$12.5 Trillion in Travel Investment Is Coming. Here’s Where It’s Going
A new WTTC report finds travel investment will grow faster than demand through 2035, with Germany and Spain leading the spending.
Photo: Giullianna Balza / Unsplash
A new report from the World Travel & Tourism Council forecasts that $12.5 trillion will be invested in travel and tourism infrastructure across the G20 economies and Spain by 2035—an enormous build-out that will shape how destinations absorb the next decade of travel demand.
Released during ITB Berlin and produced in partnership with Oxford Economics, the report finds that infrastructure investment across these markets is expected to grow faster than travel demand through 2035. Travel demand is projected to rise by about 3.3 percent annually over the next decade, while capital investment—covering airports, accommodation supply, transport systems, and other tourism infrastructure—is forecast to increase at a 4.6 percent annual rate.
Put simply, destinations are starting to build ahead of demand rather than racing to catch up after visitor growth arrives.
Here are five key takeaways from the report:
Investment Is Outpacing Demand
Across the G20 economies and Spain, cumulative travel and tourism investment is expected to reach $12.5 trillion by 2035. That investment will span everything from airport expansion and rail connectivity to new hotel supply and tourism infrastructure designed to accommodate rising visitor volumes.
While global travel demand continues to grow steadily, the faster pace of infrastructure investment suggests many destinations are preparing capacity well in advance of projected visitor growth—particularly in mature tourism markets where infrastructure quality remains a competitive advantage.
A Short-Term Capacity Gap Is Still Emerging
Despite the strong long-term investment outlook, the report notes that travel demand has rebounded faster than infrastructure spending in the immediate post-pandemic years.
Tourism demand across the G20 and Spain returned to pre-pandemic levels by 2023, while capital investment is expected to reach full recovery around 2025. That temporary imbalance could translate into localized congestion or capacity pressure in popular destinations until new infrastructure projects begin coming online later in the decade.
Germany and Spain Are Leading the Investment Push
Two European markets stand out for the scale of their planned investment.
Germany is projected to invest approximately $543 billion in travel and tourism infrastructure between 2025 and 2035. Spain is expected to commit roughly $349 billion during the same period, with investment growth in both markets forecast to exceed growth in tourism demand.
The report categorizes both countries as “strategic modernisers,” meaning they are expanding infrastructure capacity ahead of projected demand rather than reacting to it.
Infrastructure Readiness Varies Widely Across the G20
The report also highlights significant differences in the readiness of tourism infrastructure across major economies.
Spain, the United States, and France rank among the highest performers globally in tourism infrastructure according to the World Economic Forum’s Travel & Tourism Development Index, reflecting mature airport networks, strong tourism services, and established visitor infrastructure. Emerging markets such as Brazil, Argentina, and South Africa score significantly lower, indicating a greater need for investment as visitor demand continues to expand.
Investment and Demand Should Align by the Early 2030s
“Travel & Tourism is entering a new decisive decade for infrastructure and competitiveness,” said Gloria Guevara, the president and CEO of WTTC. “Countries that align investment with future demand are strengthening their economic resilience and securing long-term growth.”
According to the report, investment growth and travel demand are expected to converge around 2033, with infrastructure spending slightly exceeding demand growth through the remainder of the forecast period.
