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Submitted by:Ayesha Tasawar (01-111211-021),

Anum Shehzadi (01-111211-021),


Muhammad Adam Banoori (01-111202-087)
Table of Contents

THE ISLAMIC REPUBLIC OF PAKISTAN ............................................................................ 2


Executive Summary: .................................................................................................................. 4
Type of tourisms in Pakistan ...................................................................................................... 4
Domestic Tourism: ................................................................................................................. 4
Foreign Tourism: .................................................................................................................... 4
Contribution to Economy:...................................................................................................... 4
History of Tourism in Pakistan .................................................................................................. 5
Cultural and Heritage Tourism:.............................................................................................. 5
Mountaineering and Adventure Tourism: .............................................................................. 5
Islamic Heritage: .................................................................................................................... 6
Colonial Influence:................................................................................................................. 6
Revival Efforts: ...................................................................................................................... 6
Tourist Arrivals: ..................................................................................................................... 6
Infrastructure Development: .................................................................................................. 6
Marketing and Promotion: ..................................................................................................... 6
Security Situation:.................................................................................................................. 6
Challenges and Opportunities: ............................................................................................... 6
Travel and tourism development index of industry 2011-2021: ................................................ 7
Pakistan’s world ranking in Tourism ......................................................................................... 8
Federal and Provincial Government Policies ............................................................................. 8
The Role of Federal Government in Tourism .......................................................................... 10
Tourism Trade Bodies Operating in Pakistan .......................................................................... 13
Current trends and important stats ........................................................................................... 13
Key Challenges Faced by Pakistan’s Tourism Industry ........................................................... 18
Recommendations for the Development and Promotion of Tourism in Pakistan .................... 20
Conclusion ............................................................................................................................... 22

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THE ISLAMIC REPUBLIC OF PAKISTAN

Pakistan, a country with a wide variety of landscapes and a rich cultural legacy, entices visitors
with its amazing beauty and kind people. Pakistan is a sensory overload, with the serene
beaches along the Arabian Sea in the south and the majestic peaks of the Himalayas in the
north. Its colourful festivals, lively bazaars, and old ruins offer windows into its complex
cultural tapestry. Open arms greet guests, who are also offered delectable food and kind
hospitality. Pakistan offers an amazing trip of exploration and adventure, away from the throng
and amidst undisturbed natural splendour, whether trekking in the gorgeous mountains,
learning about historical civilizations, or losing oneself in the mystique of Sufi shrines.
Following are the famous places of Pakistan that attract the world to itself.

Figure 1: Gilgit Figure 2: Neelum Valley

Figure 3: Noor Mahal Figure 4: Badshahi Mosque

Figure 5: Faisal Mosque Figure 6: Mazar-e-Quaid

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Figure 7: The K2 Figure 8: Hunza

Figure 9: Sakardu Figure 10: Murree

Figure 11: Minar-e-Pakistan Figure 12: Pakistan Monument

Figure 13: Swat Valley

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TOURISM IN PAKISTAN

Executive Summary:
Pakistan's tourism sector has a wide range of opportunities and challenges. Pakistan, blessed
with exceptional natural landscapes, a wealth of cultural heritage, and significant landmarks,
had immense potential to become a top vacation destination. Nonetheless, the industry
confronts difficulties including inadequate infrastructure, little promotion, and security
concerns. In response to these challenges, the government has implemented several initiatives
to boost travel, including advertising campaigns, infrastructure upgrades, and regulatory
adjustments. Partnerships with the private and international sectors significantly increase
economic prospects. Pakistan is increasingly focusing on sustainable tourism techniques
to protect its natural and cultural resources. The industry's future depends on implementing
novel ideas, promoting creativity, and finding solutions to persistent issues. With careful
planning and concerted efforts, Pakistan's tourism industry has the ability to flourish and have
a significant influence on both cultural interchange and economic prosperity.

Introduction:
With its diverse range of tourist attractions, four distinct seasons, towering mountains, deserts,
expansive delta plains, and the sea, Pakistan is a really unique nation. This country is home to
one of the oldest civilizations in the world, magnificent landscapes, towering mountains and
peaks, historic and sacred places, unique arts and crafts, seasonal fluctuations, and a richness
of traditional and cultural heritage. These tourist spots are spread throughout four provinces,
with Gilgit-Baltistan and Azad Kashmir being two of them.

Type of tourisms in Pakistan


Domestic Tourism:
In any country, home tourism is significantly more significant than overseas tourist. Given the
absence of comprehensive statistics on this population, approximately 50 million people in
Pakistan have the capacity to travel domestically; most of them travel in private automobiles
with their families and in groups of five or more. In 2018, KPK alone had an estimated 5 million
tourists.
Foreign Tourism:
2019 had 1.458 billion international visitors worldwide. Pakistan received 1.225 million
foreign tourists in total in 2017. Pakistan's share in the global tourism market in 2017 was
barely 0.08%, a long cry from its potential. India received almost 10 million foreign tourists. It
is important to note that only 28,000 foreign visitors visited the nation in 2019 with a tourist
visa; those with business, family, or spouse visas are not included in this figure.
Contribution to Economy:
According to estimates from the World Travel & Tourism Council, the travel and tourism
industry directly contributed 2.9% of the GDP in 2017 (PKR 930.9bn, or USD 8,832.1mn). In
addition, 1,493,000 employment, or 2.5% of all vocations, were directly financed by travel and
tourism in 2017. The travel and tourism sector received USD 3,893.4 million, or 9.1%, of the
total investment of PKR 410.4 billion.

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The travel and tourism sector promotes rapid and widespread economic growth. It plays a
significant role in the community's employment growth. Taxes, mostly from the hotel business,
provide the government with a large amount of its income. An increase in tourism in a given
area boosts a variety of businesses, including lodging and dining establishments, retail and
wholesale trade, communications, air and ground transportation, and enterprises exclusive to
the tourist industry, such as tour guides and porters. Economic activity is boosted when visitors
spend money on various services including housing, dining, travel, shopping, etc.

