economic impact of tourism in vigan city

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Vigan City stays walkable despite influx of tourists

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ILOCOS SUR, Philippines – When Vigan City in Ilocos Sur made it to the UNESCO World Heritage List in 1999 , it was dubbed the “best-preserved example of a planned Spanish colonial town in Asia.”

Only, this planned town established in the 16th century did not expect motorized vehicles to ply its streets one day. The narrow roads are just right for pedestrians, and for calesas  – a mode of transportation introduced in the Philippines by Spanish colonizers.

Fast forward to 2016, and much of the historic district is still dominated by the horse-drawn carriages.

In fact, in this part of the country, calesas  – not jeepneys – are the king of the road. They can pass through one famous street that is off-limits to all other motorized vehicles: Calle Crisologo.

Walkable city

In 2014, Vigan was recognized by the national government as one of the 5 most walkable and bikeable cities in the Philippines , and the first in the country to completely pedestrianize one street , Calle Crisologo.

For years, the street has been open only to pedestrians and  calesas . City tourism officer Edgar dela Cruz said the pedestrianization helps in conserving and preserving Vigan’s heritage.

“ We want to preserve the houses, the structures within the area, because that’s the very center of our heritage. The houses will be destroyed because of these vibrations from motorized vehicles ,” Dela Cruz said in a mix of English and Filipino.

Save for residents of Calle Crisologo who can park their vehicles at night, no other motorized vehicle can enter the famous cobblestone street.

Keeping it this way ensures the street is also safe for tourists , according to Mayor Eva Marie Singson Medina.

“There are other streets where the houses are as beautiful as those in Crisologo Street, but [tourists] all converge in Crisologo Street, so [the pedestrianization is to make it] a walkable street…. It’s because it’s where people converge, and we don’t [want] to have accidents, so to lessen the accidents, we close it to vehicular traffic,” she explained.

Tourism boomed in 2015 after Vigan was named one of the New7Wonders cities in late 2014 . Data from the city tourism office shows a total of 752,074 guests arrived in 2015 – an almost 30% increase from the 580,381 guests in 2014.

Source: Vigan City Tourism Office

Motorized vehicles are also prohibited from entering the streets surrounding Plaza Burgos during weekends and local festivals, such as Viva Vigan and Semana Santa.

The streets parallel to Calle Crisologo – Plaridel Street and V Delos Reyes Street – could also be pedestrianized “sooner or later,” said Dela Cruz. Medina noted, however, that closing too many streets to motorized vehicles can worsen traffic in the city.

What is sure, for now, is that the city already has a pending resolution with the Department of Public Works and Highways to also introduce cobblestone along V Delos Reyes, where many hotels are located.

Since its inauguration as a New7Wonders city , Vigan has hardly had any down time as a tourist destination. Dela Cruz jokingly said that they used to have a peak season and an off-season, but now they have a peak season and a “super” peak season.

But one sector is not complaining at all with the influx of tourists: the calesa drivers.

Calesa: King of the road

Fernando Amano is one of the 139 registered calesa drivers in Vigan. He heads the Kalesa Association, which serves both locals and tourists in the city every day.

These drivers know the ins and outs of the historic city, and can bring you and 2 to 3 other friends around in a calesa ride for just P150 per hour. Amano said a calesa ride is still the best way to tour Vigan, despite the city’s walking tour, or other transport options, such as tricycles and bicycles.

“ Ang Vigan kasi, dito mo makikita mga lumang bahay. Combination [ang] kalesa at lumang bahay, so maganda talaga…. Pagsakay mo pa lang, historical na eh. Dito pa lang enjoy ka na ,” Amano explained.

(You can see old houses in Vigan. Calesas and old houses, that’s a combination, so it looks great. Just riding a calesa is historical in itself, and something you’d enjoy.)

Before the New7Wonders title, some calesa drivers would even fight with each other over who gets the passengers first.

Now, there’s not enough calesas to cater to the tourists flocking to the city. Amano said during really busy days, passengers – not calesas – do the waiting.

To help the calesa drivers, one project of the city government is to provide them extra horses.

“ Actually ang talagang mas problema namin is napapagod ‘yung kabayo…. Eh ang kutsero naman wala namang hirap, nakaupo lang naman siya, so hindi lang siya makapagpasada din ng matagal beyond 8 hours siguro kasi naaawa din sila sa [kabayo]. Pero [mas maganda] kung may ka-alternate ‘yung kabayo nila ,” Medina said.

(Our problem really is that horses get tired…. It’s not as hard for the calesa driver, who is seated, but he can’t drive beyond 8 hours because they pity the horses. But it’s better if there are alternate horses.)

Another project is giving poor calesa drivers their own horse-drawn carriages so they can bring home their daily earnings instead of giving part of it as boundary to a calesa owner.

Environment-friendly

Dela Cruz said preserving the country’s old mode of transportation is not only good for the city’s heritage, but also for the environment.

“ Ang kalesa, dapat mapanatili ‘yan kasi ‘yan nagpapakita sa atin ng ating nakaraan. May mga aral tayong mapupulot diyan. And aside from that, healthy nga, kasi ‘pag kalesa sinasakyan mo, wala kang maaamoy na usok, ” he added.

(We have to keep the calesa because it shows us our history. We can learn a lot from it. And aside from that, it’s health, because if you ride a calesa, you won’t inhale smoke.)

Keeping Vigan free from air pollution is crucial if it intends to stay as a walkable city.

City environment officer Teddy Boy Corpuz said that, as of the last sampling by the Department of Environment and Natural Resources, Vigan’s air quality is still safe and of fair standard.

One effort of the city government to keep it this way is the conversion of thousands of tricycles from 2-stroke to 4-stroke engines.

“It made Vigan a more liveable city because there’s no pollution, plus it’s also good for the health of the people, and also the drivers themselves,” Medina said in a mix of English and Filipino. 

The city has also stopped granting new tricycle franchise, since there are more than enough tricycles already in the city, in addition to many more from other municipalities that enter Vigan on a daily basis.

Traffic in Vigan

Despite its many efforts toward sustainable transportation, Vigan still faces the same problem as other developing cities: traffic.

While it’s nothing compared to the horrors of EDSA traffic, the volume of cars in Vigan can cause heavy traffic, especially during rush hours and along the city’s main thoroughfares, like Quezon Avenue.

But unlike other cities, Vigan cannot just expand its narrow roads to ease traffic. What it did is to manage its traffic well by implementing one-way traffic in at least 10 streets, from 7 am to 7 pm.

In certain roads like Quezon Avenue, tricycle drivers cannot just pick up passengers anywhere they like, because it can cause traffic congestion. Medina said they can unload passengers, but they can only pick up in their terminals.

Milgaros Alquiza, who heads the city’s public safety and disaster risk reduction and management office, said you cannot preserve the beauty of Vigan as a historic city if you don’t manage the traffic well and keep it safe for pedestrians.

“ Papaano pupunta ‘yung investors and tourists sa ‘yo kung ganung kagulo sa kalsada ?” she asked. (How will investors and tourists go to Vigan if the streets are chaotic?)

