and this may contribute to marginal consumption to output ratio of the overall errors which reflect directly in the TGVA. For industry. Consequently, it relies on two key this reason, the convenient mechanism of the assumptions; firstly, it assumes that the symmetric approach is able to produce consumption of goods and services used up by industry-based analysis vis-à-vis TGVA, visitors strictly follows the cross-industry and however may be quite inaccurate as a result of import pattern of supply and, secondly, it the implied a priori structure of the intermediate assumes that any product supplied by a inputs, especially in an economic environment 90

Sacco, B., I. P. Cassar (2019) / European Journal of Tourism Research 23, pp. 86-111 which has plenty of complex industries beverage services within hotels are more likely supplying an abundance of secondary acti- to accumulate costs similar to those vities. Despite being straightforward due to its accumulated by the restaurant industry rather symmetrical distribution, this approach to than the costs accumulated by the hotel TGVA may also be inaccurate in individual industry which are mainly involved in supplying components, especially in terms of the import accommodation services. This distinction content and taxes on products. Having the ultimately affects TGVA. For instance, in the same tourism percentage share on all the case of Malta, accommodation services incur components for an entire tourism-related fewer costs per 100 euro of services produced product may be considered as a very simplistic than food and beverage serving services. manner to model the pattern of tourism-related transactions. [2] A second methodological framework towards deriving the TGVA which is adopted by various countries around the world is that of the net Where: TVAi = Tourism value added for the ith ratio approach (TSA: RMF 2008). This commodity, GOjp= Gross output of the jth approach allows for the reduction in the level of industry for which the respective product is assumptions being employed particularly in primary, IIjp = Intermediate inputs of the jth cases where the specialisation ratios of the industry for which the respective product is main tourism industries are not close to 100% primary, TSi = Tourism share of the domestic in one particular product, or when the coverage output of the ith commodity. ratio of the main tourism products are not close to 100% by one particular industry. The net The above equation outlines the ratio approach to derive the main tourism methodological practice of using the value economic aggregates seeks to repel the added ratio at commodity level derived from the implied errors emanating as a result of the intermediate costs to output ratio of the industry second aforementioned assumption and apply for which the commodity is primary more detail vis-à-vis the composition of the (simultaneously deriving commodity-based intermediate costs for producing each particular TGVA). Using this procedure, the TGVA gene- commodity by different industries. The net ratio rated from a particular commodity is the methodology applied in this study will consist of balance between the output and the a variant to the method defined by the OECD intermediate costs required to produce it (2000). This paper attempts to derive GVA- (referring to the inputs of the main industry based ratios from the primary industry of each producing it) multiplied by the proportion of product and apply them to the value of tourism- output acquired by visitors. induced output. The allocation of intermediate consumption to the tourism share of output will While the TGVA takes a holistic approach to follow an approach synonymous to similar the levels of output and intermediate uses and assumptions adopted in the application of is considered the main aggregate which allows Input-Output Tables (IOT). Tourism charac- the tourism industry to be compared to other teristic products which are produced by more fellow industries in the economy, the TGDP than just their respective main characteristic supplements the TGVA amount with the industry (i.e. activity) are allocated an tourism share of taxes (less subsidies) on intermediate consumption value derived from products gathered by the government from the the intermediate consumption to output ratio of consumption of products by visitors. It should the respective main characteristic industry. For be noted that the degree of adherence to a instance, food and beverage services provided single TGVA methodological standard is still by hotels are not allocated an intermediate significantly low across the EU nations and consumption to output ratio derived from the therefore there is a constant need for hotel industry, but rather the compatible ratio of establishing a uniform treatment (Eurostat, the restaurant industry. This procedure is 2009). The purpose of generating TGVA results based on the assumption that food and using both the symmetrical approach and a 91

Measuring the economic impact of tourism in Malta using the Tourism Satellite Account. variant of the net ratio approach to TGVA in have been completed for the first exercise, this paper (using the above notation) is to however, the additional tables related to non- determine if such differing methodologies yield monetary indicators (Table 10), tourism considerable dissimilarities and to highlight the collective consumption (Table 9) and the main discrepancies. Ultimately, the analysis will valuable table on Tourism Gross Fixed Capital be mainly based on the symmetrical approach Formation (Table 8) will all be future to TGVA as this technique is generally supplements which will embellish the statistical favoured across EU nations (Eurostat, 2009c) picture of Tourism activity in the economy. and is able to provide a breakdown structure of TGVA by industry. The fixed methodological structure of the TSA can also be considered a limitation for the most Methodological limitations of the TSA accurate result of the TGVA and TGDP. This is It should be noted that both methods described particularly evident in TSA Tables six and are prone to inaccuracies emanating from the seven. The manner in which the internal simplicity of accounting procedures utilised for tourism expenditure is distributed symmetrically a number of tourism products which may be among the supplying industries may not reflect produced by several industries. The limitations the actual chronicle of events. On a different related to the compilation of the first tourism note, the official table related to tourism satellite account for Malta can be classified in employment (Table 7) is structured in a format three main typologies: Those related to the which records the employment in tourism data gathered; limitations associated with the industries rather than the direct employment completeness of the all the TSA tables; and generated to cater for tourism demand. The limitations based on the methodological former calculation is comparable and corres- structure of the TSA. ponds with Gross Value Added of Tourism Industries (GVATI) rather than TGVA. The TSA is based on the reconciliation Moreover, the fact that the TSA relies almost between supply and demand data. Supply exclusively on the availability of the Supply and data, despite being often challenging to collect Use Tables (SUT) limits the timeliness of data at a detailed product level (especially those being produced for analysis and creates related to tour operator services and the methodological discrepancies between the TSA composition of package tours), is often and ESA (those related to the net treatment of supported by compulsory reporting, such as package tours)2. It should be noted that some audited financial statements and tax returns. SUT components may not fully satisfy the However, demand data is often subject to non- requirements of the TSA in terms of detailed sampling errors, most notably those linked to tourism-related elements. Most prominently the respondents’ willingness to provide accurate lack of firm heterogeneity in the conventional information. In addition to the quality of data SUT for tourism industries may significantly gathered, other limitations relate to the vacuum influence the results of the TSA. The issue of in expenditure information, such as information firm heterogeneity refers to the different on the expenditure of same-day visitors economic performance of firms being bundled (SDVs). The absence of EU legislations up together and classified in the same narrow imposing mandatory SDV measurement un- industry but which may operate in a very veils a transversal data gap exposure and different environment. The production inputs Malta, just like other EU countries do not have and/or the client base may be totally different the statistical infrastructure in place to measure and in the case of tourism, some firms the expenditure of such visitor typology and this operating in a tourism-related industry may not data vacuum call for estimations based on a be catering for tourism demand at all. The limited set of indicators. issue of firm heterogeneity further manifests itself in situations where there is vast regional The second type of limitations of the first TSA disparity in tourism demand. Different firms for Malta relates to the number of tables may have a very distinct client base (for completed. The core tables (Table 1 to Table 6) instance tourism-intensive regions as opposed and the table related to employment (Table 7) to regions with low tourism intensity) and 92