History of Tourism in Pakistan


Pakistan's tourist industry has a long history that is closely linked to the natural beauty and
rich cultural legacy of the area. Pakistan's tourist industry has expanded and developed
significantly. In an effort to attract tourists, the government has been aggressively marketing
the nation's historical landmarks, scenic landscapes, and rich cultural legacy. Enhanced
security protocols have rendered travel to Pakistan more secure, drawing in a greater number
of visitors. The number of foreign and local tourists visiting the nation has increased; popular
travel destinations include cultural hubs like Lahore and Karachi, as well as northern regions
like Gilgit-Baltistan and Khyber Pakhtunkhwa. Trekking, climbing, and desert safaris are
examples of adventure tourism that has grown in popularity and helped Pakistan's tourist
sector as a whole. Over the past five years, Pakistan's tourist industry has involved a thorough
examination of a number of variables, including:

Government Initiatives:
A list of the various programmes, projects, and policies the government has implemented to
advance infrastructure, boost security, and encourage travel.
Cultural and Heritage Tourism:
Pakistan's rich cultural legacy, which includes its Islamic and Mughal architecture, historic
monuments, and ruins, remained a top draw for travellers. Historical sites including the
National Museum, the Shah Jahan Mosque, and the Lahore Fort might be found in cities like
Islamabad, Karachi, and Lahore.
History enthusiasts and researchers curious in Taxila's Buddhist and Gandharan roots flocked
to this ancient city, which is now recognised as a UNESCO World Heritage Site.
Mountaineering and Adventure Tourism:
Pakistan's northern areas, including Gilgit-Baltistan and Khyber Pakhtunkhwa, gained
recognition as premier destinations for mountaineering and adventure tourism. The majestic
peaks of the Karakoram, Himalayas, and Hindu Kush ranges attracted climbers, trekkers, and
adventure enthusiasts from around the world.

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Pakistan became well-known for its mountaineering when Italian climbers successfully
ascended K2, the second-highest peak in the world, in 1954. Expeditions to further summits
such as Nanga Parbat and Broad Peak subsequently enhanced the nation's image as a climbing
haven.
Islamic Heritage:
Pakistan emerged as a hub for Islamic art, architecture, and academia with the introduction of
Islam to the area in the 7th century. The nation's historic Islamic past is attested to by landmarks
like the Rohtas Fort in Punjab, the Shah Jahan Mosque in Theta, and the Badshahi Mosque and
Lahore Fort in Lahore.
Colonial Influence:
Pakistan's hill stations, such as Murree, Abbottabad, and Nathiagali, became well-liked
getaways for British officials looking for relief from the summer heat during the British
colonial period (19th and early 20th century). These hill stations' infrastructure and
architecture are clear remnants of colonialism.
Revival Efforts:
Pakistan has worked hard in recent years to bring its tourist sector back to life. To draw in
visitors, the government has started programmes to boost infrastructure, advertise travel, and
tighten security.
The goal of campaigns like "Visit Pakistan" is to promote domestic and foreign travel by
showcasing the nation's breathtaking scenery, rich cultural legacy, and friendly people.
Tourist Arrivals:
Charting the patterns of both domestic and foreign visitor arrivals, highlighting the busiest
times of year and the most popular travel destinations.
Infrastructure Development:
Providing examples of how transportation networks, lodging establishments, and other
infrastructure developments connected to tourism are developing.
Marketing and Promotion:
Describing the marketing techniques used, such as internet marketing, participation in travel
fairs, and partnerships with tourism stakeholders, to highlight Pakistan's potential for tourism
both locally and globally.
Security Situation:
Recording the alterations to the security environment and their impact on the attitudes and
actions of tourists.

Economic Impact:
Displaying the financial effects of tourism on the GDP, employment, and tourist industry
investment of the nation.
Challenges and Opportunities:
Recognizing the obstacles that the tourist sector must overcome, including gaps in the
infrastructure, red tape, and environmental issues, as well as the chances for expansion and
diversification.

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Travel and tourism development index of industry 2011-2021:
Between 2011 and 2021, Pakistan's travel and tourism industry saw significant changes. In an
effort to draw in visitors from abroad as well as from inside the nation, efforts were made to
highlight the nation's rich cultural legacy, varied landscapes, and historical landmarks.
Enhancing the tourism experience was the goal of infrastructure enhancements including
airport expansion and new hotel and resort building. Initiatives were also made to enhance
stability and security, which are essential for developing a favourable tourism environment.
But occasionally obstacles like natural catastrophes, security issues, and political unrest
prevented the industry's expansion. Notwithstanding these difficulties, Pakistan kept
demonstrating its promise as a travel destination, with the northern parts of the country
becoming more well-known for their breathtaking scenery and chances for adventure travel.

Pre-2015: Pakistan's tourist business suffered as a result of the country's serious security issues.
Due of safety concerns, there may not have been as many tourists at this time.

2015-2019: As security circumstances stabilised and the government concentrated on


marketing tourism, there could have been a steady improvement in the number of visitors. A
little rise in visitor arrivals is probably the result of efforts to highlight Pakistan's natural beauty,
historical landmarks, and cultural heritage.

2020: Worldwide tourism was negatively affected by the COVID-19 epidemic, and Pakistan
was not an exception. There was a dramatic drop in the number of tourists arriving due to travel
restrictions, lockdowns, and health issues. At this time, the travel and tourist sector almost
stopped.

2021: Depending on the pandemic scenario, travel may have begun to rebound as nations
progressively loosened restrictions and stepped up immunisation campaigns. Due to lingering
uncertainty, however, foreign travel may still have lagged behind pre-pandemic levels.

Travel and tourism development index of


industry 2011-2021

131
121 124

89
83

2011 2013 2017 2019 2021

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Pakistan’s world ranking in Tourism
Pakistan is ranked below with regard to the GDP and employment contributions made by
tourism.