To further ease traffic, the city government has agreed to lease land to a private developer who will put up multi-level parking buildings for private vehicles, as well as buses and jeepneys from other municipalities. This way, less roads will be used as parking spaces.

The building for private vehicles can cater to tourists staying in hotels with no parking areas, said Medina. For day visitors, they can park their vehicles there and go around Vigan either by walking, or by riding bicycles, tricycles, and calesas.

Medina vowed parking rates will be reasonable, and any increase will have to go through the city council as a safeguard for clients.

‘Heritage conservation first’

Vigan knows its identity well – a heritage city that thrives on tourism and offers a throwback for anyone who wants to know what the Philippines was like in the past. 

The city government considers sustainable transportation an important part of Vigan’s heritage conservation and preservation.  But with the city gaining much popularity worldwide, concerns are slowly catching up.

“Our conservation program today [is] our tool for development, so nothing comes before that,” Medina explained, when asked how they come to terms with the challenges of urban development. 

She added: “That was one of our main problems before, to change the mindset of the people, so it was difficult to tell them that Vigan is unique. That’s why people come to Vigan, right? Because of its rich culture, its rich history.”

“Now you take that out, and who will come to Vigan? So because of our conservation efforts, tourists are coming. Now [people are] earning from it.”

Medina’s personal wish is to see an electric tram in Vigan that can accommodate more tourists and move them easily from one place to another. 

She said the city council has put in place an investment incentives code that gives tax breaks to pioneering endeavors, but whether an electric tram will eventually ply Calle Crisologo remains to be seen.

Vigan also has a very comprehensive transportation and traffic code, which lists down every effort to smoothen the flow of traffic within the city’s protected zone. Still, implementation is key.

At the end of the day, w hat the city government of Vigan wants is to make sure locals feel safe in the city they live in, and tourists make the most out of their short stay. – Rappler.com

The research for this case study was supported by the Friedrich Naumann Foundation for Freedom.    

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Preserving Cultural Heritage through Good Environmental Management in Vigan City, Ilocos Sur

This is a case study of the heritage city of Vigan, Ilocos Sur and how its local governments and community stakeholders applied good environmental governance, community spirit and sense of cultural identity in order to preserve its centuries old city streets.

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Calle Crisologo, the main street in the Historic Town of Vigan, Philippines

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Climate change threatens heritage sites around PH, says UN official

OLD COUNTRY A visit to Vigan City gives visitors a peek into how Filipinos lived during the Spanish period through mansions and historic buildings on Calle Crisologo, the center of the heritage district, and in other areas around the Ilocos Sur provincial capital. —EV ESPIRITU

CLARK FREEPORT—The historic city of Vigan in Ilocos Sur province, the rice terraces in the Cordillera region and Puerto Princesa Subterranean River National Park in Palawan province, are suffering the effects of climate change and human activities, and require better protection, according to a top heritage official.

Eric Zerrudo, vice chair of the United Nations Educational, Scientific and Cultural Organization (Unesco) Philippine cultural committee, said the degradation and risks observed in Ilocos Sur, Cordillera and Palawan required  local governments, communities and tourists to take more action and protect these destinations  listed as Unesco World Heritage Sites.

Zerrudo, also the Philippine representative to the World Heritage Committee and director of the University of Santo Tomas’ Graduate School Center for Conservation of Cultural Property and the Environment in the Tropics, spoke during a Pampanga tourism forum here.

In Vigan, he said, the city government, which has been tasked as Unesco site manager, has put up concrete breakers along the coast to protect the 16th-century Spanish colonial town from flooding due to rising sea levels.

Thousands of tourists come year-round especially to Crisologo Street, causing shortage of parking areas and rooms while increasing the volume of trash.

As more Vigan lands are bought for resorts and inns, the sources of soil used for making local bricks and tiles have diminished, Zerrudo said.

Craftsmen have adapted by mixing inorganic waste in those products. “Authenticity requires costs and energy. We have to be meaningful in the present,” Zerrudo said.

Idle terraces

In the centuries-old rice terraces in Ifugao province, landslides have occurred but some terraces are repaired by farmers using native stone-walling techniques, he said.

Several terraces, however, are idle because young farmers opt to do other jobs instead of cultivating rice farms.

Commercial shops, subdivisions and extreme sports destinations have risen in four Ifugao towns that are gateways to the rice terraces.

In 2016, the Ifugao provincial government, designated Unesco site manager, stopped the construction of a parking building in Banaue town due to complaints that it would block the view of the rice terraces, Zerrudo said.

He said the UN Food and Agriculture Organization had  declared the rice terraces as a Globally Important Agricultural Heritage System.

At Puerto Princesa Subterranean River National Park, Zerrudo said the local monkey population had displayed stress over changes in temperature and the presence of as many as 1,500 tourists. Crocodiles there have been moving to wetter ponds.

The park, which features a limestone karst landscape with an underground river, “is a very vulnerable site,” Zerrudo said.

Need for ethics protocol

For tourists visiting these heritage sites, Zerrudo said their “posture should be conservation.”

“Some ethical protocols need to be drafted,” he said.

The Department of Environment and Natural Resources, for instance, has been training its forest rangers on how best to protect the natural environment of World Heritage sites.

The three sites have yet to make it to the List of World Heritage in Danger.

According to Unesco, the danger list is “designed to inform the international community of conditions that threaten the very characteristics for which a property was inscribed on the World Heritage List, and to encourage corrective action.”

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“Inscribing a site on the List of World Heritage in Danger allows the World Heritage Committee to allocate immediate assistance from the World Heritage Fund to the endangered property,” Unesco said.

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City Information: (077) 722-8771 – 75 local 206 City Tourism: (077) 722-8771 – 75 local 104 [email protected]

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People, Places, Ideas, and More

Vigan city history, geography, economy, festival, officials.

Vigan City is the capital of Ilocos Sur Province in Region 1.

Profile of Vigan City (Geography) Classification: Component City, 4th Income Class Location –> Mid-section of the northwestern coast of Luzon Island within the province of Ilocos Sur (See map below) Neighboring Towns –> (Clockwise from the north) Bantay, Santa, Caoayan, Santa Catalina Distance from Manila –> 407 km Area –> 25.1 km2 Population –> 53,879 (2015 Census) Terrain –> Rolling hills Industries –> Agriculture, Major Products –> Rice, Vegetables, Poultry, Woven clothes, Ceramics, processed meat (Longganisa) People/Language –> Ilocano, Tagalog, English Number of Barangays –> 39 Revenue (2016) –> 389,645,888.59

City Officials Go here to see the elected government officials of Vigan City.

Major Infrastructure Mindoro Airport

Vigan City History

Vigan City has a rich history. It was founded on June 13, 1572 after the Spaniards led by Don Juan de Salcedo explored the area, making it the oldest town in the north of the Philippines. The colonizers found small settlements which were already having trade relations with other nations such as the Chinese and the Malay Kingdoms. He named the place “Villa Fernandina de Vigan” in honor of King Philip II’s son, Prince Ferdinand, who died at the age of four.