Sacco, B., I. P. Cassar (2019) / European Journal of Tourism Research 23, pp. 86-111 potentially a divergent cost structure and first TSA for Malta is based on the performance pricing mechanism despite being correctly of the Maltese economy during 2010, classified in the same tourism-related represented by the economic architecture industries. outlined in the Supply, Use and Input-Output Tables (SUIOT) for the reference year of 2010 One further notes that since the TSA measures (NSO, 2016). The SUIOT is a statistical output only the direct economic effects, the usage of of national accounts which holds the highest the TSA by policy makers may to an extent be amount of integrated information about the limited (Smeral, 2006) given that the supply and use of goods and services in the measurement of the generated estimate for the entire economy. This, in turn is used to extract economic importance will implicitly omit the significant details about tourism’s substance in potentially significant indirect and induced the national economy during that year. effects on production which may be generated by the tourism sector. This TSA characteristic The first four tables of the TSA prepare the may also present a challenge to economic foundations of the internal tourism expenditure analysts trying to gauge the efficiency of the data which feed into Table 6 – which is the core direct tourism satellite industry as firms table reconciling tourism demand and tourism- operating in the tourism-related industries may related supply from various industries outlined artificially fluctuate the balance between the in TSA Table 53. The shares of tourism output direct and indirect economic effects from one in the tourism-related industries calculated in year to another depending on the degree of TSA table 6 are consequently used to derive a sub-contracting outsourced. set of direct tourism employment values in TSA Table 7. In an attempt to put forward a plausible range of the total impact of tourism activities on the For the purpose of this paper, the analysis of Maltese economy, Cassar et al. (2016) the TSA results will be mainly based on the presents a critical survey of applied empirical results of the TSA generated using the literature. The discussion put forward evaluates symmetric approach. As described in section 2, resulting estimates derived from both the the symmetrical approach to TGVA is the analysis of input-output multipliers obtained technique generally favoured across EU from the Leontief demand driven model (Miller nations and thus, any legitimate like for like and Blair, 2009), as well as from the application comparison would have to be carried out using of a computable general equilibrium models the same compilation method. applied to the Maltese economy. On the basis of the assessment put forward by Cassar et al. TSA Table 6 presents a synthesis of domestic (2016), it is suggested that the contribution of supply for each of the tourism-characteristic tourism activities to the Maltese economy products confronted by the consumption of potentially accounts for approximately 12% of visitors for each of the listed products. This total gross value added when taking account of table may be viewed as the core table of TSA both direct and indirect effects and roughly given that the ratios of tourism consumption on 17% accounting also for the induced effects on total supply of the tourism industries can be production. defined at a product level of detail. The upper part of TSA-Table 6 is supplemented with Results and discussion columns relating to the tourism share of total The results of the first TSA for Malta are production of tourism and other industries. statistically consistent with the ESA 2010 More importantly, the compilation of this TSA methodology which is used by national table implicitly generates the ‘tourism ratio on accounts to determine the GDP level of the supply’ by product and undertakes the explicit Maltese economy and other related calculations of ‘Tourism Gross Value Added’ macroeconomic indicators. This particular (TGVA) and ‘Tourism Gross Domestic Product’ national accounting framework was first (TGDP). The two latter variables are the published by the Malta National Statistics fundamental elements of the scope of this Office (NSO) during 2014 (NSO, 2014). The analysis and thus the importance of this TSA- 93

TSA Table 6, symmetric approach (at purchasers’ prices):2010 prices):2010 (at purchasers’ approach 6, symmetric Table TSA

Sacco, B., I. P. Cassar (2019) / European Journal of Tourism Research 23, pp. 86-111

(continuation) prices):2010 (at purchasers’ approach 6, symmetric Table TSA

TSA Table 6, symmetric approach (at purchasers’ prices) (at purchasers’ approach 6, symmetric Table TSA

:2010 (continuation) :2010

Sacco, B., I. P. Cassar (2019) / European Journal of Tourism Research 23, pp. 86-111 table is even more pronounced. TGVA is The intermediate consumption ratios derived as a balancing item from the tourism attributable to visitors are often the same share of output less than the tourism share of proportions derived for total output (Eurostat, intermediate consumption. 2009). It is customary for TSA compilers, especially during early compilation attempts, to As is evident in this core TSA table, tourism as distribute the consumption of a particular an industry intertwines within a multitude of product evenly across producing industries different auxiliary industries and its overall (using a pro-rata of their respective volume of income effect extends over the tourism production). In an optimal TSA scenario, characteristic industries. When the focus is different tourism shares for each particular shifted towards the value added component of product at each industry level would be the tourism industries, i.e. the value added of available – i.e. a different tourism share for all establishments for which the principal every cell; however, such detail is often too activity is related to supplying a tourism subtle to achieve. characteristic product, the GVATI reaches 958.9 million (16.6% of total economy GVA). The symmetric approach which was utilised to This aggregate is often of little importance to generate the TGVA and TGDP as presented in the scope of this analysis as the tourism- Table 1 applies a major assumption as product- related supply may be quite sizable to cater for specific internal tourism shares on supply are non-tourism demand of residents during their made equal across all industries producing a regular course of life. This supply of such particular product. Despite this general goods and services was not entirely consumed practice, some countries opt to approach a by tourists and thus, in order to accurately number of products with more integrity by identify tourism related supply, it is necessary estimating specific tourism shares by product to derive estimates of the share of tourism for each industry producing it (Eurostat, 2009). consumption from the total supply of each It should be noted that on the other hand, product category. These are referred to as applying the net-ratio approach would not tourism ratios and are calculated by dividing generate different values of output of domestic total supply of each product category by the producers but may impact the TGVA and internal tourism consumption expenditure of TGDP aggregates due to the varying levels of each corresponding product. intermediate costs among different industries. Tourism characteristic products are typically expected to bear a higher tourism ratio to total As depicted in TSA Table 6, the computations supply; some of which may be close to 100% based on the symmetric approach show that (such as accommodation, air passenger during 2010 internal tourism consumption used transport and travel agencies). This table is up 5.8% of the economy’s total supply of goods sustained by TSA Tables 4 and 5 and and services. The latter is obtained as the supplemented through the extensive detail share of internal tourism consumption from provided from the SUT. TSA Table 6 shows the total domestic supply at purchasers’ prices. import content of domestic supply which by When equating the tourism ratio to supply for nature does not form part of domestic GDP. each of the tourism consumption products Since the economic importance of a production which visitors have consumed, this time activity is typically measured by the share of focusing solely on the domestic producers, value added in the reference country, the 7.5% of the domestic output was derived to portion of GVA generated from visitors has to match the demand of visitors (tourists and be derived. The visitor-induced production of same day visitors). When compared to other tourism-related industries is derived through European countries, Malta’s proportion of the respective tourism-characteristic products, internal tourism consumption to domestic in some cases for more than one product per supply is amongst the highest – i.e. visitors industry, and the tourism direct GVA is consume a considerable chunk of goods and calculated by deducting the intermediate services supplied by domestic producers consumption (which includes the secondary (Eurostat, 2017b). import content) for every industry. 97

Figure 1. Comparison of GVA shares of different economic activities in Malta, 2010

When discounting the value of implied tourism phenomenon may contribute to marginal errors output by the proportional amount of which reflect directly in the TGVA. For instance, intermediate costs of the respective industry the value of costs incurred by hotels to serve a using the symmetric approach to TGVA, the meal costing 100 euro may not be the same as total TGVA in 2010 amounted to 331.1 million supplying 100 euro worth of accommodation euro, equivalent to 5.7% of the total GVA of services or 100 euro of spa services (or any Maltese industries. TGDP, which is achieved other service) within the hotel. This as a function of TGVA and the tourism share of shortcoming occurs predominantly in situations ‘taxes less subsidies’ over the respective totals where a sizable secondary activity is produced of the economy, amounted to 404.5 million by a tourism-related industry. In such a case, euro, equivalent to 6.1% of the total GDP of the secondary activity produced by a particular Malta during 2010. When compared with other industry has to be large enough to significantly activities of the Maltese economy, such a result affect the specialisation ratio of the respective ranks the tourism satellite industry among the industry. In the context of the TSA, the largest industries of Malta during 2010 as may specialisation ratio is a measure of the extent be observed from Figure 1 above. to which observations contained within a category are representatives of the population The main drawback of the symmetric approach of those observations as a whole. Therefore, to TGVA is that the summation of the tourism the specialisation ratio of an industry is the output values of all the products consumed by output by that industry of goods and services tourists from a particular industry are characteristic to that industry in proportion to its collectively applied an intermediate costs ratio total output (UN, 1990). As highlighted in the of the overall industry. Consequently, different previous section, this particular deficiency services supplied by the same industry are related to the symmetric approach is assumed to incur the same level of costs. significantly reduced when using the net ratio However, the costs structure of each service approach to TGVA. offered may vary significantly and this 98

Table 2.Table

TSA Table 6 using the ‘net ratio’ approach ratio’ ‘net the 6 using Table TSA

This variant of net ratio approach to TGVA, due The significantly large secondary activities to its technical structure, produces product- (food and beverage serving services) produced based TGVA values rather than industry-based by the accommodation industry renders its TGVA values. When comparing the values of specialisation ratio to be less focused and TGVA produced at product level with those specialised on providing accommodation produced at industry level by the symmetrical services only, since over 18% of the output of approach, it is clear that both methods point to the accommodation industry is in fact, services approximately the same level of TGVA. The related to bars and restaurants. This feature is most glaring discrepancies between the the primary cause for the disparity between the symmetric and the net ratio methods illustrated two approaches to TGVA. Although in the TSA in Table 1 and Table 2 respectively occur in the for Malta, the main discrepancy between the Accommodation and Food and beverage two approaches was primarily triggered by the serving services.

