New York’s tourism sector is nearing a full recovery, as visitor spending and related tax revenue have surpassed pre-pandemic levels, according to a report by New York State Comptroller Thomas P. DiNapoli. The city estimates it will exceed pre-pandemic levels and welcome a record 68 million visitors by 2025.
“The number of tourists is almost back to pre-pandemic numbers in New York,” DiNapoli said. “Visitor spending and the tax revenue that this industry generates have already surpassed pre-pandemic levels, but the industry’s recovery will not be complete until we see the full return of international and business travelers, and a full recovery of local jobs. Our city and state leaders need to focus on keeping New York a desirable and safe destination for individuals and families from around the world.”
In 2023, 62.2 million people visited New York, about 7% fewer than the 66.6 million who visited in 2019. Although fewer in number, these visitors spent over $48 billion in 2023, a 1.3% increase compared to 2019, as prices rose during this period, including average hotel room rates, which exceeded $300. This increase is expected to generate a record $4.9 billion in sales and other tourism-related taxes for the city in fiscal year (FY) 2024, a jump of 16% since FY 2020. This is significant for the city, as the record economic impact of $53.8 billion from the tourism sector in 2022 represented 4.5% of the city’s gross product that year.
Domestic travelers, especially those on leisure trips, led the recovery of the city’s tourism sector. The 50.6 million U.S. visitors to the Big Apple in 2023 were 7% more than in 2022, equivalent to 95.3% of those who visited in 2019.
International travelers account for about 20% of the city’s visitors, but their return has been slower. In 2020, at the height of the pandemic amid travel restrictions, their numbers fell by 82.2%, to just 2.4 million. Numbers grew to 11.6 million in 2023, a 23.4% increase from the previous year, but still 14.1% below 2019.
New York led other major U.S. tourist destinations with over 33 million overnight visitors in 2023, driven by domestic travelers. Las Vegas and Los Angeles followed, with over 26 million and 21 million overnight visitors, respectively. Tourism in New York is not expected to slow down, with over 39 million overnight visitors projected for 2025, compared to Las Vegas and Los Angeles, with just over 29 million and 25 million, respectively. Domestic overnight visitors to the city are expected to increase by 12.9% from 2023 to 2025, the largest growth among other major U.S. tourist destinations.
The DiNapoli report notes that major future events, including the FIFA World Cup Final in 2026, New York’s 400th Anniversary, and the 250th anniversary of the nation’s founding, are expected to attract record crowds in the coming years.
Source: New York State Comptroller’s Office