Vigan was made the seat of the diocese of Nueva Segovia on September 7, 1758, having been transferred from Lal-lo, Cagayan . The diocese was elevated to archdiocese on June 29, 1951.

On January 22, 2001, Vigan became a chartered city by virtue of Republic Act no. 8988. On December 7, 2014, Vigan was named as one of the New7Wonders Cities.

Economy of Vigan

The city of Vigan is the trading hub of the province but agriculture is still the mainstay of the local economy. Main farm products include rice, tobacco, rootcrops, vegetables, livestock and poultry. Fishing is an important source of income especially in the coastal area. Fishponds are also sources of fish supply for the city. Vigan is well-known for its jars called Burnay. It has a long tradition of making bricks called Damili. These materials were used to build the colonial houses and churches not only in the city but also in the region. Another popular cottage industry is the Abel-weaving from which fine fabrics are produced.

With much help from the government, tourism is now playing an increasing role in the economy of the city.

Go here to see the tourist spots of Vigan City . RELATED: Profile of Ilocos Sur Province See also: List of Philippine Cities by Region and Province

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These are the top 10 countries for travel and tourism

The US retains its prime position in the World Economic Forum's latest Travel & Tourism Development Index. Image:  Unsplash/EveLazco

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• Pent-up demand after the pandemic is expected to drive passenger numbers back up to pre-pandemic levels in 2024.
• The recovery of the travel and tourism sector since the pandemic has been uneven, however, and some nations are better placed than others to respond to the challenges and opportunities of the future.
• The top three best-placed countries for travel and tourism are the US, Spain and Japan, according to the World Economic Forum’s Travel & Tourism Development Index.

If you were desperate to get away after the restrictions and enforced staying at home of the pandemic years, you were far from alone.

Global international tourist arrivals are expected to meet pre-pandemic levels in 2024 driven by this pent-up demand. But, the recovery of the travel and tourism sector since the pandemic has not been without challenges. Add to that macroeconomic, geopolitical and environmental factors, which have added pressures on the industry.

These pressures will amplify and evolve over the coming years and, along with the growth of digital technologies and AI, may well force the travel industry to adapt.

Some economies are better placed than others to make these changes, respond to future risks and ensure that travel and tourism is a driver of economic growth and prosperity.

With this in mind, the World Economic Forum’s Travel & Tourism Development Index (TTDI) aims to serve as a benchmark for stakeholders to gauge progress, inform decisions and policies, and encourage sustainable and resilient growth.

A mixed recovery in challenging conditions

Europe dominates the top 10 economies for T&T, as ranked by the 2023 index, although the top spot is clinched by the US.

But the index also shows that while 71 of the 119 economies it ranks improved their scores between 2019 and 2023, the average improvement is just 0.7% above pre-pandemic levels.

On the one hand, the rebound in travel and tourism has coincided with rising global air route capacity and connectivity, improved international openness, and increased investment in natural and cultural resources driving tourism. On the other hand, non-leisure demand is still lagging, there are ongoing labour shortages, and air route capacity and connectivity, capital investment and productivity have struggled to keep pace with demand.

This has created a supply and demand imbalance which, along with inflationary pressures, has led to reduced price competitiveness and service disruptions.

Europe and Asia-Pacific have the most favourable conditions

Of the top 30 TTDI scorers in 2023, 26 are high-income countries. Nineteen of them are based in Europe, and seven in Asia Pacific.

These countries benefit from favourable business environments and labour markets, open travel policies, advanced technology adoption, excellent transport and tourism infrastructure, and rich natural, cultural and non-leisure attractions.

As a result, this group of 30 accounted for more than three-quarters of T&T industry GDP in 2022, and 70% of GDP growth between 2020 and 2022.

But although this group is leading the way, many of the above-average improvements in scores come from low- to upper-middle-income countries, including sub-Saharan and North Africa, Eurasia, South America, South Asia, and the Balkans and Eastern Europe.

While many have shown improvements, these less affluent countries still make up the vast majority of below-average scorers in the index. More investment is needed to help increase their share of the market and improve their readiness for future risks and opportunities.

Progress needed on resilience and equality

The ability of the travel and tourism sector to grow is limited by challenges like tight labour markets, growing fiscal constraints and concerns around health and security conditions. Labour market resilience will be an increasingly important factor for the sector, but issues like equality of job opportunities, workers’ rights and social protection are holding many economies – particularly low- and middle-income ones – back in this area.

As other sectors proceed to decarbonize, the aviation sector could account for a much higher share of global greenhouse gas emissions by mid-century than its 2%-3% share today.

Sustainable aviation fuels (SAF) can reduce the life-cycle carbon footprint of aviation fuel by up to 80%, but they currently make up less than 0.1% of total aviation fuel consumption. Enabling a shift from fossil fuels to SAFs will require a significant increase in production, which is a costly investment.

The Forum’s Clean Skies for Tomorrow (CST) Coalition is a global initiative driving the transition to sustainable aviation fuels as part of the aviation industry’s ambitious efforts to achieve carbon-neutral flying.

The coalition brings together government leaders, climate experts and CEOs from aviation, energy, finance and other sectors who agree on the urgent need to help the aviation industry reach net-zero carbon emissions by 2050.

The coalition aims to advance the commercial scale of viable production of sustainable low-carbon aviation fuels (bio and synthetic) for broad adoption in the industry by 2030. Initiatives include a mechanism for aggregating demand for carbon-neutral flying, a co-investment vehicle and geographically specific value-chain industry blueprints.

Learn more about the Clean Skies for Tomorrow Coalition's impact and contact us to find out how you can get involved.

Another major hurdle for the sector is balancing growth with sustainability. Although there has been broad progress in areas like energy sustainability, some progress – like the fall in emissions seen during the pandemic – is likely to only be temporary.

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The views expressed in this article are those of the author alone and not the World Economic Forum.

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A sector too big to be ignored

Tourism is a dynamic and multifaceted industry that plays a significant role in the economic development of many countries. Its effects on the economy are profound and diverse, influencing various sectors and generating substantial revenue.

Tourism in Pakistan has enormous potential to boost economic growth, generate jobs, and encourage cultural interchange. The country’s rich history, various landscapes, and dynamic cultures make it a popular tourist destination.  However, to fully enjoy its economic benefits, Pakistan’s tourism sector must confront some problems. Tourism is a significant source of revenue for many countries. According to the World Tourist Organization, worldwide tourist earnings totaled $1.7 trillion in 2019.

Pakistan may establish itself as a top vacation destination by highlighting its natural beauty, rich history, and cultural variety. To create a resilient and prosperous tourist business, the public, corporate, and local communities must work together in a cooperative manner

This infusion of funds benefits national economies, especially in countries that rely significantly on tourism. Pakistan’s GDP is considerably boosted by tourism. The sector earns a significant amount from the sale of lodging, food, travel, and entertainment. Spending by local and foreign tourists is a significant source of revenue.

