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Over the past three years, the structure of the Russian tourism industry has undergone significant changes. Outbound tourist flows are contracting, while domestic and inbound tourism is rapidly expanding. In these conditions, the industry stands a good chance of becoming a driver behind the socio-economic development of the country. The key challenge for the tourism market players is to keep the growth trend going despite infrastructural and financial constraints and the reopening of such popular external destinations as Turkey.
The global tourism industry grows at a steady pace and makes significant contributions to the development of national economies.
Since 2014, Russia has seen significant changes in the structure of the industry, with domestic and inbound tourism taking the centre stage. This change came as a logical response to the rouble depreciation and declining price affordability of international tourism.
The projected growth for 2017 stands at 10%. The tools used to ensure further expansion in the industry include:
The Government makes tourism investments under the Federal Target Programme Development of domestic and inbound tourism in the Russian Federation, which provides for the construction of 54 recreational and car tourist clusters in 41 Russian regions. However, given the current environment, budget expenses need to be cut.
According to the UNWTO, the global demand for international tourism grows at the annual rate of 4%. The rouble depreciation has boosted the competitive position of Russia's tourism industry, but the inbound tourist flow remains erratic.
Work is underway to promote Russia as a tourist destination in the foreign markets.
That said, there are still certain barriers that can undermine the growth of domestic and inbound tourism in Russia.
The 2018 FIFA World Cup is expected to make a significant contribution to the development of tourism infrastructure in Russia.