Coastal tourism in need of makeover

Coastal and marine tourism is one of the fastest-growing sectors of global travel. From luxury cruises to island resorts and diving expeditions, the ocean has long been a magnet for tourists seeking relaxation, adventure, and natural beauty. But as the sector expands, so does its environmental footprint. Fragile ecosystems, such as coral reefs and mangroves, are under increasing pressure. The challenge is clear: how do we balance economic growth with long-term environmental and social sustainability?

Double-edged sword

On the one hand, tourism is a lifeline for many coastal communities. It provides jobs, stimulates local economies, and funds infrastructure and conservation projects. For small island developing states (SIDS), tourism often accounts for a significant share of GDP.

In 2023, tourist spending in these destinations reached around $3 trillion. This spending helped drive economic activity, with the sector contributing an estimated $1.5 trillion directly to global GDP—around 1.4% of the total. When including the wider supply chain, the sector’s total economic impact rose to $3.3 trillion, or 3.2% of global GDP.

In terms of employment, coastal and marine tourism directly supported about 52 million jobs worldwide in 2023. A further 48 million jobs were tied to its supply chain, bringing the total to roughly 100 million—accounting for around 3.0% of global employment. The sector also generated significant public revenue, with direct tax contributions estimated at $820 billion, increasing to $1.3 trillion when indirect effects are included.

But the costs are mounting. Overcrowding, pollution, habitat destruction, and climate change-related impacts—such as coral bleaching and rising sea levels—are all intensified by poorly managed tourism. Tourism activities such as cruising, resort operations, and marine recreation can sometimes place pressure on local ecosystems through wastewater discharge, freshwater use in water-scarce areas, or practices that may affect marine biodiversity. Addressing these challenges is key to protecting natural resources while supporting tourism growth.

Rethinking growth

Coastal tourism is evolving, with growing recognition that long-term sustainability depends on shifting the focus from sheer visitor numbers to quality experiences. Emphasising value over volume can help destinations better manage their carrying capacity, protect natural resources, and deliver lasting benefits to both visitors and local communities. A single hurricane, pandemic, or environmental disaster can wipe out visitor numbers overnight, as COVID-19 made painfully clear.

The rise in extreme weather events is already having direct consequences. According to research from the Cambridge Institute for Sustainability Leadership, a one-metre rise in sea levels could damage between 49% and 60% of tourist resort properties across the Caribbean, affect 21 airports, and flood areas around 35 ports. Another study suggests that climate change could reduce tourist arrivals to the region by about 1% annually, resulting in over $100 million in lost tourism spending each year.

The indirect effects are equally concerning. Higher temperatures may lead to labour shortages, unreliable water and energy supplies, and interruptions in food and goods deliveries. Broader economic disruption is also likely, including slower activity caused by transport breakdowns and infrastructure strain.

Rethinking growth in this context means shifting from quantity to quality. It’s about creating tourism that benefits local communities without compromising the ecosystems they depend on. That includes promoting low-impact experiences, supporting local businesses, and investing in resilient infrastructure.

Sustainability in tourism isn’t just about limiting damage; it’s about actively contributing to regeneration. Some forward-thinking operators are already leading the way. Marine protected areas (MPAs), for example, can both conserve biodiversity and enhance visitor experiences. In places like the Great Barrier Reef and the Galápagos Islands, strict regulation and controlled access help preserve delicate environments while creating high-value tourism products.

Eco-certification schemes and sustainability ratings are also gaining ground. For example, WTTC’s Hotel Sustainability Basics is a globally aligned set of minimum sustainability indicators designed to help hotels, regardless of size or location, begin their sustainability journey in a practical and achievable way. Businesses can align themselves with this framework as a stepping stone for their sustainability journey.

Tourists are increasingly looking for holidays that align with their values, and businesses that can demonstrate genuine environmental and social responsibility are better positioned to meet that demand. Nearly 40% of the world’s population lives within 100 kilometres of the coast, increasingly exposed to rising sea levels, coastal erosion, extreme weather, drought, and the degradation of vital ecosystems. According to C40 Cities, by 2050, around 800 million people will reside in cities at risk of sea levels rising by over half a metre—impacting major hubs like Miami, Guangzhou, New York, Bangkok, Jakarta, and Mumbai.  

These growing climate threats endanger not just the local economies of these destinations, but also the critical transport networks that link them to the wider world. If left unaddressed, the impacts could ripple far beyond tourism, affecting entire regional economies. Rethinking coastal and marine tourism is no longer optional. It’s essential to secure a sustainable future.

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