According to a 2019 World Travel and Tourism Council (WTTC) study, 2.9 percent of Pakistan’s GDP came from tourism. The tourism industry is a major employer in Pakistan, including  opportunities in hotels, restaurants, travel agencies, and tour  operations. Employment prospects in tourism can help alleviate poverty and improve living conditions, particularly in rural and underdeveloped regions with tourist attractions. Jobs in the tourism industry have the potential to lower poverty and raise standards of life, especially in rural and underdeveloped areas that are popular tourist destinations.

For example, the natural beauty of places like Gilgit-Baltistan and Swat has led to an increase in local employment because of tourism. Work in the tourism industry may be found in a variety of sectors, including agriculture and handicrafts, which provide goods and services to travellers, as well as direct work in hotels and travel agencies.

In 2017 Travel & Tourism directly supported 1,493,000 jobs (2.5 percent of total employment). This is expected to rise by 2.8 percent in 2018 and rise by 2.7 percent annually to 2,008,000 jobs (2.6 percent of total employment) in 2028. Travel & Tourism investment in 2017 was Rs 410. 4 billion, 9.1 percent of total investment ($3,893.4 million). The necessity to promote tourism drives investments in infrastructure such as roads, airports, and public amenities.

These enhancements help both visitors and local residents. Improved infrastructure can stimulate further economic activity and attract other types of investment. CPEC is a massive infrastructure development project connecting Pakistan to China’s western Kashgar and Xingjiang Provinces via Gwadar. The CPEC route would connect the entire region with modern roads and transit, increasing the number of tourists in the area.

There have been few studies on tourist development in Pakistan, particularly within the context of the CPEC. Thus, the current study will look at the relationship between CPEC road and transportation developments and local support for tourist growth in Pakistan. For instance, the development of the Islamabad Rawalpindi Metrobus Service offers locals a dependable mode of transit in addition to making travel for visitors easier. Tourism promotes Pakistan’s diverse cultural assets and historical places, hence boosting preservation efforts. Events and festivals that attract tourists also assist to preserve and celebrate local customs and crafts. Tourism promotes Pakistan’s diverse cultural assets and historical places, hence boosting preservation efforts.

The surge of tourists to areas like Mohenjo-Daro, Taxila, and Lahore Fort highlights the need of preserving these sites. Tourism revenue may be reinvested in conservation programs, ensuring that these treasures are preserved for centuries to come. Tourist-attracting events and festivals contribute to the preservation and celebration of local traditions and crafts.  For example, the yearly Shandur Polo Festival attracts foreign tourists while simultaneously revitalizing local culture and customs. This cultural exchange promotes a better knowledge and appreciation for Pakistan’s rich history.

Travelers from other countries have traditionally refrained from visiting Pakistan due to security concerns. Tourist arrivals are still impacted by perceptions of risk, notwithstanding recent major improvements in security. Things like the 2008 Islamabad Marriott Hotel attack and other occurrences have left a poor perception that hasn’t gone away.

The global image of Pakistan as a safe place is critical for increasing tourism. The government has made steps to bolster security at major tourist attractions and general law and order. Positive media coverage and endorsements from travel bloggers and influencers who have visited Pakistan also assist to dispel negative stereotypes. While there have been advances, poor infrastructure in

many locations continues to impede tourism growth. Poor road conditions, limited public transportation alternatives, and inadequate facilities might discourage tourists from visiting the country’s attractions.

For example, while areas like as Skardu and Hunza are famed for their breathtaking beauty, the difficult trek to these locations might dissuade many potential tourists. Continued infrastructural investment is required to support the tourism industry’s growth. Creating dependable transit networks, assuring the availability of excellent lodging, and enhancing basic amenities may all considerably improve the visitor experience. Public-private partnerships can be useful in funding and carrying out these initiatives.

An error correction model (ECM) was applied to yearly time series data from 1972 to 2013. Tourism is assessed by the number of international tourists that visit the country. According to the findings, terrorist incidents have had a negative influence on tourism, but infrastructure and GDP per capita had a favourable impact. It is possible to infer that regardless of the government’s attempts to enhance foreign tourism, the intended outcomes will not be achieved unless terrorism is abolished.

Pakistan has made significant efforts in recent times to enhance its tourist sector. The goal of initiatives like the “Emerging Pakistan” campaign and the Pakistan Tourism Summit is to draw tourists from outside.  Additionally, the government is improving the nation’s security and tourism amenities. The inauguration of the Kartarpur Corridor, which enables Sikh pilgrims from India to visit a sacred site in Pakistan without a visa, is one significant step. This has demonstrated Pakistan’s support for tourism while also advancing peace.

Pakistan also promotes ecotourism and adventure tourism. Areas such as Gilgit-Baltistan, Khyber Pakhtunkhwa, and Azad Kashmir provide excellent chances for trekking, mountain climbing, and exploring nature. By concentrating on sustainable tourism, Pakistan can preserve its natural beauty while also offering travellers with unique experiences.In Pakistan, tourism holds great potential to propel economic  growth. It fosters cultural heritage, produces income, and creates jobs. But in order to realize this potential to its fullest, Pakistan has to solve infrastructural issues, deal with security issues, and put marketing plans into action. Coherent legislative and policy frameworks are also necessary to guarantee the growth of sustainable tourism. Pakistan’s economic growth and  international reputation may be considerably enhanced by tourism, if it is  pursued with determination and well-considered investments.

Pakistan may establish itself as a top vacation destination by highlighting its natural beauty, rich history, and cultural variety. To create a resilient and prosperous tourist business, the public, corporate, and local communities must work together in a cooperative manner.

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Environmental sustainability and tourism growth: convergence or compensation?

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• Published: 29 May 2024

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• Viviana Torres-Díaz 1 , 2 ,
• María de la Cruz del Río-Rama   ORCID: orcid.org/0000-0002-9396-9341 3 ,
• José Álvarez-García 4 &
• Biagio Simonetti 5 , 6 , 7  

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In addition to the socio-economic advantages, tourism has been proven to be one of the most important sectors with adverse environmental effects. Therefore, this study examines the relationship between tourism and environmental sustainability by using a panel data from 32 countries in Latin America and the European Union for the period 2000–2019. Several techniques of cointegration and convergence of clusters are used to meet this objective. The empirical results show that on average, tourism growth has a negative impact on the environment in the two groups of countries, which could be attributed to the heterogeneity of the level of regional tourism development. On the other hand, the convergence of tourism growth and environmental sustainability is evident at different adjustment speeds in the different sample panels. It generates empirical evidence on whether the current expansion of the tourism sector in Latin American and European countries entails significant environmental externalities by using the ecological footprint variable as an indicator of environmental sustainability and foreign tourist arrivals as an economic indicator.

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1 Introduction

Over the past decades, countries have experienced rapid economic growth around the world (Koengkan et al. 2019 ). In line with the World Tourism Organization (UNWTO), more than 900 million tourists made international trips during the year 2022, twice as many as in 2021. This figure is 63% of the pre-pandemic level. In general, the number of international tourists has increased in all regions of the world. Europe, with 585 million arrivals in 2022, has reached almost 80% of pre-pandemic levels. Africa and North, Central and South America reached about 65% of pre-pandemic visitor levels (UNWTO 2023 ).