Table 3. TSA Table 7: Employment in the tourism industries

Sacco, B., I. P. Cassar (2019) / European Journal of Tourism Research 23, pp. 86-111 accommodation industry, such type of  Internal tourism consumption amounted to divergence may become more widespread in €1,148 million. This value represents 5.8% of situations where there are complex output the supply of goods and services in the Maltese structures in other tourism-related industries economy during 2010; which are less focused on producing their main  Tourism generated around €331.1 million of related product. added value (TGVA) or 5.7% of the total economy (excluding taxes); In addition to the core table which illustrates a  Taxes and subsidies from and for Tourism reconciliation of the supply and demand data to amounted to €73.4 million or 9.1% of total determine the value added in the economy taxes less subsidies on products; from tourism activity, TSA Table 7 provides an  The amount of TGVA plus net taxes from outline of employment related to tourism Tourism amounted to €404.5 million or 6.1% of activity. This TSA Table is calculated by having the Maltese GDP during 2010; the industry ratios from TSA Table 6 applied to  The direct import content of internal tourism the total employment of the tourism-related consumption (mainly tourism services) industries. Employment numbers are typically amounted to around €133.8 million or 12.5%; not straightforward to segment between those  The significance of Tourism vis-à-vis the involved in providing services to visitors and exports of goods and services is highlighted by those which provide services to non-residents the magnitude of receipts from inbound tourism as employees engaged in tourism industries to total Exports. Exports generated through typically provide services to all types of inbound tourism amounted to €1,033 million or customers. The design of this TSA table 17.5% of total Exports. attempts to segment the number of employees  At the same time, imports of tourism actually involved in supporting the volume of (Maltese residents on outbound tourism trips) tourism demand according to the total output amounted to €190.0 million. Thus, the net consumed by tourists in the respective industry. exports of tourism from Malta amounted to €843 million during 2010. The main observations from TSA Table 7 are  At €112.2 million, domestic spending for the numbers of employees in each industry tourism represents just 9.8% of total tourism directly related to tourism. During 2010, the consumption. The majority (65.2%) of domestic amount of employees directly employed to tourism spending consisted of domestic tourism cater specifically for tourism demand amounted expenditure for outbound trips. to 17,083 or 8.0% of the total gainfully  Being a labour intensive sector, the number occupied. of employees directly related to cater

specifically for tourism demand amounted to TSA Table 7 demonstrates that during 2010, 17,083. This value amounts to 8.0% of the total 12,571 full time equivalents were directly gainfully occupied and is disproportionally involved in providing their services to the 1.34 higher when compared to the TGDP. million tourists spending a total of 11.1 million nights in Malta4. When converting the number The results of the TSA for Malta in the context of tourist nights spent in Malta to tourist of the results of other EU countries reflect the population, by dividing the number of nights by notable characteristics of tourism in small the number of days in a calendar year, the states. The very low contribution of domestic number of tourists present in Malta along the tourism consumption to internal tourism 12 months of 2010 averaged 30,542 individuals consumption compared to the dominance of (Sacco, 2015). Consequently, this reveals that inbound tourism consumption (90.2% of during 2010, on an annual average, around 41 internal tourism consumption) reflects a typical employees were required to cater for the trait of small island states, followed by Cyprus, demand of every 100 tourists visiting Malta. a similar small island state, with a share of 84%

(UNWTO, 2010). Similarly, the very high An analysis of the first set of TSA tables for proportion of total inbound tourism expenditure Malta reveals that that during 2010: accounted for by overnight visitors (98.7%) in

Malta is among the highest of the reporting produced. The latter differs from the average of countries. (UNWTO, 2010) the Maltese economy and thus, at prima facie, the tourism sector seems, on average, to be Furthermore, an analysis of the full set of TSA relatively inefficient. When analysed at the tables highlights various issues relating to the industry level, TSA Tables 5 and 6 reveal that level of economic efficiency attributable to the the air and water transport industry is the main tourism sector. Generally, the economic impact catalyst for such a high cost to output ratio. In of a sector depends on the ability of the light of this, however, industries having domestic economy to assimilate its value relatively high inputs to the respective output added and avoid economic leaks (Singh & ratio do not automatically translate as being Wright, 2011). As a rule of thumb, tourism inefficient. This occurrence may also be the economic leakages decline by preventing result of highly specialised operations by imports from replacing domestic output of industries in developed economic structures. goods and services. Economic impacts other than those influenced directly by the final Conclusion suppliers are normally enhanced by giving The TSA has over the recent decades become priority to this sector’s income distribution a key statistical framework within the context of structure and its value added in the economy the economic measurement of tourism by encouraging a more internal use of activities which ensures comparability with resources in an efficient and holistic manner other economic industries and with the and not least by addressing the seasonality performance of tourism in other countries or issues. regions. The benefits of the TSA have thus been long recognised and used for policy Tourism is a service-oriented activity and while design in a number of countries over the past this fact substantially limits the probability of few years (Bederoff, 2005). This article direct economic leakages given that most presented an analysis of the first TSA compiled services are more likely to be provided during for the Maltese economy adhering to the ESA the trip in the target destination (except for 2010 and based on the reference year of 2010. services such as air and sea transport services as well as services provided by foreign travel The results of the TSA for Malta for 2010 agencies), the same cannot be said for the provide the first estimates of the level of direct underlying indirect economic leakages exposed tourism employment, TGVA and TGDP strictly in the tourism supply-chain. The supply-chain based on the production boundary of the of any industry is normally acknowledged by Maltese national accounts. On the basis of the the value of intermediate consumption. This first TSA for the Maltese economy which was value represents the amount of goods and constructed for the reference year of 2010 services required by the particular industry from tourism related actives account directly for 5.7 other suppliers to produce its output. During % of total TGVA, 6.1% of TGDP and 8.0% of 2010, the Maltese economy’s intermediate the total gainfully occupied. It should further be costs to output ratio was around 56%, which noted that although the results obtained means that when considering all industries in capture solely the direct effects on the the Maltese economy, 56 euro were needed for economy generated from tourism related every 100 euro of output produced. This image activities thus omitting indirect and induced evolves quite differently when the focus is effects, the estimates generated from the TSA filtered for the cluster of tourism-related are however not bound by the numerous robust industries. assumptions employed by respective methodological frameworks applied to generate Assessing TSA Table 5 (Appendix Table 8) it these indirect and induced effects. may be inferred that the intermediate costs Nonetheless, it should be noted that based on required by the tourism sector to produce the Cassar et al. (2016), these direct and induced output needed to satisfy the internal tourism effects may indeed be substantial with tourism consumption aggregate is around 66 euro for activities potentially contributing approximately every 100 euro worth of goods and services 12% of total gross value added when taking 102