Source: World Tourism & Travel Council (WTTC)

Federal and Provincial Government Policies


Pakistan formulated its initial National Tourism Policy in 1990. However, this strategy's
primary focus was on environmental challenges. It underlined how crucial it is that the ecology
and ecosystem be protected by the government. Since market forces cannot stop environmental
destruction, it was proposed that educational campaigns be started to support conservation
efforts and promote awareness. The objectives of the 1990 National Tourist Policy don't seem
to be enough to handle tourist development on its own. The policy, which placed a strong
emphasis on environmental conservation and preservation, ignored tourism's potential to
significantly boost economic growth, lower poverty, generate a large number of jobs, and
position Pakistan as a global brand that could benefit from the expanding opportunities for
trade, investment, and international travel. The stated objectives of the Tourism Policy 1990
were never achieved. The recommended educational programmes were never incorporated into
the curricula, and the republic's natural resources continued to deteriorate.
Moreover, a number of fundamental issues have prevented this Policy from being adopted very
frequently. The primary reasons for this implementation failure were a lack of involvement

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from stakeholders, vague public and private sector roles, institutional limitations, the incapacity
of pertinent departments and agencies, and financial limitations. The Tourism Ministry drafted
the National Tourism Policy in 2010, which is a little more detailed. The plan began by
outlining the challenges and restrictions that Pakistan's tourism industry faces before discussing
marketing and expansion strategies. While the marketing strategy placed more emphasis on
public-private partnerships, information technologies, target markets, and the diversification of
tourism products, the developmental strategy placed more emphasis on the role that the public
(federal and provincial governments) and private sectors play in the development of tourism.
It also indicated PPP opportunities in the country's tourism sector. The draft strategy also
recognised the importance of closer international and regional cooperation, cooperative
marketing through international organisations, and multi-country and bilateral partnerships for
the expansion of tourism. Even though the 2010 draft tourism policy was more extensive than
the national tourism policy of 1990, the Federal Tourism Ministry's dissolution as a result of
Pakistan's 18th Amendment to the Constitution caused the development of the national tourism
policy to be put on hold and the provinces to take over responsibility for tourism.
Punjab Tourism Policy 2019:
Since the 18th Amendment, every province has created its own tourism policy. Punjab's
tourism policy for 2019 was passed. The Punjab government will carry out this programme in
close collaboration with the business community, creating and marketing the province's
wetlands, landscape, ecology, history, heritage, festivals, food, religious heritage, and
archaeological assets—all without disturbing the socio-ecological balance. The government
and the business community will take the lead in developing the tourism plan. The regulation
states that new tourist locations could be classified as protected zones and need to be planned
out beforehand. Building state-of-the-art tourist infrastructure; ensuring visitor safety and
security; building a strong tourism brand; developing talent for tourism services; and ensuring
sustainable growth in the tourism industry are the five main areas of concentration outlined in
the policy. In order to ensure that the institutions are fixed, the policy instructs the tourism
department to make use of the Institutional Reform Package. It calls for better coordination and
alignment between the federal and provincial levels, enhanced public sector capacity to manage
the tourism industry, and support for private sector-driven development. Due to the untapped
potential of the tourism industry, the department of tourism has been tasked with enacting
supporting laws and regulations, setting regulations through the Regulatory Reforms Package,
securing funding through the Tourism Investment Package, forming public-private
partnerships, and offering incentives to private sector investors. The Punjab Tourism
Department has plans that emphasise religious tourism, which includes Sikhism, Buddhism,
Hinduism, spiritual tourism, cultural and heritage tourism, World Heritage Sites, the Indus
Valley Civilization, Mughal and British Era monuments, adventure and desert tourism, the
Cholistan and Thal Deserts, ecotourism, the Soan Valley, Salt Range, Urban and Recreational
Tourism, and the province's hilly regions of Murree. These plans are in addition to those that
focus on tourist destinations in Lahore, Multan, and Bahawalpur. Specific techniques are
recommended by the tourism plan for the travel sector, non-governmental organisations,
historical tourism, Sufi/Mystic tourism, hotels, tour operators, food safety, and tourist
information centres. Successful marketing, outreach, and communications through a
communications policy are also included in the plan in order to reach out to various levels of
the target audience. Encouraging coordination and information sharing across all spheres of
influence requires determining how to include stakeholders, upholding media advocacy,
encompassing all social classes, and providing support to women and youth.
The framework for implementing the policy will be overseen by the Tourism Development
group, a high-level body charged with spearheading its implementation, and by the Tourism
Department and its agencies' capacity building. The department of tourism has committed to

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developing a comprehensive implementation plan in order to implement the new policy and
implement reforms. It has recognised that the new policy is only the beginning of the process
of developing tourism in the province and establishing Punjab as a popular travel destination
internationally. The policy also stipulates a mid-course policy review after two years.

KPK Tourism Policy 2015:


The administration of Khyber Pakhtunkhwa has made the decision to prioritise the tourism
sector and make it one of the key engines of economic growth by establishing KPK as a top
travel destination for both domestic and foreign tourists. The first province tourism policy was
launched by the KPK administration in March 2015, following thorough consultations with
numerous key businesses and with support from USAID. The KPK tourism policy's main
objectives are to boost tourism in the province by at least 10% over the next five years, with
the ultimate goal being to establish Khyber Pakhtunkhwa as a top domestic and international
tourist destination in the short- to medium-term. In addition, the objective is to boost worker
quality, expand private sector investment, and establish a province-wide quality assurance plan
for suppliers of tourism services. Additionally, in an effort to attract private sector investment
for the travel and hotel industries, the KPK government has established a framework for public-
private partnerships.

