Tourist numbers reach record in 2007

Passengers at Dublin airport

Passengers at Dublin airport

A record 7.8 million people visited Ireland in 2007 in an increase of 5 per cent on 2006, Fáilte Ireland revealed today.

However, the tourist body warned that despite a positive outlook for the coming year, rising fuel costs, economic uncertainty and a weakening dollar could make it more difficult to predict international trends.

Tourism accounts for almost 4 per cent of GNP, and is one of Ireland's most important indigenous industries. Revenues rose last year, increasing to €6.5 billion.

The domestic market continued to expand, with Irish people holidaying at home accounting for €1 billion in expenditure.

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Concerns have been raised over the reliance on the home holiday market by some sectors of the industry outside of Dublin, however.

Fáilte Ireland said Irish people accounted for 62 per cent of the total nights spent in hotels by all tourists, a figure that has risen 26 per cent during 2007. A drive to grow the international leisure segment to decrease this reliance will continue during the coming year.

The North West and South East regions benefited most from the increased visitor numbers, while Dublin, the West and South West areas also saw a rise. However, the East and Midlands were static on 2006 figures, while a strong performance in 2006 saw the Shannon region's figures decline in 2007.

The highest level of growth in overseas visitors was seen in mainland Europe. Visitor numbers from France, Spain and the Nordic countries increased significantly, and tourist numbers from Italy, Germany and Switzerland also experienced good growth. Emerging markets in Eastern and Central Europe generated significant increases.

However, North America and other long haul markets saw more modest growth, while numbers from Britain fell year on year. Shorter stays by visitors and a weakening dollar had an impact on visitor spend, which lagged behind visitor growth.

The outlook for the coming year is positive, the tourist body said, with 90 per cent of tourist operators anticipating performance in 2008 to be similar to or to outperform 2007.

Target growth of 5 per cent for overseas visitors has been set for 2008, while home holiday trips are expected to increase by almost 4 per cent.

Ciara O'Brien

Ciara O'Brien

Ciara O'Brien is an Irish Times business and technology journalist