Tourism is one of the important factors that can affect the environmental and economic situation of any economy (Ozturk et al. 2023 ). Thus, tourism and economic growth have been found to go hand in hand, especially in tourist destinations (Adedoyin et al. 2021 ). In addition, tourism transfers economic income from developed to developing countries (Danish and Wang 2018 ). However, despite the benefits that tourism provides, it also affects environmental quality, as increased international tourism not only stimulates economic growth, but also increases energy consumption (Bojanic and Warnick 2020 ; Danish and Wang 2018 ) and the use of products derived from the extraction of natural resources (Robaina-Alves et al. 2016 ).

Therefore, most of the empirical and theoretical studies have argued that tourism contributes significantly to environmental degradation (Shahbaz et al. 2021 ; Danish and Wang 2018 ), so this relationship has been studied from two perspectives. The first perspective focuses on testing the Environmental Kuznets Curve (EKC) hypothesis, which is an inverted U-shaped relationship between pollutants and economic growth. Based on Kuznets ( 1955 ), this theory was put forth by scholars Grossman and Krueger ( 1991 ). According to this idea, economic expansion affects environmental degradation as measured by CO 2 emissions to a point when it becomes sustainable and has a negative influence (Arbulú et al. 2015 ; Ozturk et al. 2016 ; Mikayilov et al. 2019 ; Anser et al. 2020 ; Fethi and Senyucel 2021 ; Porto and Ciaschi 2021 ; Gao et al. 2021 ). The second perspective includes research that examines the relationship between tourism growth and environmental degradation (De Vita et al. 2015 ; Zaman et al. 2016 ; Pablo-Romero et al. 2019 ; Alizadeh 2020 ; Anser et al. 2020 ).

Most of these studies (Kusumawardani and Dewi 2020 ; Rahman 2020 ; Mohammed et al. 2015 ; Ozturk and Al-Mulali 2015 ; Galeotti et al. 2006 ) have analyzed the relationship between tourism growth and environmental degradation based on the variables of energy consumption and carbon dioxide emissions. According to Ozturk et al. ( 2023 ), the empirical findings point to a mix of favorable and unfavorable effects of visitor arrivals and CO 2 emissions in the majority of tourist locations. Environmental degradation has been shown to be a multifaceted phenomenon with a variety of indicators, which requires a comprehensive assessment of the state of the environment (Wackernagel and Rees 1998 ; Saqib and Benhmad 2021a , b ; Pulido-Fernández et al. 2019 ).

In this regard, some studies (Saqib and Benhmad 2021a , b ; Satrovic and Adedoyin 2022 ) have found that the ecological footprint is a more accurate tool for measuring and visualizing the resources that sustain the planet because it considers how dependent humans are on the environment in order support a lifestyle (Kyara et al. 2022 ; Saqib and Benhmad 2021a , b ; Elshimy and El-Aasar 2020 ; Figge et al. 2017 ; Ozturk et al. 2016 ; Rojas-Downing et al. 2018 ). In line with this, Gössling ( 2000 ) points out that the relationship between tourism expansion and carbon emissions, as well as evidence of the detrimental effects of fossil fuels used in the industry on the environment are some aspects of the impact of tourism growth on the ecological footprint.

As a result, the main objective of this study is to assess how tourism growth and environmental sustainability in Latin America and the European Union are related. Due to the lack of comprehensive statistical data for all the countries in the region and for all the years, the statistical data from 14 Latin American countries and 18 European countries were used between 2000 and 2019. In order to do this, the present research used convergence cluster analysis, generalized least squares (DOSL), cointegration analysis using unit root and causality tests to examine the relationship between the ecological footprint (global hectares per capita) and the number of international tourist arrivals.

In addition, this study also contributes two important elements to the literature on tourism. First, it generates empirical evidence on whether the current expansion of the tourism sector in Latin American and European countries entails significant environmental externalities by using the ecological footprint variable as an indicator of environmental sustainability and foreign tourist arrivals as an economic indicator. Second, the research ranks nations based on the likelihood that their environmental performance will be covered, considering the fact that environmental sustainability can be influenced by tourism growth. To do this, the convergence club method presented by Phillips and Su ( 2007 ) is used, which finds three convergence groups with the potential for the final two groups to merge into a single club.

Following this introduction, the study will be divided into the following sections: Sect.  2 presents the bibliographical and empirical review on the topic. In Sect.  3 , two sections are presented: in the first section, the description of the data and bibliographical sources; and, in the second section, the methodologies used are described. Section  4 shows the results obtained, while Sect.  5 provides a discussion of the findings. The last section presents the conclusions obtained.

2 Theoretical framework

There is a significant and growing interest in the connection between tourism and the environment within the analysis of the literature and empirical evidence, which suggests that this relationship can be studied from two relevant aspects. The first aspect explores the causal relationship of tourism on environmental degradation. For example, Usman et al. ( 2021 ) investigate the causal link in Asian countries and find that tourism is what is influencing the region’s environmental degradation. On the other hand, Shi et al. ( 2020 ) find a two-way causal relationship in high-income economies around the world. Other research, such as that by Lee and Brahmasrene ( 2013 ) and de Vita et al. ( 2015 ) explores this connection along with electrical energy use, demonstrating the beneficial impact of tourism on environmental degradation; while Zaman et al. ( 2016 ) determine an inverse relationship between the variables considered for an analysis in three regions of the world. According to Lv and Xu ( 2023 ), tourism always has a major detrimental impact on environmental performance, meaning that environmental deterioration will inevitably come from tourism, regardless of how developed the industry is. On the other hand, tourism will comparatively have less of an impact on environmental performance after it reaches a certain level of development.

The second aspect examines whether the EKC hypothesis caused by tourism actually exists. Kuznets ( 1955 ) investigated “the inverted U-shaped relationship between income inequality and per capita income”. Subsequently, the pioneering study by Grossman and Krueger ( 1991 ) analyzed the connection between air quality and income growth. This study provided evidence supporting the Kuznets curve. Numerous empirical studies that explored and validated the EKC hypothesis in global tourism have been conducted in recent years (Ozturk et al. 2016 ; Fethi and Senyucel 2021 ) by groups of countries (Anser et al. 2020 ; Adedoyin et al. 2021 ), in Latin America (Pablo-Romero et al. 2019 ; Ochoa-Moreno et al. 2022 ) and Europe (Arbulú et al. 2015 ; Saqib and Benhmad 2021a , b ). In this same line, Ekonomou and Halkos ( 2023 ) processes regression tests of contemporary panels that consider possible structural ruptures and phenomena of cross-dependence in panel data. Empirical findings confirm the EKC hypothesis, while business tourism expenses, capital investment expenses and domestic travel and tourism consumption have a negative impact on greenhouse gas emissions.

