Baltic States Lose Up to 5% of GDP Due to Tourism Decline
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Baltic States lost up to 5% of GDP due to lack of tourists

The absence of tourists from Russia and Belarus has seriously hit the tourism industry of Latvia, Lithuania and Estonia, whose economy has lost from 3 to 5% of gross domestic product due to the decline in income in this area, according to Logos Press.
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Tourist destinations connected with St. Petersburg suffered the most, Lenta.Ru noted earlier. Cruises on the Baltic Sea decreased, as routes without a call to St. Petersburg became less interesting.

In addition, due to the proximity to Russia, Ukraine and Belarus, tourists are less willing to visit the Baltic States for security reasons.

Luxury hotels and restaurants, local spa complexes and bus transportation organizers have suffered serious losses. Additional problems in recent years include the declining competitiveness of the catering industry due to high costs and reduced tourist flows. For this reason, many travel companies, hotels and resorts have become more focused on domestic demand.

According to Jānis Jēnzis, head of the Latvian Restaurant Association and director of Opera Hotel Riga, the current geopolitical situation still has a negative impact on the tourism industry. “Tourism in our region has been affected by the war, which coincided with the recovery period after the pandemic,” he notes. – Business tourism events were canceled. The situation has been difficult, but we are still facing similar challenges.”

Lithuania was the hardest hit

Figures confirm the words of the head of the Association. Thus, in 2024, Estonian hotels and inns received 3.6 million tourists, which is 5% less than in 2019.

About 2.38 million foreigners arrived in Lithuania in 2024 – 17% less than in 2019.

The situation is slightly better in Latvia, which has seen an increase in visits over the past two years, with foreign tourists accounting for 58% of the country’s share in 2024 and visits growing in 2025. It is, in a sense, drawing tourists away from its neighbors Estonia and Lithuania.

Finns, Germans and other Central Europeans have become frequent guests of local hotels. However, tourism in Latvia has not yet returned to pre-pandemic levels either.


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