The Role of Federal Government in Tourism


Federal tourism was given to the provinces after the 18th Amendment. With the exception of
PTDC, all federal government ministries were transferred to the provinces.
Prior to the 18th Amendment's enactment, the Ministry of Culture, Sports, Tourism, and Youth
Affairs was in charge of formulating regulations, advertising, and promoting both domestic
and foreign travel, as well as supervising and coordinating the activities of the public, private,
and federal sectors involved in the travel industry. The following field organisations provided
support to the Ministry in performing these tasks:

• Department of Tourism Services (DTS):

Established in 1976 as a result of the approval of three laws aimed at ensuring the standard and
quality of services that lodging facilities, tour companies, and travel agents would provide.
DTS is largely responsible for implementing this act across the country and ensuring that
visitors receive the amenities and services that have been promised to them. It has one federal
office and four provincial offices. DTS has been conducting business under incredibly outdated
legal frameworks, which are unacceptable on a national and international level. The fact that
those in charge of standards, enforcement, and licencing don't have the required credentials
exacerbates this. Essentially, they are untrained or inexperienced in an increasingly specialised
and internationalised area of the travel and tourism industry.The four provinces were granted
DTS regional offices after the 18th Amendment to the Pakistani Constitution. These offices are
now run by the respective provincial tourist ministries and are not formally affiliated with the
federal DTS office. This situation has caused DTS's performance to gradually deteriorate. As
a result, there is a lack of consistency and quality control in the travel product, and hotels, tour
companies, and travel agents in the private sector are dissatisfied and reluctant to engage in
significant marketing and collaboration with public tourism organisations.

• Pakistan Tourism Development Corporation (PTDC):

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The Companies Act of 1970 created it as a public limited company in April. It was created to
be the principal instrument used by the government to advance tourism in Pakistan. Its
objectives are to develop Pakistan's tourist infrastructure, promote the nation both domestically
and internationally, and serve as a catalyst for the private sector to become more involved in
the sector by arranging tours and offering ground handling services. PTDC is governed by an
appointed board of directors. The chairman is chosen by the government, or in the event that
no one is chosen, the Minister of Tourism fills the position. The top executive is the Managing
Director, who is the main person who reports to the Board. The ultimate decision regarding the
appointment of Managing Directors has frequently rested with Pakistan's Prime Minister. In
addition to operating a network of motels and hotels in well-known tourist locations, PTDC
has constructed 20 Tourist Information Centres (TICs) around Pakistan throughout the years.
It also established TDCP Motels Ltd., which takes over management of all the hospitality
divisions operated by PTDC, and Pakistan Tours Ltd., an inbound tour operator providing
ground handling and transportation services for both domestic and international tourists. It is
presently difficult for the management of PTDC to pay staff wages and overhead expenses due
to the Federal government's funding to the organisation declining after the Federal Ministry of
Tourism was devolved as a consequence of Pakistan's 18th Amendment to the Constitution in
2010. In contrast, provincial tourism authorities are requesting that PTDC give up control over
the properties it oversees inside their respective provinces.

• Pakistan Institute of Hotel & Tourism Management (PITHM) at Karachi:


The Pakistan Institution of Hotel & Tourism Management (PITHM) was founded in Karachi
in 1967 with the intention of training personnel for the hospitality industry, including
restaurants, hotels, airlines, and tour operators. Part of the initial funding came from the UNDP,
the ILO, and the Pakistani government. Since becoming a society in 1972 by virtue of the
Societies Registration Act 1860, the institute has functioned as a stand-alone organisation under
the guidance of a Board of Governors made up of representatives from the travel and hotel
sectors, PTDC, and the Department of Culture and Tourism of Sindh. It was under the Federal
Ministry of Tourism's control until 2010. After Pakistan's 18th Amendment to the Constitution,
the Department of Culture and Tourism Government of Sindh currently oversees it.The
institute's primary goal is to disseminate information by training individuals for Pakistan's
travel, hospitality, and tourism sectors. The institute periodically provides regular certificate
and diploma programmes that help achieve this. Even though PITHM is the oldest organisation
of its kind in Pakistan, it hasn't been able to fully accomplish its goals and objectives, and its
standards are well behind what the global hospitality and tourism industry requires.

• Pakistan Austrian Institute of Hotel and Tourism Management (PAITHM) Swat:


This institute was established in Gulibahar Swat in 2001 in accordance with the requirements
of the Vienna Agreement, which was negotiated at the time by the Austrian Development
Agency and the Federal Ministry of Tourism. Its objectives are to inspire young people to seek
attractive jobs in the tourist industry and to promote tourism and hospitality education through
the construction of a teaching hotel. The state-of-the-art institution complex has two
restaurants, four student dorms, a 26-room hotel with a conference room, and the
administration and institute block.. After the Talban revolt in Swat, it closed for a few years
after it launched for business in May 2006 and provided a few courses. After regaining control
of Swat from Talban in 2009, the Pakistan Army seized the institute building and used it as a
detention and rehabilitation centre. The institute's grounds are still held by the Pakistan Army.
The institute was renamed the KP Tourism Department after the 18th Amendment, and it is
now located in a small, rented building in Saidu Sharif Swat. It simply provides a few quick
courses for the hotel sector with assistance from NAVTTC.

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Provincial Tourism Management Bodies

• Tourism Development Corporation of Punjab (TDCP):

Punjab's Department of Forestry, Wildlife, Fisheries, and Tourism is in charge of creating the
province's tourism policy. The Secretary is the authorised authority responsible for tourism.
Like other provinces, the tourism sector was mostly ignored by the provincial government. The
Punjabi government established the Tourism Development Corporation of Punjab (TDCP) as
a public limited company in 1987 to address issues pertaining to tourism in the province. The
present prime minister and the former chief minister gave TDCP financial backing and an
influx of assets in the form of land due to their personal interests. Its objectives were stated as
follows:

1. To promote and develop tourism in Punjab


2. To establish tourism infrastructure
3. To promote and publicize the province’s history, culture and archeological monuments
and other features of interests to the tourists
4. To provide quality tourist transport facilities
5. To cooperate with the private sector to create tourist facilities and services.