In order to demonstrate the link between environmental degradation and tourism growth in many industrialized and emerging economies, Table  1 aggregates empirical studies. However, the results differ in terms of policy implications, methods and geographical location. In addition, there are limited studies in both the Latin American region (Alizadeh 2020 ; Porto and Ciaschi 2021 ; Ochoa-Moreno et al. 2022 ), as well as in the application of the ecological footprint variable as a more comprehensive indicator of environmental degradation (Kyara et al. 2022 ; Saqib and Benhmad 2021a , b ; Elshimy and El-Aasar 2020 ; Figge et al. 2017 ; Ozturk et al. 2016 ; Rojas-Downing et al. 2018 ).

It is significant to highlight that the above examines the EKC hypothesis using only one indicator of environmental pollution, namely carbon dioxide emissions, and is restricted to a one-dimensional consumption-based study. In this regard, Wackernagel and Rees ( 1998 ) state that environmental degradation is a multidimensional phenomenon and is represented by several indicators, not only as a result of ongoing carbon emissions, but also of the loss of fish species, reduction of grazing land and reduction of crops (Global Footprint Network 2021 ). For example, according to Ehigiamusoe et al. ( 2023 ), the ecological footprint and carbon emissions reflect various aspects of environmental degradation highlighting the imperative for nations to take into account the interaction between globalization and tourism in their effort to ensure environmental sustainability.

In addition, because the biocapacity available is ignored, it restricts our knowledge of the dynamics of environmental stresses. According to Destek and Sarkodie ( 2019 ), the biocapacity of a nation has a substantial impact on the outcome of the EKC hypothesis. In line with this, Khan et al. ( 2019 ) found decreasing forest cover has a variety of negative effects, such as droughts, unpredictable rainfall and flash floods. In order to reduce climate change and its effects, it is crucial to analyze the ecological footprint of growing economies (Destek and Sarkodie 2019 ).

On the other hand, regarding the methodology implemented in several of the studies presented in this section, the relationship between tourism and the environment is analyzed mainly based on some common econometric techniques. However, this research seeks to broaden the analysis of the relationship from convergence, alluding to the idea that over time, the per capita production of all economies will converge (Du 2017 ), adapting and expanding it to tourism and sustainability, based on the study by Simo-Kengne ( 2022 ), who builds a tourism sustainability index and analyzes the convergence of tourism growth and environmental sustainability in 148 countries for the period from 2006 to 2016.

A number of studies (Baumol 1986 ; Bernard and Durlauf 1995 ; Barro and Sala-I-Martin 1997 ; Lee et al. 1997 ; Luginbuhl and Koopman 2004 ) have helped to establish techniques for convergence testing and to empirically investigate the convergence hypothesis in various countries and areas. Convergence analysis has recently been used to examine a variety of different topics, including the cost of living (Phillips and Sul 2007 ), carbon dioxide emissions (Panopoulou and Pantelidis 2009 ), eco-efficiency (Camarero et al. 2013 ), housing prices (Montanés and Olmos 2013), corporate taxation (Regis et al. 2015 ), etc.

Using a non-linear time-varying component model, Phillips and Sul ( 2007 ) suggested a unique method (called the “log t” regression test) to evaluate the convergence hypothesis. The following are the benefits of the suggested strategy: First, it considers the diverse behavior of agents and their evolution. Second, the proposed test is robust to the stationarity property of the series, since it does not make any specific assumptions regarding trend stationarity or stochastic non-stationarity. Subsequently, Phillips and Sul ( 2007 ) demonstrated certain flaws in conventional convergence tests for economic development. Due to missing variables and endogeneity problems, the Solow regression estimate enhanced under transient heterogeneity, for instance, is biased and inconsistent. Due to the fact that the presence of a unit root in the series differential does not always imply divergence, conventional cointegration tests frequently lack the sensitivity required to detect asymptotic motion.

The potential existence of convergence clubs is another recurring concern in convergence analysis. Traditional studies generally divide all participants into subgroups based on some previous knowledge (e.g., geographical region, institution), and then test the convergence hypothesis for each subgroup separately. A new algorithm was created by Phillips and Sul ( 2007 ) to locate subgroups of convergence in clusters. The algorithm developed is a data-based approach that does not separate samples ex ante. Some typical models are compatible with the relative transition parameter method presented by Phillips and Sul ( 2007 ) to characterize individual variations. To put people into groups with comparable transition paths, it can be used as a universal panel approach.

In this regard, the present research aims to fill the gaps identified in the aforementioned bibliography. Firstly, by expanding the analysis of the convergence of the relationship between tourism growth and environmental sustainability. Secondly, a proxy for environmental degradation for the Latin American and European regions using new indicators and with more comprehensive dimensions.

3 Methodology

The data used in this study were taken from the World Bank (2022) and Global Footprint Network ( 2021 ). The variables extracted are the ecological footprint (ECO), which serves as the dependent variable in this study, and the number of international arrivals (TUR), which serves as the independent variable. This study covers 32 countries (Latin America, 14 and the European Union, 18) during the period 2000–2019. With 640 observations over the 20-year period and 32 countries, the variables provide a fully balanced panel over the 20-year period (t = 1, 2, …, 20), and 32 countries (i = 1, 2, …, 32).

Within countries, measured in global hectares per person, the ecological footprint is more stable than between them. Within countries, the standard deviation (SD) is 0.33, and between countries, it is 1.47. Similarly, the within-country variation in tourist revenues (log) (TUR) is lower than between countries. In comparison to the standard deviation across countries, which is 0.58, the standard deviation within countries is 0.32 (Table  2 ).

The annual evolution on average of the ecological footprint and the arrival of international tourists for Latin American countries can be observed in Fig.  1 . The trend of the dependent variable is constant, i.e., the ecological footprint is constant over the length of the study period in the sample of Latin American countries; while the independent variable is positive, i.e., it shows a constant increase in the study period (Table  3 ).

Average ecological footprint and tourist arrivals in 14 Latin American countries

Figure  2 shows the average annual changes in the ecological footprint and the number of foreign visitors for the European Union member states. As can be seen, the independent variable has a positive trend throughout the study period and the dependent variable has a negative trend, which means that the ecological footprint in the sample of European countries has maintained an average decrease.

Average ecological footprint and tourist arrivals in 18 European Union countries

Over time you can see how Latin American countries converge in terms of sustainability and tourism growth; Meanwhile, the countries of the European Union diverge in terms of tourism and environmental sustainability, especially in the last years of the study; However, this differs depending on the macroeconomic conditions of each country; this is expanded upon in the results and discussion section once the cluster convergence method has been applied.

