Global travel and tourism conditions have improved across most economies, but higher costs, labor shortages, infrastructure pressure and geopolitical risks are creating new challenges for the industry, according to the World Economic Forum’s 2026 Travel & Tourism Development Index (TTDI).

The index, released in Geneva on Sept. 25, found that 101 of 110 economies improved their scores between 2024 and 2026. The average score increased 2.1%, marking the fastest improvement since 2019. The WEF said gains were supported by stronger tourism infrastructure, services, cultural resources, air connectivity and business travel.

Japan Moves To The Top

Japan ranked first in the 2026 index, followed by the US, Spain, Australia and France. Advanced economies occupied nine of the top 10 positions.

The result marks a change from the 2024 index, when the US ranked first and Japan was third. The 2024 ranking covered 119 economies, while the 2026 edition covers 110.

The WEF said Japan's tourism position has been supported by efforts to broaden international demand and promote destinations beyond its major tourism hubs. Japan recorded 42.7 million international visitors in 2025, according to figures cited by the WEF.

Emerging Markets Gain Ground

The latest index also points to faster improvement among major emerging tourism economies. The WEF said their scores have risen more than twice as quickly as those of the top 20 economies since 2019.

Asia-Pacific accounted for seven of the 10 fastest-improving economies. Albania recorded the largest overall improvement between 2024 and 2026. Laos, Malaysia and Thailand were among the strong performers cited by the WEF.

Tourism Faces New Pressures

The WEF said travel became less affordable in three out of four economies between 2024 and 2026. It also identified investment gaps, workforce shortages and pressure on local communities as risks to future tourism growth.

The TTDI measures the conditions that support sustainable and resilient tourism. It does not directly measure visitor arrivals, tourism revenue or spending. Its 2026 edition uses 17 pillars and 102 indicators across 110 economies.

The findings come ahead of World Tourism Day on Sept. 27. They highlight the challenge of managing growing tourism demand while maintaining infrastructure, workforce capacity and benefits for local communities.