TDCP has grown its network of regional offices to include locations in Bahawalpur, Multan,
Rawalpindi, and Murree in addition to its main office in Lahore. In the last thirty years, TDCP
has created a number of tourist attractions, such as the nearby town of Patriata, Fort Manro,
Changa Manga, Lalsohanra National Park, and a few wayside restaurants on GT road that leads
to Murree. It has also published pamphlets, brochures, and booklets marketing the province as
a travel destination, which has helped popularise several places in Punjab for domestic travel.
During its early years of operation, TDCP launched an air-conditioned tourist bus service to
numerous locations in Punjab in addition to a city sightseeing tour service in Lahore. Later,
TDCP entered the hospitality and tourism management education field by founding the
Institute of Tourist and Hotel Management (ITHM) in Lahore.
Even while ITHM offers diploma and certificate courses in hotel and tourism administration,
considering its present status as a training school both nationally and internationally, the
general quality of its instruction is very low. Excellent support from the province government
was initially provided to TDCP, but over time, the organisation gradually lost importance due
to a lack of finance, a decline in interest from the provincial government at all levels, and a
lack of professionalism among its staff. As was the case with PTDC, TDCP also engaged in
economic endeavours such as hotel management, tour operator, and transportation. The private
sector see this as a direct confrontation between the government and the business sector.

• Tourism Corporation Khyber Pakhtunkhwa TCKP and Sindh Tourism


Development Corporation (STDC):

Meanwhile, inspired by the Punjab government, the governments of Sindh and KPK
established provincial tourist development organisations and launched a plethora of tourism-
related projects in their respective areas. Like all government tourism organisations in Pakistan,
the Sindh Tourism Development Corporation (STDC) and Tourism Corporation Khyber
Pakhtunkhwa (TCKP) are constrained in their capacity to perform their intended duties by a
deficiency of professionalism and money.

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Tourism Trade Bodies Operating in Pakistan
The three main tourism-related businesses and trade associations that operate in the private
sector are as follows:

• The Pakistan Hotel Association (PHA):

The PHA is the recognised national voice of Pakistan's hospitality industry. It is a member of
many committees that were previously established by the Federal Ministry of Tourism, as well
as the PITHM Board of Governs. PHA is a member of the International Hotels Federation and
serves as the international body for national hotel associations. PHA is a company with an
executive office in Karachi, a highly capable management team, and a commitment to
accountability. Moreover, it hasn't assisted Pakistan's hotel industry in developing or increasing
its capacity up to this point, and its relationships with national and local public sector
organisations haven't been excellent either.

• Travel Agents Association of Pakistan (TAAP):

The national association for travel agents in Pakistan is called TAAP, as the
name suggests. It works closely not just with the aviation industry but also with federal and
provincial government entities. It was established in 1974 with the following objectives:
1. To safeguard the interests of the air travel industry and related services
2. To advance tourism in Pakistan; and to act as a platform for members' concerns and
opinions
3. To be discussed and supported in order to advance the interests of the nation's aviation,
travel, and tourism sectors with airlines, the government, and other official bodies.
Travel Agents of Pakistan recognises it as the official national trade association and it is a
worldwide member of the Universal Federation of Travel Agents Associations (UFTTAA).
TAAP has its office in Karachi and two regional chapters. Currently enjoying both domestic
and international importance, it is the most established and professionally operated travel
industry association in Pakistan.

• Pakistan Association of Tour Operators (PATO):

The members of the professional association for incoming tour operators, or PATO, have been
acknowledged and given authorization by the Department of Tourist Services (DTS). With its
main office in Islamabad and members spread across the nation, PATO is the representative
body for Pakistani tour operators and works closely with DTS on both the federal and municipal
levels. It is a very new trade group, thus it is still in its infancy.

Current trends and important stats


Pakistan's tourist sector has seen significant changes recently as a result of both regional and
worldwide trends.

• Domestic Tourism Boom:

Surprisingly, the COVID-19 epidemic spurred a rise in domestic tourism throughout Pakistan
despite causing disruptions to international travel. Local locations became popular among
families, couples, and lone travellers looking for accessible and safe vacation alternatives. The

13
abrupt change in consumer behaviour has raised demand for a range of services connected to
travel, which has an impact on the dynamics of the industry's supply chain. In order to satisfy
the changing demands of domestic travellers, suppliers like lodging facilities, dining
establishments, and transportation companies had to act fast. This resulted in changes to
inventory control, distribution routes, and service packages.
Stat: The Pakistan Tourism Development Corporation (PTDC) reports that domestic travel
increased by 30% in 2020 over the previous year. Pakistan Tourism Development Corporation
(PTDC) is the source.

• Focus on Adventure Tourism:

Pakistan is a centre for adventure tourism thanks to its stunning scenery, which includes
tranquil rivers and towering mountains. Passionate travellers from all over the world swarm to
discover hiking trails, partake in water sports, and participate in heart-pounding adventures.
Supply chain professionals have both special possibilities and problems as a result of this shift.
While tour operators must organise intricate itineraries and control risk factors related to
outdoor activities, logistics suppliers must guarantee the smooth delivery of adventure gear and
equipment to distant places. Furthermore, cooperation throughout the supply chain is required
to reduce environmental impacts and encourage responsible practices in response to the
growing demand for sustainable and eco-friendly adventure tourism experiences.

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Stat: According to the Adventure Travel Trade Association (ATTA), Pakistan had a 25%
increase in reservations for adventure travel in 2021 over 2020. Adventure Travel Trade
Association (ATTA) is a source.

