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Tourism in Canada

Tourism is a complete and naturally related collection of services with a single unifying purpose: to provide transportation, accommodation (see Hotel), food and beverage services, recreation and entertainment to Canadians or foreigners travelling in Canada for business, leisure, or anything in between. Tourism stands as one of Canada’s most impactful and fastest-growing industries, earning $140.5 billion in 2025.

Niagara Falls

Early Tourism in Canada

Tourism dates back to the early history of Canada. Writings by the early explorers and traders contributed to the growing knowledge of the Canadian landscape, still the primary attraction of Canada's tourism industry (see Exploration and Travel Literature in French; Exploration Literature; Travel Literature).

From the mid-18th to the early 19th century topographic painters recorded an idealized landscape, scenes that were often reproduced as engravings in travel books published in Europe. The Canadian Pacific Railway, through its rail and steamship services, its hotels and publicity campaigns, attracted affluent European and American tourists to Canada.


Oakville Harbour

Modernizing of Tourism

Modern travel and the opportunity for mass travel came with the jet airplane (see Aviation; Air Transport Industry). Business travel illustrates the degree of change: by 1986, travel and related expenses were the third-largest expenditure of Canadian business, after payroll and data-processing expenditures. Canadian companies spent $3 billion that year.

Beginning in 1984, Canada experienced a turnaround following 10 years of decline during which its balance of payments deficit on the international travel account had grown from $300 million to $2.2 billion. Foreign visitors increased 18 per cent in 1986, making it an exceptional year for the industry. The primary reasons for this growth were Expo 86 in Vancouver, a favourable exchange rate with the United States, an aggressive federal government advertising campaign in the US and negative incidents in other parts of the world which discouraged North Americans from travelling overseas.

During that period of fast growth in the mid-1980s, Canada welcomed many travellers from Pacific Rim countries such as Japan and Hong Kong, as well as visitors from Europe (United Kingdom, France, West Germany, the Netherlands) and Australia. Still, American tourists continued to be Canada’s primary source of visitors, comprising over 85 per cent of its tourism market.

21st Century

In 2025, Canada's tourism industry generated $140.5 billion, employing, directly or indirectly, approximately 10 per cent of the labour force. Catering to tourists in Canada involves 280,000 businesses across over 70 industries from coast to coast to coast. These businesses, ranging from hotels and motels to eating places and travel agencies, served nearly 20 million international visitors in 2024. However, the bulk of Canada's tourism comes from Canadians travelling in and exploring their own country.

Contemporary Canadian tourist attractions are often the same as those extolled by early travel writers —  the fjorded coast of British Columbia; the majestic grandeur of the Canadian Rockies; the wide open spaces of the Prairies; the lakes, forests and rivers of central Canada; the Atlantic coast in its variety of bays, coves, beaches and scenic vistas; the arctic environment and people; and, of course, such old favourites as Niagara Falls. The works of humans have been added to these natural assets through the development of modern and sophisticated cities, and through galleries and museums, performing arts, historic sites, festivals, and events such as Expo 86, the Calgary Stampede and winter Olympic Games. Canada is known to most of the world as a tourist destination through its scenery, space and environment.

Federal Government and the Tourism Industry Association of Canada (TIAC)

At the federal level, tourism is the responsibility of the Secretary of State for Small Business and Tourism in the Department of Innovation, Science and Economic Development. The promotion and development of tourism through a designated federal agency dates from 1934.

The recognized national industry association is the Ottawa-based Tourism Industry Association of Canada (TIAC). It is an umbrella organization representing private sector companies, organizations, institutions and individuals engaged in tourism in Canada and working in partnership with provincial and territorial tourism-industry associations. TIAC has represented the Canadian tourism industry since its foundation in 1930. It exists to lobby government, to communicate with industry, and to increase public awareness of the importance of tourism and the need for public support.

Fraser Canyon