Sacco, B., I. P. Cassar (2019) / European Journal of Tourism Research 23, pp. 86-111 account of both direct and indirect effects and further platform for economic forecasting of the around 17% when induced effects are also tourism industry using additional models accounted for. (Ahlert, 2008, Blake, Durbarry, Sinclair, & Sugiyarto, 2001). A key contribution of this article pertains to the fact that the results obtained from both the Nonetheless, it should be noted that the TSA symmetrical approach and the net ratio can be used as an important tool by different approach were indeed very similar in terms of stakeholders ranging from policy makers to the derived TGVA and TGDP, even though the research institutes to evaluate multiple aspects compilation mechanisms adopt a separate set of tourism activity (Cooper, 2008). The results of implicit assumptions. This implies that the of this TSA for Malta provide a suitable platform estimates produced by both methods resulted for further analysis on the adequacy of the to approximately a consistent account of the employment level in the tourism industry and economic contribution generated from tourism the quality of service provided. One kind of consumption activities. The main highlight focal point could be the diagnosis of the main drawn out from the comparison between the reasons of tourism economic leaks from the two methods is that these two approaches economy and its effect of the economic used to calculate TGVA tend to diverge efficiency of the industry. Other types of TSA essentially in cases where the main tourism- use for policy design could be applied and related industries generate substantial extended through CGE modelling techniques secondary activity output. which allows users to estimate the impact on the GDP and other main macroeconomic The TSA tables provide a suitable instrument to aggregates from, for instance, a specific policy makers for identifying activities which increase in inbound tourism demand (WTO, add trivial value to the economy despite the 2014, Meng & Siriwardana, 2017, Dwyer, large cash flows channelled from visitors 2015). through such industries. The cause for such occurrence may potentially be either due to Disclaimer: The views expressed in this paper GVA flowing to other domestic industries or are those of the authors and do not necessarily leaking out of the domestic economy. The latter reflect those of the National Statistics Office of situation, occurring in a number of industries, Malta. has to be acknowledged by policy makers as economic areas which effectively shrink the Endnotes: economic significance of tourism away from the 1 Further details related to the construction of the widely publicised tourism expenditure values. first Tourism Satellite Account (TSA) for the Despite being a valid tool for analysis and Maltese islands are illustrated by Sacco (2015). policy design, the TSA is often criticised for its 2 The legal act Regulation (EC) No 1392/2007 of most influential limitation – the lack of the European Parliament and of the Council of 13 timeliness. For this reason, one has to be November 2007 amending Council Regulation aware that the general public might not be very (EC) No 2223/96 with respect to the transmission interested in the economic performance of of national accounts stipulates that Supply and tourism of several years before, or any Use Tables (SUT) of European Nations should be disseminated not later than 3 years after the technicalities but contemporary outline reference period. The frequency of the SUT for numbers. Moreover, the concept of economic the Maltese economy has not always been efficiency in tourism-specific industries, i.e. regular and by 2017, Maltese SUTs covered derived from the country-specific SUTs and reference periods 2010 and 2011 in-line with ESA applied to the tourism-portion of output, is also 2010 framework. highlighted as a TSA limitation and an area of 3 TSA Tables 1 to 5 are presented in Appendix A. attention for further refinement, multilaterally 4 Figures include only data collected from Tourstat across countries producing TSAs. The OECD – thus excluding expenditure from cruise (2010) has recognised that TSA results are still passengers and other transport means. largely underused and in order to overcome this issue, the TSA results could be used as a 103

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Appendices Appendix Table 1. TSA Table 1: Inbound Tourism expenditure by products and visitor classes Type of Visitor

Products Tourists (overnight Excursionists (same- Total Visitors visitors) day visitors)

Computational (1.1) (1.2) (1.3) = (1.1) + (1.2) Code

A Consumption products (*) A.1 Tourism characteristic products 854 981 3 667 858 647 A.1.1 Accommodation services for visitors 231 599 X 231 599 Accommodation services for visitors (other A.1.1a than 1b) 228 081 X 228 081 Accommodation services associated w ith all A.1.1b types of vacation home ow nership 3 518 X 3 518 A.1.2 Food and beverage serving services 257 455 887 258 341 A.1.3 Railw ay passenger transport services A.1.4 Road passenger transport services 23 844 707 24 551 A.1.5 Air and w ater passenger transport services (**) 229 955 1 028 230 982 A.1.7 Transport equipment rental services 18 972 3 18 976 A.1.8 Travel agencies and other reservation services 36 151 36 151 A.1.9 Cultural services 11 901 600 12 501 A.1.10 Sports and recreational services 22 564 442 23 006 A.1.11 Language school services 22 539 22 539

A.2 Tourism Connected products 165 729 8 459 174 187 A.2.1 Wearing apparel and leather products 32 841 1 777 34 618 A.2.2 Food products 41 360 2 238 43 598 A.2.3 Beverages 24 893 1 087 25 980 A.2.4 Other goods and services 66 634 3 356 69 991

Total expenditure by inbound visitors 1 020 709 12 125 1 032 835

X does not apply (*) The value of A. Consumption products, is net of the gross service charges paid to travel agencies, tour operators and other reservation services. (**) Air passenger transport services have been merged with water passenger transport services due to confidentiality flags. Source: NSO (2016).

Sacco, B., P. Cassar (2019) / European Journal of Tourism Research 23, pp. 86-111

Appendix Table 2. TSA Table 2: Domestic tourism expenditure by products, classes of

visitors and type of trips

Source: NSO Source: (2016).

(***) Domestic tourism comprises the activities of a resident visitor within the country of reference either as part of a domestic trip or part of an outbound trip. of outbound or an part trip of domestic a part as either of reference country the within visitor of resident a activities the comprises (***)tourism Domestic

(**) Air passenger transport services have been merged with water passenger transport services due to confidentiality flags. to confidentiality due services transport passenger water with merged been have services transport (**) Air passenger

(*) The value (*)of The value

X does not apply not X does

Computational

A. Consumption A. products, Consumption

Total expenditure by domestic visitors visitors domestic by expenditure Total

Consumption (*) products

Tourism Connected products

Tourism products characteristic

Other goods and services

Food products

Wearing apparel and leather products

Sports andSports recreational services

Cultural services

Travel agencies and services other reservation

Transport equipment rental services

Air and w ater passenger transport services (**) services transport ater passenger and Air w

Road services transport passenger

Railw ay passenger transport services transport passenger ay Railw

Food and beverage serving services Food and services beverage serving

ye fvcto oeo nership vacation home of types ow

comdto evcsascae ith allAccommodation w associated services

Accommodation services for visitors (other (other visitors Accommodation for services

Accommodation services for visitors Accommodation for services

is net of the gross service charges paid to travel agencies, tour operators and other reservation services. reservation other and operators tour agencies, to travel paid charges service of gross net the is

Domestic trips

Excursionists

(2.3) = (2.3) + (2.1)

Domestic tourism expenditure (***)

Outbound trips

(2.6) = (2.6) + (2.4)

domestic trips

Visitors on Visitors

(2.7) = (2.7) + (2.1)

All types of trips of All types

(2.8) = (2.8) + (2.2)

(2.9) = (2.9) + (2.3)

Appendix Table 3. TSA Table 3: Outbound tourism expenditure by products and visitor classes

Type of Visitor

A Consumption products (*) A.1 Tourism characteristic products 130 281 130 281 A.1.1 Accommodation services for visitors 49 860 X 49 860 Accommodation services for visitors (other A.1.1a than 1b) 49 839 X 49 839 Accommodation services associated w ith all A.1.1b types of vacation home ow nership 22 X 22 A.1.2 Food and beverage serving services 50 307 50 307 A.1.3 Railw ay passenger transport services 12 460 12 460 A.1.4 Road passenger transport services 69 69 A.1.5 Air and w ater passenger transport services (**) 2 832 2 832 A.1.7 Transport equipment rental services 8 087 8 087 A.1.8 Travel agencies and other reservation services 141 141 A.1.9 Cultural services 373 373 A.1.10 Sports and recreational services 6 152 6 152