• Heritage and Cultural Tourism:

Travellers looking for immersive cultural experiences are drawn to Pakistan because to its rich
cultural legacy, which spans millennia of history and a variety of traditions. Cultural events,
historical sites, and religious institutions provide a window into the rich legacy of the nation.
Stakeholders must carefully coordinate in order to preserve and promote these assets from a
supply chain and logistics perspective. In order to preserve cultural heritage for future
generations and improve the tourism experience, infrastructure development, historical site
management, and transportation services are essential.
Stat: Notwithstanding the difficulties caused by the epidemic, the Pakistani Archaeology
Department reported a 15% rise in visitors to historical sites in 2020. (Source: Pakistan's
Archaeology Department)

• Promotion of Eco-Tourism:

Eco-tourism has become one of the main areas of attention for Pakistan's tourist business as
people's understanding of environmental protection has grown. More and more tourists are
looking for environmentally friendly, sustainable travel experiences that reduce their negative
effects. By encouraging ethical sourcing methods, cutting waste, and optimising resource
utilisation, supply chain specialists play a critical role in advancing environmentally friendly
projects. To maintain the long-term viability of eco-tourism endeavours, cooperation between
tourism operators, local communities, and conservation organisations is important.
Stat: In 2021, eco-tourism activities in Pakistan increased by 20%, according to a research by
World Wide Fund for Nature (WWF) Pakistan. (WWF Pakistan, the World Wide Fund for
Nature).

• Digital Transformation:

The emergence of digital technology has completely changed how tourists in Pakistan plan,
schedule, and enjoy their trips. Tourism sites are now advertised and accessible to travellers in
a different way thanks to online platforms, social media channels, and virtual tour technology.
From the standpoint of the supply chain, this digital revolution offers chances to improve
consumer interaction, optimise inventory management, and streamline distribution networks.
While tourist stakeholders use data analytics to improve operational efficiency and personalise
marketing tactics, logistics suppliers use digital platforms to offer real-time monitoring and
delivery services.
Stat: Online reservations for travel rose by 35% in Pakistan in 2020, and another 20% rise was
anticipated in 2021, according to Statista. Statista is the source.

Technology Intervention/ Use of Al in tourism of Pakistan

Technology advancements and the application of AI have the potential to greatly improve
Pakistan's tourist industry's efficacy, affordability, and overall visitor experience. Here are a
few possible fixes:

Data Analytics for Demand Forecasting:

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Pakistani tourist officials are able to predict demand for different sites and attractions by
leveraging artificial intelligence and data analytics. Based on anticipated visitor numbers, this
can aid in the optimisation of resource allocation, including lodging, transportation, and
personnel.

Personalized Marketing and Recommendations:


AI systems are able to assess traveller preferences, historical behaviour, and demographics to
offer tailored suggestions for travel locations, activities, and packages. Through increased
engagement and conversion rates in marketing initiatives, this focused strategy can draw more
tourists to Pakistan.

Chatbots for Customer Service:


By integrating AI-powered chatbots on travel-related websites and mobile applications, visitors
may receive immediate assistance with their questions, get information about popular tourist
locations, and make reservations more easily. In addition to improving customer happiness,
this round-the-clock assistance may lighten the burden for human customer care agents.

Smart Destination Management:


Through the analysis of crowd data, peak period prediction, and visitor flow monitoring, AI-
based systems can optimise the administration of tourism locations. With the least amount of
traffic and resource waste, this data may be utilised to improve the overall visitor experience,
modify pricing plans, and put in place crowd control measures.

Virtual Reality (VR) Tours:


Virtual reality technology can provide virtual tours of Pakistan's tourism sites, enabling
prospective travellers to research locations from the comfort of their own homes. A more varied
tourist scene may result from this immersive experience, which may also serve as inspiration
for trip planning and raise awareness of lesser-known locations.

Resource Optimization:
Artificial intelligence (AI) algorithms can optimise the use of resources in the tourist sector,
including inventory management in souvenir stores, transportation route planning, and energy
use in hotels. Businesses may minimise their environmental impact and operational expenses
by optimising efficiency and minimising waste.

Language Translation Services:


AI-powered language translation services can help residents and visitors communicate more
easily, promoting interactions and cross-cultural exchanges. This might improve traveller
satisfaction generally and increase foreign tourists' ability to reach Pakistan.
Through the application of AI and technology in various domains, Pakistan's tourism industry
may become more competitive, draw more tourists, and support long-term economic
development.
Of course, let's take a closer look at each of these technological innovations in Pakistan's travel
and tourist sector:

Online Booking Platforms:


• Accommodations: There is a wide range of lodging alternatives available on websites
like Booking.com, Airbnb, and local entrepreneurs, from affordable hostels to opulent
resorts. In order to suggest appropriate lodging, AI algorithms evaluate user preferences,

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search history, and behaviour. This streamlines the booking process and guarantees
individualised experiences.
• Transportation: For visitors visiting cities, ride-hailing applications like Careem and
Uber offer handy transportation choices. These systems use AI to optimise routes,
estimate fares, and assign drivers, making travel more economical and efficient.
• Tour Packages: Tour packages are available for a variety of places in Pakistan through
travel companies and internet platforms. These packages are customised by AI algorithms
according to hobbies, travel dates, and financial limitations, which maximises fun and
minimises expenses.

Virtual Tours and Experiences:


• Virtual Reality (VR): Through immersive virtual reality experiences, tourists may
discover famous places, historical buildings, and breathtaking natural formations. For
instance, tourists can experience the Lahore Fort and Taxila Museum from anywhere in the
world by using the virtual tours available for these historical locations.
• Augmented Reality (AR): By superimposing digital content over the real world,
augmented reality apps improve the onsite experience. While visiting sights like the Faisal
Mosque or Shalimar Gardens, tourists may utilise augmented reality (AR) applications to
examine 3D reconstructions, learn about historical structures, and access interactive guides.
• Customer Insights: To understand the behaviour and interests of its customers, tourism
organisations examine data from a variety of sources, such as website traffic, social media
interactions, and booking trends. Analytics technologies driven by AI can spot patterns,
forecast changes in demand, and group clients according to their characteristics, passions,
and past reservations.
• Personalized Marketing: Equipped with consumer data, companies may design marketing
programmes that are specifically aimed at particular audience segments. In order to
maximise engagement and conversions, AI algorithms optimise ad placements, text, and
offers. This increases consumer happiness and return on investment.
Smart Destination Management Systems:
Smart Destination Management Systems (DMS) in Pakistan leverage AI and IoT technology
to improve tourism operations. They monitor visitor flow, resource utilisation, enhance safety,
and provide customised guidance. These systems are critical to boosting tourism's efficacy,
promoting sustainability, and solidifying Pakistan's position as a top vacation destination.
Crowd Management:
At well-known tourist locations, AI-powered systems track visitor flows, movement patterns,
and crowd density. Destination managers may guarantee a smooth tourist experience by
implementing crowd management measures, adjusting capacity restrictions, and identifying
congestion locations with the use of real-time data analytics.
Resource Allocation: Based on anticipated demand and visitor behaviour, smart systems
optimise the distribution of resources including parking spots, public places, and security staff.
By being proactive, waste is reduced, efficiency is increased, and the general standard of
tourism services is raised. These technological advancements—powered by artificial
intelligence and data analytics—are transforming Pakistan's travel and tourism sector by
increasing accessibility, customisation, and sustainability.

