Canada tourism is forecast to grow faster than the wider economy in 2026, with visitor spending set to rise 6% as overseas demand strengthens.

Canada tourism is heading for a strong 2026, with visitor spending forecast to reach $140.9 billion, up 6% from 2025.

The forecast comes from Destination Canada’s Canadian Tourism Outlook 2026–2035, prepared with Tourism Economics. It says tourism revenue is now growing faster than the wider Canadian economy, helped by strong domestic travel, continued demand from the US and faster growth from overseas markets.

By 2035, total tourism revenue in Canada is expected to reach $216.3 billion, which would be 67% higher than in 2024. Destination Canada says the sector already supports one in ten Canadian jobs and brings more than $364 million into communities each day. In 2024, tourism returned $32.7 billion in municipal, provincial and federal tax revenue.

“Tourism is a high-growth export with fast returns,” says Marsha Walden, president and chief executive officer of Destination Canada. “The Canadian Tourism Outlook shows demand is accelerating, and the opportunity for Canada is even greater if we grow global market share and continue attracting more international demand.”

Canada tourism is also being positioned as a key service export. The sector is projected to contribute between 9% and 10%, or up to $30 billion, towards Canada’s goal of securing an extra $300 billion in non-US exports by 2035.

Overseas markets are expected to be one of the main growth drivers. Destination Canada forecasts annual growth of 9.8% from these markets over the next decade, nearly twice the pace expected from the US. This would help Canada attract visitors across a wider range of markets and seasons.

The US remains Canada’s largest international visitor market. Spending from US travellers is forecast to grow by 5.3% a year, with air arrivals expected to perform better than land and sea travel.

Domestic travel is also playing an important role. Canadians are choosing to take more trips within their own country, with reshored spending expected to add $1.5 billion in 2025 and $4.4 billion between 2025 and 2027.

Business events are another focus for growth. Destination Canada says international conferences and association events can bring high-value visitors while also supporting trade, investment and talent links. Association events are forecast to reach 132% of 2019 levels by 2028, with delegate numbers reaching 118%.

Walden says: “Business events continues to be a driver of economic growth with Canada's global reputation riding high, the new federal investment into Destination Canada’s International Convention Attraction Fund (ICAF) announced last week, allows Canadian cities to seize this moment to increase our market share of international business events.”

The ICAF has helped secure 116 international events for Canada. These events are expected to generate more than $800 million in direct economic impact and support more than 6,600 jobs.

Destination Canada says the country’s global reputation is also helping. Canada ranked number one in RepCore Nations 2025, tied with Switzerland, and third in the 2025 Anholt Nation Brand Index. Its current brand platform, Canada, naturally, is designed to turn this positive reputation into travel demand.

The outlook suggests Canada tourism is entering 2026 with strong momentum after a record summer in 2025. For the travel industry, the forecast shows how destinations are placing tourism at the centre of wider economic growth, export strategy and international reputation.