A.2 Tourism Connected products 59 755 59 755 A.2.1 Wearing apparel and leather products 1 845 1 845 A.2.2 Food products 8 962 8 962 A.2.3 Beverages 5 580 5 580 A.2.4 Other goods and services 43 369 43 369

Total expenditure by onbound visitors 190 037 190 037

Appendix Table 4. TSA Table 4: Internal tourism consumption by products

Visitors final consumption expenditure in cash Other Internal Domestic Internal tourism components Inbound tourism tourism tourism consumption in of visitors' Products expenditure consumption expenditure cash consumption

Computational (1.3) + (2.9) = (4.3) = (4.1) + (1.3) (2.9) (4.2) Code (4.1) (4.2)

A Consumption products (*) A.1 Tourism characteristic products 858,647.3 99,332.4 957,979.7 4,547.2 962,527.0 A.1.1 Accommodation services for visitors 231,599.2 6,868.7 238,467.9 4,547.2 243,015.1 Accommodation services for visitors (other A.1.1a than 1b) 228,081.1 6,868.7 234,949.8 234,949.8 Accommodation services associated w ith all A.1.1b types of vacation home ow nership 3,518.1 - 3,518.1 4,547.2 8,065.3 A.1.2 Food and beverage serving services 258,341.5 17,134.8 275,476.2 275,476.2 A.1.3 Railw ay passenger transport services - - - 0.0 A.1.4 Road passenger transport services 24,551.2 1,770.1 26,321.4 26,321.4 A.1.5 Air and w ater passenger transport services (**) 230,982.5 29,412.6 260,395.1 260,395.1 A.1.7 Transport equipment rental services 18,975.8 0.0 18,975.8 18,975.8 A.1.8 Travel agencies and other reservation services 36,151.1 44,146.3 80,297.4 80,297.4 A.1.9 Cultural services 12,500.5 0.0 12,500.5 12,500.5 A.1.10 Sports and recreational services 23,006.5 0.0 23,006.5 23,006.5 A.1.11 Language school services 22,539.0 X 22,539.0 22,539.0

A.2 Tourism Connected products 174,187.4 12,818.8 187,006.3 187,006.3 A.2.1 Wearing apparel and leather products 34,618.3 862.2 35,480.5 35,480.5 A.2.2 Food products 43,598.5 2,290.7 45,889.2 45,889.2 A.2.3 Beverages 25,980.1 371.1 26,351.2 26,351.2 A.2.4 Other goods and services 69,990.5 9,294.9 79,285.4 79,285.4

Total expenditure by domestic visitors 1,032,834.7 112,151.3 1,144,986.0 4,547.2 1,149,533.3

Appendix Table 5. TSA Table 5: Production accounts of tourism industries and other industries.

(***) Includes all other goods and services that circulate in the economy of reference. economy the in circulate that services and goods other (***) all Includes

(**) Air passenger transport has been merged with water passenger transport due to confidentiality flags. confidentiality to due transport passenger water with merged been has transport (**) Air passenger

A. Consumption products, A. Consumption

Non-specific products (***) products Non-specific

Total gross value added value gross Total

Total intermediate consumption (at purchasers' prices) purchasers' (at consumption intermediate Total

Total output (at basic prices) basic (at output Total

All other products

Other margins

Retail trade margin on goods

Language school services school Language

Air and w ater passenger transport services (**) services transport ater passenger and w Air

Food and beverage serving services Food services and serving beverage

oeo nership home ow

comdto evcsascae ith vacation all of types Accommodation w associated services

Accommodation services for visitors (other than (other 1b) visitors Accommodation for services

is net of the gross service charges paid to travel agencies, tour operators and other reservation services. reservation other and operators tour agencies, travel to paid charges service of gross net the is

Accommodation

for visitors for

for visitors (other (other visitors for

soitdwith w associated

vacation home

all types of all of types

wnership ow

services services

beverage beverage

serving serving

passenger passenger

Railw ay ay Railw

Road passenger

transport transport

Air and w ater ater and w Air

transport (**) transport

Appendix Table 5. TSA Table 5: Production accounts of tourism industries and

other industries

equipment rental

Travel agencies

reservation

recreational

Sports andSports

1,182,480.6

2,141,425.3

Other industries

11,226,688.5

6,824,294.5

2,919,515.5

4,831,809.6

6,394,878.8

(5.15) =(5.15) + (5.13)

producers (at (at producers

basic prices) prices) basic

Output of of Output

domestic domestic

13,368,113.8

7,580,616.7

2,969,627.2

5,790,754.4

7,577,359.4

Observatory logo

The Malta Tourism Strategy is a Plan in which each individual Strategy is defined by a clear Rationale, Objective, Goals and Actions to ensure that deliverables do not remain nebulous but measurable and benchmarkable.

The following is a list of Goals for each of the 22 Strategies, divided into themes.

Strategy 1. 

GOAL 1 To engage with the National Statistics Office for the regular production and publication of a Tourism Satellite Account for Malta.  

To start benchmarking Malta’s tourism economic performance with comparable international data.

To widen the dimension of Maltese tourism economic data by developing sectorial and regional management tools.

To integrate tourism economic intelligence into planning and decision making systems undertaken by the Ministry responsible for Tourism and the Malta Tourism Authority through regular reviews and discussions. ​

Strategy 2. 

GOAL 1 Positioning Gozo as a distinct international and domestic tourism destination through the creation of a specific branding, market positioning and targeted tourism development plan.  

Identifying the component characteristics of Gozo as a tourism destination so as to incorporate these components into a combined framework to ensure a holistic, unfragmented approach and avoid contradictory actions. The identification of Gozo’s USPs as a by-product of this exercise.

Formulation of a specific Tourism Development Policy for Gozo as a subset of the island’s overall Development Policy. The Tourism Development Policy will cover accommodation, other tourism facilities and attractions.

Development of a Segmentation Strategy for Gozo including market positioning, prioritized geographical market and identification of best-fitting motivational segments .

GOAL 5 Identifying and prioritising infrastructural requirements to support Gozo’s tourism development potential. This will cover aspects such as greener connectivity and transport, heritage protection, presentation and interpretation, coastal development and the elevation of the ecological and rural dimension as an integral part of the Gozo tourism experience. ​

Fully tapping Gozo’s cruise market potential in terms of its different offer from that of mainland Malta.

Formulating a Digitisation Strategy for Gozo to maximise tourism opportunities for the island’s tourism sector. 

Improving the measurement of Tourism Activity on Gozo beyond the data sets currently available through the introduction of more Gozo-specific surveys and studies aimed at capturing the entire accommodation spectrum and providing a range of quantitative, qualitative, sustainability and socioeconomic indicators.

Marketing & Segments

Strategy 3. 

GOAL 1 To undertake a stocktake of existing Motivational and Geographic tourism sources.  

To establish lifecycle stages of each of the existing motivational and geographic segments.

To differentiate between rising and declining segments and analyse reasons behind their status and propose tactics for each.

Identify new and emerging tourism sources and analyse their suitability for the destination and devise relevant development strategies for them.

Emerging & Developing Segments  

Strategy 4. 

GOAL 1 Undertake a stock-take of the current tourism impacts of each of the identified inter-related services sectors namely Health and Wellness, Culture including Arts and Entertainment, Education, Financial services, Sports, Gaming, Aviation and Film Industry amongst others. ​

Adapting the experiences of destinations similar to Malta which have successfully maximized  such inter-relationships.

Discussing Goal 1 and 2 findings with relevant stakeholders.

Devise sector specific strategies in conjunction with each set of stakeholders.  

Strategy 5. 

GOAL 1 Take stock of the full set of parameters defining domestic tourism.  

Investigating impacts of domestic tourism flows differentiated by season and destination on the local tourism industry.

