Analytics, Estonia, Good for Business, Tourism

In 2013, nearly three million people were accommodated; the number grew by 5% in a year. The main tourist attraction was again Tallinn, which accounts for about half of the overnight stays of tourists.

Although the European economy remained in standstill, tourist trips grew more than expected. Russian tourist demand increased strongly, which also had an impact on Estonia. Tourism sector's economic indicators remained rather modest despite the demand growth, but that primarily in the accommodation sector.

Accommodation services price growth was two times slower than a year earlier, but the average cost per day rose more than four percent. In 2012, the price level of Estonian hotels and restaurants was by about a quarter lower than the European Union average.

Increasing flow of tourists from Russia continued to support the accommodation sector. The number of stays of Russian tourists in accommodation establishments and the number of overnight stays increased by 14% in a year. Numerically, the number of tourists from Finland increased most. In addition, growth in demand was seen from Asian countries, Latvia and Lithuania.

The tourism industry's share of the Estonian GDP and employment is, when including indirect effects, approximately seven percent, and tourism makes a significant contribution to export earnings. Estonia's tourism sector relies largely on foreign visitors, who account for about 70% of all overnight stays in accommodation establishments. Nearly one-fifth of the tourists are Finns who stay in Estonia for just a day, while the number of visits from other countries has increased at a faster pace, and reduced dependence on the Finnish market.

In the future, growth in travelling is expected, which also supports the Estonian companies.