Pakistan’s travel and tourism sector is on track to generate more than $4 billion in revenue by 2025, according to a new Statista Travel and Tourism Pakistan report.

The industry is projected to maintain strong momentum with an annual growth rate of 6.75% between 2025 and 2029, potentially reaching $5.53 billion by the end of the forecast period.

Package Holidays will lead the market, the report indicates, with an estimated revenue of $1.92 billion in 2025. User numbers in this segment are expected to reach 22.17 million by 2029, while overall market penetration is forecast to increase from 11.3% in 2025 to 14.6% by 2029.

The average revenue per user is projected at $150.66, with digital channels playing an increasingly important role—online sales are expected to account for 66% of total revenue by 2029.

“We’re seeing a significant shift in how Pakistanis approach travel,” said a tourism industry expert. “Improved infrastructure and higher disposable incomes are encouraging more people to explore destinations within the country.”

This domestic tourism boom represents a major trend in the sector, complemented by the digital revolution that has transformed how travelers research and book their trips. Social media influencers and online booking platforms have become powerful forces shaping travel decisions across the country.

The report attributes the market’s growth to several macroeconomic factors, including government-led tourism initiatives, major infrastructure development projects, and enhanced international connectivity through new flight routes.

Security improvements and political stability have also played crucial roles in boosting traveler confidence, creating favorable conditions for both domestic and international tourism to flourish.

The Inter-Provincial Tourism Committee continues to coordinate efforts to promote Pakistan’s diverse attractions, from its northern mountain ranges to its historical sites and coastal areas.