Discuss the holistic picture of domestic tourism and its impacts with stakeholders with a view to devising methods on how to incentivise domestic travellers, ensure that tourism service providers follow up on the advances made during the COVID-19 pandemic and integrate the domestic market as a permanent part of their client mix.

Collaborate with local councils to create specific events/themes to attract a healthy stream of domestic tourism throughout the year.

Strategy 6. 

GOAL 1 To manage the growth and further evolution of the cruise industry in line with developing international trends to ensure that Malta remains at the forefront.  

To analyse and thoroughly understand the segmentation of the cruise industry, understand  each segment’s specific needs and requirements and select those potential segments best  matched with each other. Particular emphasis to be placed on the luxury cruise sector.

Investigate improved ways of converting cruise passengers visiting Malta and Gozo into eventual tourists.

Publicise Malta’s USPs as a sustainable destination to cruise operators to attract them to make increasing use of the destination.

Identify new opportunities to maximise returns from cruise passenger activity.  

Brand Positioning

Strategy 7.

GOAL 1 To holistically investigate air and sea connectivity opportunities in various established, new and emerging source markets and to use the information to plan Malta’s air and sea networks in a way which covers the widest possible range of tourism sources.  

To hold discussions with existing and new airlines/shipping companies with a view to rebuild and grow Malta’s connectivity in line with Goal 1.

To place emphasis on the establishment of long-lived, sustainable operations in lieu of short-term ones.

To increasingly work with air and sea service transport providers operating the cleanest, most modern and least polluting fleets.

Brand Footprint

Strategy 8.   

GOAL 1 To identify, compile and present the Brand components of the proposed Malta City Tourism Brand by emulating best practice from established, successful CITY BRANDS.

To develop the Malta City Tourism Brand in parallel with and in a complementary  manner to the existing Valletta Brand.

To promote, position and popularise the Malta City Tourism Brand with the relevant  stakeholders and target audiences by integrating it in all supply & demand side actions.

To amend research tools to start measuring the growth and development of the Malta City  Tourism Brand in the different markets and provide feedback to marketing agencies and  product development initiatives.

Strategy 9. 

GOAL 1 Analyse, research, differentiate and identify different zones on the basis of what distinguishes them from each other in terms of competitive advantage.

Research the life cycle of the different coastal localities in view of their predominance in terms of receptive capacity.

Establish a link with local food and food production traditions (both from land and from  sea) to strongly incentivise the preservation and quality production of local produce and the resulting gastronomic offer.

Apply the findings of Goals 1 to 3 to produce a Revamped Product Offering Strategy for each zone in consultation with stakeholders such as Local Councils.

Explore the creation of soft novel experiences such as low volume, single night stays in alternative land and sea settings such as disused countryside structures, obsolete military inventory, fishing vessels etc.

Actively promote the concept of oneness with nature in the case of zones where the natural/ rural experience emerges as the main brand value through the development of sensitive, low density, non-intrusive experiences.

Investigate opportunities to create sustainable luxury tourism ecosystems in low tourism  activity zones to increase tourism activity primarily in terms of value rather than volume.

Environment, Climate Change & Tourism Product

Strategy 10.  

GOAL 1 Understand Climate Change impacts on Travel and Tourism. Applying the science to Malta’s realities. Quantifying the scale and nature of the threat.

Investigate potential Climate Change impacts on Malta’s coastal amenities, infrastructure,  beaches, harbour facilities, residential and accommodation plant, historic towns, water and power production/ generation, yachting and boating facilities, aquifers, natural hazard incidence and other factors. Creating of a Climate Change Tourism Risk Index.

Apply the findings emerging from Goals 1 and 2 to form the basis of actions to be undertaken to minimise risks, affect protective/preventative measures, plan alternative strategies and  draft plans to create future market repositioning accompanied by the relevant product  development initiatives to adjust the tourist offer to the new emerging realities.

Categorise, quantify and locate which aspects of the Maltese tourism industry are most  likely to be influenced by climate change.

Source and investigate international best practice in the different fields in terms of  mitigation measures.

Follow and contribute to international fora discussing Climate Change and Travel and  ensure that the small island state perspective is given adequate recognition in discussions and decision making.

Work towards establishing Malta as a credible and effective Climate Friendly Travel  Destination through an ambitious portfolio of local and international actions.

Strategy 11.

GOAL 1 Apply international best practice in terms of starting to measure a range of sustainability indicators based on inputs and experiences from similar sized regions and territories to be able to start measuring and applying such indicators within Malta’s realities.

Apply Climate Friendly Travel indicators to encourage destination carbon neutral initiatives  covering a range of areas such as transport, tourism operations and infrastructural needs.

Convert Indicators into Decision making tools.

Engage in international fora to benchmark methodologies, results and sustainability aspirations.

Actively focus on measures aimed at furthering gender mainstreaming and empowerment  in the tourism industry as fundamental components of just, equitable societies. Tourism has  already been proven to provide pathways to empowerment, and the opportunity for tourism  to make a positive difference in this area should be maximized through the involvement of the relevant stakeholders.

Devise a Sustainable Tourism Charter involving wide stakeholder buyout and application. Such a Charter to inspire a Code of Conduct to provide direction to the manner of conducting tourism operations and activities.

Strategy 12. 

GOAL 1 Create a list of tangible Cultural/Heritage and other attractions in the Maltese Islands including their protection/preservation status.

Research existing and former intangible cultural and traditional elements particular to  zones or localities in terms of their relevance to enhance local character and diversify offer. To include contemporary culture as manifested through arts and entertainment.

Tap into the extensive local knowledge of Local Councils, Voluntary Organisations, Tourist  Guides and NGOs to compliment Goals 1 and 2 with further inputs and anecdotal evidence.

Include the Marine Dimension primarily as a distinct, additional zone relating to the territory  and secondarily in terms of its specific relevance to each specific zone and locality.

Publish, Disseminate and Publicise the outcomes of this Strategy to serve as a strong motivator for the growth of a more sustainable approach to tourism development.  

Strategy 13.   

GOAL 1 Set funding priorities for the delivery of the different deliverables in this Tourism Strategy in terms of timeframes, chronology and order of precedence and sources of funding.

Follow up on Goal 1 through the devising of Business Plans and Method Statements for each funding requirement.

Keep abreast with EU Funding opportunities and instruments in line with the quality,  digitalisation, human resource development, sustainable and climate change related thrust  emerging from this Strategy. Investigate these opportunities across a wide spectrum ranging from the National to those available to Local Councils, NGOs and commercial entities.

Strategy 14.  

GOAL 1 Create a dedicated Tourism Research and Development capability tasked primarily with  monitoring, assessing and adapting leading tourism development trends and innovations to Malta’s context.

Maintain an active participation in international fora dealing with sustainability inspired innovation.

Benchmark progress through the establishment of a Tourism Sustainable Innovation Index.

Provide information and advice to the Ministry responsible for Tourism, the Malta Tourism  Authority and other relevant Ministries and Agencies on international developments and changes to ensure that the country remains at the forefront on sustainable innovative development.

Organise regular industry events to sensitise, advise and motivate regulators and operators in terms of developments, changes and opportunities relevant to the successful delivery of this Strategy.

Tourism Accommodation

Strategy 15. 

GOAL 1 A strong drive will be made to identify illegally operating, unlicenced accommodation by applying tools used by other jurisdictions in addressing the problem and by working with online and traditional operators to eliminate the prevalence of such accommodation from their platforms. GOAL 2

In 2021, licenced private rented accommodation contributed 3 out of every 10 licenced beds  in total tourism accommodation. This figure rises to a much higher share when including unlicenced beds and owner occupied/private beds used for VFR purposes. Private rental accommodation shall be subjected to a greater level of scrutiny and regulation with a view to ensuring its fitness to and compliance with Malta’s tourism brand promise. Entry level requirements for this category of accommodation shall be raised with a view to ensuring the delivery of an improved level of product and service quality.

All applications for new or incremental tourism accommodation shall be subject to a more stringent system including design guidelines that go beyond merely satisfying a checklist of requirements.