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Key Challenges Faced by Pakistan’s Tourism Industry
Pakistan's tourist industry faces significant infrastructure difficulties, particularly in the
country's most remote and rural areas. The absence of modern transport infrastructure, the lack
of adequate road networks, and the dearth of hotel options obstruct the free movement of
passengers and goods, which negatively impacts the overall tourism experience. For instance,
a lot of the tourist sites in the northern areas are only accessible via winding, narrow roads,
which complicate travel for large vehicles and increase journey times. Moreover, the scarcity
of first-rate accommodation in these places often leads to traffic during the peak travel seasons,
which strains the area's already-damaged infrastructure. Building new roads, transport
networks, and hotels will need a large financial investment in order to get over these physical
limitations. In order to ensure sustainable growth and equitable access to tourism sites, strategic
planning is also required. (Source: "Pakistan Tourism Sector Assessment", Asian Development
Bank (ADB), 2021.)
Security Concerns:
Security concerns continue to be a major deterrent for travellers to Pakistan, particularly in
regions where political upheaval and violence are prevalent. Perceived security problems,
terrorist attacks, and sporadic violence damage the nation's reputation as a tourism destination,
which impacts both local and foreign visitor arrivals. The presence of armed security guards,
security checkpoints, and limited access zones cause disruptions to travel arrangements and
enhance visitors' discomfort. Supply chain and logistics experts face challenges related to
security when it comes to risk assessment, route planning, and ensuring the safety of passengers
and supply chain employees. Logistics businesses must handle these security risks while
transporting products and services to tourist destinations; this usually necessitates working with
local authorities and putting stringent security measures in place. (Source: Institute of Strategic
Studies Islamabad (ISSI) - "Security Challenges in Pakistan's Tourism Industry", 2020.)

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Seasonal Variability:
The supply chain and logistics management are posed with inherent obstacles by Pakistan's
seasonal tourism industry. Well-known travel locations, like the northern regions, have peak
seasons with spikes in visitor numbers, and off-peak times with sharp drops in demand. For
tourism-related firms, this seasonal unpredictability presents difficulties with capacity
planning, inventory control, and personnel management. Over the year, logistics providers
must adjust their operations to suit the changing demands of the tourism industry and manage
demand variations. This frequently calls for adaptable supply chain strategies and responsive
logistics solutions. (Source: Dawn - "Challenges of Seasonal Tourism in Pakistan's Northern
Areas", 2021.)
Environmental Sustainability:
As Pakistan's tourist industry grows, concerns about environmental sustainability and
ecological preservation become more pressing. Irresponsible tourist practices that endanger
natural landscapes and sensitive ecosystems, such overdevelopment, pollution, and habitat loss,
pose a challenge to the long-term survival of tourism destinations. Supply chain and logistics
management need to reduce carbon emissions, reduce waste generation, and include
environmentally friendly practices throughout the whole supply chain in order to support
sustainable tourism. However, striking a balance between economic expansion and
environmental protection is a challenging undertaking that necessitates collaboration from all
players in the tourism supply chain.

Digital Divide:
The digital gap, unequal access to technology, and unequal distribution of internet connectivity
pose problems for Pakistan's tourist industry. Large tourist destinations and metropolitan areas
could have digital networks and fast internet access, but remote and rural areas don't always
have reliable connectivity or digital literacy. The tourist industry's adoption of digital
technologies and e-commerce solutions is hindered by the digital divide, which reduces the
profitability of small and medium-sized travel agencies. Furthermore, the fact that a large
number of tourism businesses still use cash transactions and manual processes hinders the
efficacy and visibility of supply chain management. To overcome the gap, it will be essential
to expand internet infrastructure, improve digital literacy, and promote the use of digital
platforms for customer contact, marketing, and trip booking.

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Recommendations for the Development and Promotion of Tourism in
Pakistan

• Infrastructure Enhancement:

It is imperative to put into action a thorough


infrastructure development plan that is
customised to the unique requirements of
tourist locations. This entails setting aside
money for the building and maintenance of
road networks, especially in rural and
underdeveloped regions. Improving the
accessibility of well-known tourist
locations is another benefit of improving
transportation infrastructure, such as
airports and railroads. In addition, well-
considered investments in housing choices,
such as hotels, hostels, and campsites,
satisfy the needs of a variety of tourists and
encourage the growth of sustainable tourism. It is advisable that you collaborate with public
and private entities to prioritise infrastructure projects based on their capacity to attract tourists
and their environmental sustainability. When developing infrastructure, take a phased strategy,
focusing first on popular tourist destinations and gradually expanding to less well-known areas.

Recommendation:

It is imperative to put into action a thorough infrastructure development plan that is


customized to the unique requirements of tourist locations. This entails setting aside money
for the building and maintenance of road networks, especially in rural and underdeveloped
regions. Improving the accessibility of well-known tourist locations is another benefit of
improving transportation infrastructure, such as airports and railroads. In addition, well-
considered investments in housing choices, such as hotels, hostels, and campsites, satisfy the
needs of a variety of tourists and encourage the growth of sustainable tourism.
Collaborating with public and private entities to evaluate infrastructure projects based on
their potential for tourism and environmental sustainability is a recommended course of
action.
Adopting a phased approach to infrastructure development, focusing first on popular tourist
destinations and gradually expanding to less well-known areas.