3.2 Methodology

The empirical research follows a four-step process in line with the research objective of examining the convergence and interaction between the ecological footprint and international tourism growth in a panel of 32 countries from 2000 to 2019. The stationarity of the variables under study is first verified as a prerequisite in the first phase. The cointegration test is used in the second phase to assess whether there is stationarity between the variables under study in the long run. The third phase consists of estimating the fictitious cointegration connection in order to describe its dynamics, including how quickly it adjusts to long-term equilibrium and the short- and long-term effects. The causality analysis that comes at the end of this process, which considers the direction of the effects and any potential externalities to the research variables, is important for the creation of policy implications. The connection between tourism and environmental impact can be expressed as follows:

If the logarithm of tourism is considered in Eq.  1 , it is formulated as follows:

The ecological footprint of country \(i\) as a whole during period \(t\) is represented by log \({(ECO)}_{i,t}\) , the logarithm of tourism during period \(t\) is represented by \(\log (TUR)_{i,t}\) , and the error term is represented by \(\varepsilon_{i,t}\) . The results at this stage are interesting because they show the direction and strength of the effect of the relationship between independent and dependent variables.

The unit root test is used to check if the series are stationary—i.e., if there is no trend effect—prior to the cointegration analysis. Levin, Lin, and Chu-LLC and Im, Pesaran, and Shin-IPS, both suggested by Levin et al. ( 2002 ) and Im et al. ( 2003 ), were the tests used. The Fisher-type test based on the ADF test (Dickey and Fuller 1981 ) and the Fisher-type test based on the PP test were also used in response to Maddala and Wu ( 1999 ), who suggested using a simpler non-parametric unit root test. This equation was used to estimate these tests:

where ∆ is the first difference operator, \({X}_{i,t}\) is the series for a member of panel (country) i during the period (i = 1, 2, … N); (t = 1, 2, … T), \({p}_{i}\) indicates the number of lags in the ADF regression, and the error term \({\varepsilon }_{i,t}\) is assumed to be independently distributed random variables and normal for all i and t mean zero and finite heterogeneous variance.

The following stage tested for long-term equilibrium between the variables under study using cointegration techniques (Pedroni 1999 , 2004 ). The panel series are compared to see if there is a long-term link by using the Pedroni ( 1999 , 2004 ) cointegration test. The panel v statistic, panel rho statistic, panel PP statistic, panel ADF statistic, and the panel statistic—group rho, group PP statistic, and group ADF statistic are all calculated using the regression of Eq. ( 3 ) in the Pedroni cointegration test (Pedroni 1999 , 2004 ):

In addition, a short-term equilibrium based on error correction models (ECVM) is present (Westerlund 2007 ). The null hypothesis of no cointegration versus cointegration between the variables used is considered at the regional level. As opposed to residual dynamics, this demonstrates structural dynamics, hence there are no restrictions on any common element. On the other hand, the error correction model developed by Westerlund in 2007 is denoted by the following notation and it is assumed that all variables are integrated in order 1 or I (1):

where d t  = (1 − t) contains the deterministic components and θ t  = (1 − t) is the vector of unknown coefficients to be estimated.

As indicated by Dumitrescu and Hurlin ( 2012 ), the Granger non-causality approach was used after calculating the equilibrium connection to take into consideration panel data heterogeneity problems. In the situation of imbalanced and heterogeneous data, the Dumitrescu-Hurlin (DH) test is a modified version of the Granger causality test that is more lenient for T < N and T > N. Equation ( 6 ) is used in the DH test:

where \({\varphi }_{i}\) is the intercept of the slope, \({\gamma }_{i}\) and \({\theta }_{i}\) are the slope coefficients, ε is the error term, and k is the number of lag lengths.

In order to investigate the presence of convergence clubs according to the Phillips and Sul ( 2007 ) clustering procedure, the following steps are implemented:

(Cross section last observation ordering): Sort units in descending order according to the last panel observation of the period;

(Core group formation): Run the log-t regression for the first k units (2 < k < N) maximizing k under the condition that t-value is >−1.65. In other words, chose the core group size \({k}^{*}\) as follows:

If the condition tk > −1.65 does not hold for k = 2 (the first two units), drop the first unit and repeat the same procedure. If tk > −1.65 does not hold for any units chosen, the whole panel diverges.

The fixed-effects and random-effects models were compared using the Hausman test ( 1978 ). As a result, for each panel, the model that best fitted the test data was chosen. The modified Wald test and the Wooldridge ( 1991 ) test were also used to test for heteroscedasticity and to identify autocorrelation in the panel, highlighting the need to estimate the parameters of Eq. ( 2 ) using generalized least squares (GLS) for panel data (Wooldridge 2004 ). The results are shown for the two groups of countries (Table  4 ).

Next, the non-stationarity of the series is confirmed using unit root tests for panel data. Three tests, those of Levin et al. ( 2002 ) and Im et al. ( 2003 ), known respectively as LLC and IPS tests in the empirical literature on panel data, were applied to confirm the reliability of the findings. Comparisons were made between the results of these tests and those produced by Maddala and Wu ( 1999 ). Both with and without the effects of time were considered in the testing. According to the findings in Table  5 , the series show an order of integration (1). The existence of long-term and short-term cointegration vectors between the variables is confirmed in the following step of this research.

Pedroni ( 1999 , 2004 ) developed the cointegration test in heterogeneous panels, which allows to merge cross-sectional dependence with various individual effects, to determine the presence of a long-term equilibrium. This analytical framework, which incorporates seven repressors based on seven residual-based statistics, enables cointegration tests to be run in both heterogeneous and homogeneous panels.

The results of the seven statistics used by Pedroni ( 1999 , 2004 ) are shown in Table  6 . With varying degrees of significance, the majority of the statistics for each set of countries reject the null hypothesis of no cointegration. As a result, these findings suggest that throughout the years 2000–2019 in the groupings of countries, tourism and the ecological footprint have moved together and simultaneously.

In addition, the short-run equilibrium was calculated using an error correction model (ECVM) for panel data created by Westerlund ( 2007 ). If there is a short-run equilibrium, this implies that changes in tourism revenues will quickly result in changes in the ecological footprint. According to the data compiled in Table  7 , each group of countries is in short-term equilibrium.

Granger-type causality of the variables was established using the formalization created by (Dumitrescu and Hurlin 2012 ). In both country groupings, it was found that there are causal connections that stem from TUR → ECO (gha). In other words, changes in the number of visitors will have an impact on the ecological footprint on average in both European and Latin American countries. When considering the direction of the effects and their potential externalities to the research variables, these causal analyses are crucial for the creation of policy implications (see Table  8 ).

To do this, the Phillips and Sul ( 2007 ) proposed convergence club technique is used, which finds three convergence clusters with the possibility of the two final clusters combining to form a single club. The convergence club hypothesis, which holds that countries moving from a point of environmental imbalance to their club-specific steady state trajectory belong to the same cluster, is where the three mega clubs in Table  9 come from.

Table 9 shows that there are three clubs and three divergent units in club 4 for Latin America. It lists the number of units (countries) covered for each club, as well as the beta coefficient of the log-t test and the value of the t-statistic. Since the t-value for clubs 1 and 2 is less than −1.65, the null hypothesis of convergence is rejected at the 5% level; however, the hypothesis is not rejected for club 3.

On the other hand, two clubs representing 9 and 4 countries, respectively, are shown for the 18 countries that make up the European Union, along with 5 divergent units in club 3. Given that the t-value in the two established clubs is less than −1.65 in this case, the null hypothesis of convergence is rejected at the 5% level.