In recognition of the current available and approved tourism accommodation bed-stock and the focus placed by this strategy on a more selective approach to the development of tourism to Malta based on the principles of higher quality delivery, sustainable development, enhanced tourist satisfaction and minimised host population impacts, there shall be a comprehensive review of the Development Guidelines for Tourism Accommodation as part of Goal 4 of Strategy 22.

Engage in discussions with the Planning Authority to review and align Development Policies  in line with the Strategic Targets.

Investigate ways of managing tourism accommodation through a lower focus on incremental  bed stock coupled with improvement and adaptation of existing accommodation in line with the destination’s carrying capacity constraints.

Quality Destination

Strategy 16.

GOAL 1 Undertake an in-depth analysis of inbound tourism flows to acquire further insights on factors influencing tourist satisfaction broken down by socio demographic, motivation, season and reasons. Build this analysis into an annual index to monitor changes.

Identify factors negatively affecting visitor satisfaction and produce Action Plan to address them.

Revisit the criteria of the current MTA Quality Assured Label so as to widen its scope through the inclusion of further elements including staff expertise, service levels, sustainable management measures, health, hygiene, housekeeping and delivery of value for money. Work with the Malta Competition and Consumer Affairs Authority for the identification of the relevant standards and certification options.

Introduce Schemes to evaluate the level of quality in the provision of services and facilities  provided and aim for Service Excellence across all Tourism Service Providers licenced by MTA.

To enhance the skills of the MTA Regulatory function and to enhance the enforcement of the standards and classification criteria governing the accommodation rating system.  Hotel star rating standards and criteria shall be prioritised.  

Introduce a Self-Assessment/Self-Improvement platform and encourage industry to  introduce procedures to keep operations in check.

Assess the current Compliance methodology and approach used by MTA and focus  on strengthening weaknesses and addressing additional areas of operation not being  adequately covered through present methodologies.

Use a combination of Customer Review feedback and Compliance reports regularly, and  introduce a system whereby compliant operations are rewarded and non-conforming ones are penalised.

Constantly follow international best practice and developments in the area of Quality  Delivery and update and adapt to local realities.

Strategy 17.

GOAL 1 Review the possibilities arising from the application of Smart Technologies to Tourism Management, Service delivery and Marketing.

Provide a snapshot of current public and private smart digitalisation processes and seek  to streamline efforts into achieving an overall Smart Tourism Technology Experience for  Improved Tourist and Resident Satisfaction.

Work towards the eventual submission by Malta as a European Capital of Smart Tourism  candidate.

Link this Strategy with other Strategies relating to Climate Friendly Travel, Sustainability  and the delivery of Quality Service.

Review developments annually in view of rapidly evolving situation.

Strategy 18. 

GOAL 1 Support the Tourism Digital Strategic Roadmap to ensure that it empowers all relevant public, private and non-profit organisations in investing and maximizing the use of such technologies.

Stimulating the provision and supply of a sufficiently skilled and empowered human  resource within the entire tourism value chain to ensure that digitalization becomes widespread in the sector.  

Support the Strategy through the provision of direction for the necessary Investment in  Technology and Data Infrastructure.

Use the structures emerging from the execution of the Tourism Strategy to encourage  stakeholders to grow organically as part of an overall plan.

Industry Human Resources

Strategy 19. 

GOAL 1 Identify needs and skills gaps and human resource shortfalls for the different categories of tourism service provision including accommodation, catering, travel services, guiding and transportation amongst others.

Survey existing tourism sector employees to build a profile of their characteristics including qualifications and/or experience, formal and informal training received, job satisfaction, mobility, remuneration and their views on tourism as a career in Malta.

Generate a profile of imported tourism labour force in terms of country of origin, training  and skills available and nature of work undertaken.

Survey a cross-section of new labour-market entrants and job seekers to evaluate their  attitude towards a career in tourism.

Carry out campaigns with the private sector to promote careers in tourism, promote  the opportunities and rewarding aspects of working in the industry.  

Promote the socioeconomic benefits of the tourism sector to the country.

Use results from Goals 1 to 4 to formulate an HR Plan for Tourism in conjunction with ITS and other relevant educational organisations and institutions.

Execute sectoral HR Plan with Stakeholders including ITS, MHRA, ACE, MUTG, FATTA, DMCD, GTA, Chamber of SMEs, Malta Chamber and Jobs Plus.

Undertake repeat waves of Studies in Goals 1-4 in 2026 and 2029 to monitor developments,  changes and emerging issues.

Conventions & Events  

Strategy 20.

GOAL 1 Engage with the relevant industry stakeholders to identify market needs, developments and opportunities to be able to identify gaps and limitations in Malta’s current offer. Bring identified stakeholders together in an ad hoc Working Group to provide further direction in the execution of this Strategy.

Investigate and understand international trends and forecasts for the sector and study their applicability for the local scene. Study the Convention and Events offer of selected competing and leading destinations within the wider context of location, infrastructural requirements, spin-offs, economic and social impacts, transport and connectivity and support services.

Produce a Master Plan for the development of this sector presenting options, development  models and relevant forecasts and feasibilities.

Governance & Implementation  

Strategy 21.   

GOAL 1 Creating a dedicated structure to manage the Tourism Strategy.

Elevating the measurement of the Strategy’s implementation to the scrutiny of a  multidisciplinary team of advisory stakeholders.  

Creating a dedicated team charged with the publication of quarterly, half-yearly and annual  reports for accountability and information purposes.

Giving Malta its own Tourism Observatory in line with developments elsewhere in Europe and the Mediterranean.

Convene an Annual National Tourism Conference bringing together the wider set of tourism  industry and related stakeholders.

Strategy 22. 

GOALS Terms of Reference for HR Development Plan Terms of Reference for Gozo Tourism Plan Terms of Reference for Geographical Market Plan Terms of Reference for Accommodation Development Plan Terms of Reference for Carbon Neutral Plan Terms of Reference for KPI Formulation Plan including SDGs Terms of Reference for Segment Development Plan Terms of Reference for Tourism Events Plan Terms of Reference for Digitalisation Plan Terms of Reference for Tourism Economic Impact Measurement Plan Terms of Reference for Connectivity Plant Terms of Reference for Product Development Plan including Key Investment Opportunities Terms of Reference for Domestic Tourism Plan Terms of Reference for Increasing Brand Footprint through the Regionalization of Territory Proposed Agenda for National Tourism Conference

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The Economic Impact of Tourism In Malta: Input-Output Modelling

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malta tourism satellite account

Manuals on Tourism Statistics and Tourism Satellite Accounts

International Recommendations for Tourism Statistics 2008 Compilation Guide (IRTS 2008 Compilation Guide)

Tourism Satellite Account: Recommended Methodological Framework 2008 (TSA: RMF 2008)

The manuals can be ordered as a printed publication from:

United Nations, Sales Section, DC2-0853, New York 10017, USA (facsimile 212-963-3489), e-mail: [email protected] or Sales Section, Palais des Nations, 1211 Geneva 10, Switzerland (facsimile 41-22-917-0027), e-mail: [email protected]

IMAGES

  1. NSO Malta

    malta tourism satellite account

  2. (PDF) Measuring the economic impact of tourism in Malta using the

    malta tourism satellite account

  3. Tourism Satellite Account (TSA)

    malta tourism satellite account

  4. Table 1 from Measuring the economic impact of tourism in Malta using

    malta tourism satellite account

  5. Free Garmin Malta Maps Satellite

    malta tourism satellite account

  6. Table 3 from Measuring the economic impact of tourism in Malta using

    malta tourism satellite account

COMMENTS

  1. ECONOMIC

    Tourism Satellite Account for Malta. Actions . Action 1. Establish a system to work hand in hand with the NSO to develop a wish list and timetable for the regular, annual publication of a Malta Tourism Satellite Account. Action 2. Set out a joint approach towards organically growing the number of published TSA tables in line with available data ...