• Security Measures:

Enhancing security measures through increased monitoring, information exchange, and


community engagement is essential to guaranteeing the safety of tourists. This calls for
stationing knowledgeable security officers at well-known tourist locations, implementing state-
of-the-art security protocols, and routinely evaluating the risk to identify potential threats.
Furthermore, fostering cooperation between law enforcement, travel agencies, and local
communities strengthens the security ecosystem overall and increases tourist trust.

Recommendation:

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Give employees in the tourist industry specialised training to broaden their understanding of
security protocols and emergency response. Establish dedicated tourism police units whose
goal is to safeguard visitors' security and safety, with a focus on high-risk areas. Utilise
technology as well, such as smartphone applications and emergency hotlines, to enable
travellers to report safety problems and receive immediate assistance.

• Managing Seasonal Variability:

For best use of resources and maximise operational efficiency, flexible supply chain
management solutions that are in line with seasonal swings in demand must be put into practice.
This entails projecting demand patterns using past data and current market trends, modifying
inventory levels appropriately, and assigning temporary workers to high-demand periods.
Furthermore, boosting off-peak activities and broadening the range of products offered might
help lessen the negative effects of seasonality on tourism-related firms.

Recommendation:

Encourage cooperation between tourism stakeholders to create creative marketing strategies


and exclusive offers meant to draw tourists during off-peak times. Make investments in
infrastructure improvements to increase year-round accessibility to tourism sites, such as all-
weather roads and snow-clearing machinery. Additionally, encourage spending on off-peak
travel experiences by offering tax benefits and financial aid.

• Encouraging Sustainability in the Environment:


Adopting sustainable tourist practises that lessen their detrimental impacts on the environment
and promote conservation is imperative if Pakistan is to retain its natural heritage. This means
incorporating energy- and water-saving, waste-reduction, and other environmentally friendly
activities all the way up the tourist supply chain. Furthermore, promoting environmental
consciousness among tourists and community involvement in conservation efforts bolster
ethical tourism practices.

Recommendation:
Establish certification programmes and eco-labeling campaigns to recognise and encourage
travel agencies using sustainable practices. In partnership with local communities and
environmental organisations, develop conservation programmes including forestry campaigns
and habitat restoration programmes. Incorporate sustainability criteria into laws and
regulations related to the expansion of tourism in order to further ensure long-term
environmental preservation.

• Reducing the Digital Divide:


Closing the digital gap and promoting competitiveness and inclusive growth in the tourist
sector need the creation of digital literacy programmes, infrastructural development, and
technology adoption initiatives. To enhance digital literacy among tourist stakeholders, this
means providing internet access to remote and rural areas, providing educational and capacity-
building initiatives, and promoting the use of digital platforms for marketing, booking, and
customer service.

Recommendation:
By collaborating with governmental agencies and telecom companies, use state-of-the-art
technologies such as satellite internet and mobile networks to accelerate the installation of

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broadband infrastructure in underserved regions. Establish training centres and virtual learning
platforms where tourism industry experts may sign up for courses on digital literacy.

Conclusion
Pakistan's tourism sector offers an array of experiences that are just waiting to be explored, and
it represents a glimmer of hope for the nation's economic and cultural variety. From the ancient
ruins of Mohenjo-Daro to the busy bazaars of Peshawar, and from the stunning peaks of the
Himalayas in the north to the historic towns of Lahore and Karachi in the south, Pakistan has
a wealth of intriguing places to see. International collaboration and concerted efforts from the
public and private sectors are promoting growth in spite of challenges including infrastructure
limitations and security concerns.
Infrastructure development, including the construction of new hotels and transport networks,
is improving accessibility to remote locations and the overall tourist experience. Additionally,
due of targeted marketing campaigns and promotional measures that are attracting an
increasing number of domestic and international tourists, Pakistan's tourism potential is
becoming more generally known. Pakistan's greatest assets are its stunning natural
surroundings and rich cultural heritage, but the country is now embracing technology to
enhance visitor experiences. The convergence of intelligent destination management systems,
virtual reality experiences, and AI-driven chatbots is revolutionising the way that travellers
explore and engage with destinations.
Apart from optimising procedures, these technologies offer engaging and personalised travel
experiences that cater to the evolving needs and preferences of modern-day tourists. In
addition, Pakistan is beginning to prioritise sustainability more when it comes to growing its
tourism sector. Initiatives to preserve natural ecosystems, safeguard cultural heritage places,
and promote responsible tourism practices are being made in an effort to reconcile the benefits
of tourism with the imperative of environmental and cultural conservation. Initiatives like eco-
friendly housing and community-based tourism strengthen local communities and promote a
sense of responsibility among visitors.
Pakistan's continuous endeavours to showcase its wealth to the world not only provide
prospects for economic expansion but also foster mutual comprehension and appreciation of
other cultures. Pakistan is cultivating its tourism industry with a focus on innovation, quality,
and sustainability, resulting in the creation of memories, long-lasting connections, and positive
influence over travellers from across the globe.By doing this, Pakistan's tourism sector
advances the development and prosperity of the nation while also enhancing the lives of all
those who discover its riches.

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References

https://tourism.gov.pk/
https://www.mdpi.com/2071-1050/13/9/4902
https://tourism.gov.pk/advertisements/Pakistan Tourism Barometer - Edition 2022.pdf
https://pakistantravelplaces.com/
https://tourism.gov.pk/pakistan.html
https://www.slideshare.net/slideshow/tourism-in-pakistan-60756232/60756232
https://islamabad.embassy.qa/en/republic-of-pakistan/tourism
https://webunwto.s3-eu-west-
1.amazonaws.com/imported_images/49605/tourism_development_in_pakistan_a_rana.pdfxc

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