The results in Fig.  3 a, b demonstrate graphically that the economies of Europe and Latin America are not close to reaching their stationary states. In addition, the last graph of each section (a) and b)) shows the comparison between the average transitory behavior of each club, where it can be more clearly identified that the path of the countries in both regions has a different pattern.

Transition paths within each convergence club in the 14 Latin American countries and transition paths within each convergence club in the 18 European Union countries

5 Discussion

In the previous section, the results of the estimated GLS are presented, which allowed to establish the relationship of the ecological footprint based on the logarithm of international tourist arrivals, showing a negative effect on the panel of Latin America and Europe. In other words, as tourism increases, it has a positive and significant effect on the deterioration of the ecological footprint in both regions. These results are similar to those found by authors such as Porto and Ciaschi ( 2021 ) and Arbulú et al. ( 2015 ), who by using generalized least squares verified that tourism activity causes an increase in environmental degradation, measured through carbon emissions for 18 Latin American and 32 European countries. This suggests that the non-linear impact of tourism on the environmental degradation of countries is not sustainable as tourism increases, so efforts to mitigate environmental degradation from tourism must be implemented (Simo-Kengne 2022 ).

Both the existence of short-term (Westerlund 2007 ) and long-term equilibrium (Pedroni 1999 , 2004 ) have been tested using the approach. Similar methodological techniques are used by studies such as Ochoa-Moreno et al. ( 2022 ), Ghosh et al. ( 2022 ), and Saqib and Benhmad ( 2020 ) to establish equilibrium correlations in various study samples. The findings show that during the period 2000–2019, tourism growth and the ecological footprint in global hectares per capita have a combined and synchronous movement in both sets of countries. This is in line with Saqib and Benhmad’s ( 2020 ) hypothesis that the dynamics in developing countries affects how these variables are balanced. This is because the tourism industry generates significant economic advantages, while also contributing to an increase in environmental degradation. Due to the fact that these countries have not yet transitioned from traditional energy sources to more cutting-edge and environmentally friendly technology in tourism, the host country will suffer.

On the one hand, Granger’s causality (Dumitrescu and Hurlin 2012 ) showed that the ecological footprint and growth of tourism in both categories of countries had mutual causal links. In other words, the extraction and exploitation of natural resources is accelerated by the economic growth of industrialized economies, which reduces the biocapacity of the environment and increases the ecological footprint (Panayotou 1993 ). This finding is comparable to those of Destek and Asumadu ( 2018 ) and Saqib and Benhmad ( 2020 ), which found a two-way causal link. On the other hand, Ghosh et al. ( 2022 ) find a two-way causal relationship between carbon dioxide emissions, tourism and ecological footprint in the G-7 countries. Ozturk et al. ( 2023 ) who use a unique technique through quantum-in-quantum regression and Granger causality and suggest a combination of positive and negative effects of tourist arrivals and CO 2 emissions at most tourist destinations. Moreover, Ekonomou and Halkos ( 2023 ) by applying Granger’s non-causality tests to a eurozone data panel suggest that all Granger variables cause greenhouse gas emissions.

In addition, the convergence analysis in both regions indicates that the sample of countries selected for this study do not have convergence in environmental terms, i.e., they do not converge towards the stationary point of each convergence club created from the Phillips cluster procedure (Philips and Sul 2007 , 2009 ). These findings contrast with those made by Simo-Kengne ( 2022 ) for a sample of 148 countries, who found that the convergence of tourism growth and environmental well-being tends to adjust at varying rates depending on the sample panels. Similarly, research by Phillips and Sul ( 2007 ) found that the relative cost of living in the 19 major American metropolises does not appear to converge over time, in addition to providing a new mechanism to model and analyze the behavior of the economic transition in the presence of common growth characteristics.

6 Conclusions and political implications

The environment is a resource and an opportunity, as well as a constraint for tourism. As a result, while engaging in tourism activities might help the environment to remain sustainable, it can also worsen its condition. The overall impact depends on the nature of tourism, as well as on contextual factors like the development of technology, the level of environmental awareness, and society’s lifestyle (Pigram 1980). Thus, the aim of the study is to investigate the connection between tourism growth and the ecological footprint in 14 Latin American and 18 European countries. To find the convergence of tourism growth and environmental sustainability, the annual period between 2000 and 2019 is examined using panel cointegration techniques and the clustering procedure.

The study findings support the notion that tourism development and environmental sustainability are mutually exclusive, since increasing biocapacity has a detrimental impact on environmental sustainability. Similarly, Danish et al. ( 2019 ), Adedoyin et al. ( 2021 ), and Chu et al. ( 2017 ), all reach the conclusion that decreasing biocapacity in Beijing, Tianjin, and Heibin is what leads to ecological improvement. These studies support the finding of Danish et al. In addition, increased tourism-related activities, globalization and economic production can all have a negative impact on the environment, as demonstrated by the research of Nathaniel ( 2021 c), who found that as tourism grows, so does energy consumption, which in turn causes the release of toxic chemicals that degrade the quality of the environment.

The current study adds important elements to the analysis of the literature on the growth of tourism and the impact on the environment, making important methodological contributions by using the ecological footprint variable as an indicator of sustainability, as well as the convergence club method presented by Phillips and Su ( 2007 ) to determine the convergence of tourist and environmental sustainability. However, some theoretical limitations have been presented, such as the lack of information for all countries in the Latin American region and the European Union; and empirical, there are limited studies examining the relationship or impact of tourism growth and ecological footprint as an indicator of environmental sustainability.

From the political point of view, it is imperative that nations take decisions and do things to achieve environmental sustainability. There are two ways to fulfill this commitment, which will ensure a smaller ecological footprint and a cleaner environment. First, it is suggested that governments and organizations adopt green tourism, which can reduce soil erosion and air pollution caused by various forms of tourism-related transportation. Second, in order to fulfill environmental preservation and economic development objectives, sustainable economic production is preferable in order to limit environmentally damaging emissions (Alola et al. 2019a , 2019b ; Nathaniel et al. 2021 ). These findings suggest that policymakers should implement financial changes aimed at sustainable development, as well as assist tourism initiatives that use renewable energy sources. Furthermore, the findings suggest that these countries economic growth goals should be combined with carbon dioxide emission legislation (Koengkan et al. 2019 ).

Data Availability Statement

Not applicable.

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Conceptualization, V.T-D, M.C.R-R, J.Á.-G. and B.S.; Formal analysis, V.T-D, M.C.R-R, J.Á.-G. and B.S.; Investigation, V.T-D, M.C.R-R, J.Á.-G. and B.S.; Methodology, V.T-D, M.C.R-R, J.Á.-G. and B.S.; Writing—original draft, V.T-D, M.C.R-R, J.Á.-G. and B.S.; Writing—review and editing, V.T-D, M.C.R-R, J.Á.-G. and B.S. All authors have read and agreed to the published version of the manuscript.

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Average transition path in the 14 Latin American countries

Average transition path in the 18 European Union countries

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