  2. Tourism Satellite Accounts in Europe

    Tourism plays an important role in many countries' economies and labour markets. Tourism Satellite Accounts (TSA) is a framework developed to quantify the importance of tourism. This publication disseminates national results for a set of key TSA indicators for EU and EFTA countries, submitted on a voluntary basis to Eurostat, and is a follow ...

  3. PDF Understanding the Economic Contribution of Tourism in Malta

    In an attempt to construct the first Tourism Satellite Account (TSA) for the Maltese economy2, Sacco (2016) estimates a more conservative contribution of Malta's tourism industry at 5.7% of the total Gross Value Added (GVA) (or 6.1% of GDP). Furthermore, an assessment of the results obtained from studies which apply input-output modelling.

  4. PDF Tourism Satellite Accounts 2010

    This publication provides an overview of the Tourism Satellite Account (TSA) for Malta for the reference year 2010. The TSA is a multi-stage process which attempts to reconcile demand data from tourism surveys with data on the supply of goods and services generated by tourism-related industries, while staying aligned with the System of

  5. Measuring the Economic Impact of Tourism in Malta Using the Tourism

    Measuring the economic impact of tourism in Malta using the Tourism Satellite Account. variant of the net ratio approach to TGVA in have been completed for the first exercise, this paper (using the above notation) is to however, the additional tables related to non- determine if such differing methodologies yield monetary indicators (Table 10 ...

  6. Tourism Satellite Account (TSA)

    Tourism Satellite Account - The Conceptual Framework is an invaluable tool for anyone interested in the economic importance of tourism. Aiming at preparing a sound basis for the international comparison of the economic impacts of tourism, this publication describes in a comprehensive and flexible manner the set of recommendations f...

  7. (PDF) Measuring the economic impact of tourism in Malta using the

    The resulting Tourism Satellite Account (TSA) compiled for Malta adheres to the European System of Accounts (2010) and is based on the reference year of 2010. It r eveals that

  8. PDF Understanding the Economic Contribution of Tourism in Malta: A

    1 orF the latest main tourism indicators refer to Appendix ableT 1. 2 WTTC is a forum for travel and tourism industry made up from the global business community and works with governments to raise awareness about the importance of tourism. 3 The ouTrism Satellite Account for the Maltese economy was constructed by Sacco (2016) for the

  9. GOALS

    Tourism Satellite Account for Malta. GOAL 2. To start benchmarking Malta's tourism economic performance with comparable international data. GOAL 3. To widen the dimension of Maltese tourism economic data by developing sectorial and regional management tools. GOAL 4. To integrate tourism economic intelligence into planning and decision making ...

  10. Understanding the Economic Contribution of Tourism in Malta: A

    The Tourism Satellite Account (TSA) is a method for estimation of the role of tourism in the economy based on the collection and processing of large numbers of statistic data.

  11. (PDF) Measuring the economic impact of tourism in Malta using the

    Similarly, the very high An analysis of the first set of TSA tables for proportion of total inbound tourism expenditure Malta reveals that that during 2010: accounted for by overnight visitors (98.7%) in 101 Measuring the economic impact of tourism in Malta using the Tourism Satellite Account. Malta is among the highest of the reporting produced.

  12. PDF Tourism Satellite Account: Recommended Methodological Framework 2008

    The Tourism Satellite Account: Recommended Methodological Framework 2008 is the result of considerable efforts dating back to the late 1970s. Since the end of the 1970s, France has been using the term "satellite accounts" as a way of designating those statistical practices in specific horizontal areas related to

  13. [PDF] Measuring the economic impact of tourism in Malta using the

    This article puts forward an analysis of the first Tourism Satellite Account compiled for the Maltese economy. The resulting Tourism Satellite Account (TSA) compiled for Malta adheres to the European System of Accounts (2010) and is based on the reference year of 2010. It reveals that tourism's direct contribution to Malta's GDP is around 6.1% and that the tourism sector directly employs 8 ...

  14. Tourism Satellite Accounts: Data for Business and Policy Development

    Developing a Web-based regional tourism satellite account (TSA) information system. An innovative Web-based TSA information system that integrates all functions of the entire TSA compilation process chain, covering data input, data storage and management, TSA table compilation, statistical analysis and other extended applications is introduced.

  15. Tourism Satellite Account (TSA)

    Tourism Satellite Account (TSA) - The Conceptual Framework. Author: WTO. Published: 1999 Pages: 140. eISBN: 978-92-844-0317-2. Abstract: Aiming at preparing a sound basis for the international comparison of the economic impacts of tourism, this publication describes in a comprehensive and flexible manner the set of recommendations for countries ...

  16. (PDF) The Economic Impact of Tourism in Malta

    The resulting Tourism Satellite Account (TSA) compiled for Malta adheres to the European System of Accounts (2010) and is based on the reference year of 2010. It reveals that tourism's direct contribution to Malta's GDP is around 6.1% and that the tourism sector directly employs 8.0% of the total population of gainfully occupied persons ...

  17. (PDF) The Tourism Satellite Account

    The resulting Tourism Satellite Account (TSA) compiled for Malta adheres to the European System of Accounts (2010) and is based on the reference year of 2010. ... Tourism Satellite Account Tables Required for Estimating Macroeconomic Aggregates The reader should note that in the SNA, 1993 structure, an ''economic activity'' may be ...

  18. The Economic Impact of Tourism In Malta: Input-Output Modelling

    The resulting Tourism Satellite Account (TSA) compiled for Malta adheres to the European System of Accounts (2010) and is based on the reference year of 2010. It reveals that tourism's direct contribution to Malta's GDP is around 6.1% and that the tourism sector directly employs 8.0% of the total population of gainfully occupied persons ...

  19. Manuals on Tourism Statistics and Tourism Satellite Accounts

    Manuals on Tourism Statistics and Tourism Satellite Accounts (updated 30 June 2016) International Recommendations for Tourism Statistics 2008 (IRTS 2008) Arabic (4.72 MB) ... Tourism Satellite Account: Recommended Methodological Framework 2008 (TSA: RMF 2008) Arabic (0.99 MB) Chinese (2.05 MB) English (836 KB) French (1. ...

  20. Tourism Satellite Account: Recommended Methodological Framework

    Presents recommendations for the design of the tourism satellite account that was established by an inter-secretariat working group that included the United Nations Statistics Division, with the participation of the Statistical Office of the European Communities, the Organisation for Economic Co-operation and Development and the World Tourism Organisation.

  21. Tourism Satellite Account: Recommended Methodological Framework

    Tourism Satellite Account: Recommended Methodological Framework. Author: United Nations. Published: 2001 Pages: 136. eISBN: 978-92-844-0437-7. Abstract: Aiming at preparing a sound basis for the international assessment of the economic impact of tourism, the World Tourism Organization prepared in collaboration with the Statistical Office of the ...

  22. Tourism Satellite Account: Recommended Methodological Framework

    ISBN: 9789264193635. OECD Code: 782001011E1. The Tourism Satellite Account (TSA) is a standard statistical framework and the main tool for the economic measurement of tourism. It has been developped by the World Tourism Organization (UNWTO), the Organisation for Economic Co-opération and Development (OECD), the Statistical Office of the ...

  23. Tourism Satellite Accounts

    The Tourism Satellite Account is the instrument that measures the generation of tourism economic data (such as the direct contribution of Tourism to GDP) that is comparable with other economic statistics. It does this by contrasting data from the demand-side (the acquisition of goods and services by visitors while on a tourism trip) with data ...

  24. PDF Session 12: Compilation of Tourism Satellite Account

    Table 1: Inbound tourism expenditure by products and classes of visitors. Table 2: Domestic tourism expenditure by products, classes of visitors and types of trips. Table 3: Outbound tourism expenditure by products and classes of visitors. Table 5: Production accounts of tourism industries and other industries (at basic prices) Table 6: Table ...