The research highlights the destinations and source markets expected to drive the next phase of tourism growth across the region.

The updated outlook projects that international visitor arrivals (IVAs) across 39 Asia Pacific destinations will reach 714.9 million in 2026, increasing to 758.8 million in 2027 and 789.2 million by 2028. By the end of the forecast period, visitor arrivals are expected to reach 115.6% of 2019 levels, confirming that the region has moved beyond recovery and entered a new phase of tourism expansion. 

“Change is no longer an occasional disruption; it is the new constant,” said PATA CEO Noor Ahmad Hamid. “The destinations and organisations that thrive will be those that can adapt quickly, innovate continuously, and respond with agility to an increasingly complex and fast-changing world.”

“The latest forecasts demonstrate the remarkable resilience of Asia Pacific tourism. While the region continues to grow and recover, success will increasingly depend on destinations’ ability to navigate geopolitical uncertainty, evolving traveller behaviour, connectivity challenges, and rising operational costs. This is precisely why timely, data-driven insights have become essential for strategic decision-making.”

One of the report’s key findings is the growing divergence in destination performance across Asia Pacific. While the region as a whole is expanding, some destinations are significantly outperforming others in terms of growth and recovery.

Highlights: APAC destination recovery and growth

Among the region’s 10 largest destinations, Vietnam is forecast to record the strongest growth between 2025 and 2027, with IVAs increasing by 31.2% to reach 27.8 million. This is followed by Macao, China (+19.4%), Japan (+15.8%), Hong Kong SAR (+13.9%), Türkiye (+12.7%), and Malaysia (+11.6%), reflecting strong demand, enhanced connectivity, and continued investment in tourism development.

By contrast, some of the region’s largest destinations are entering a more mature phase of growth. China, while remaining Asia Pacific’s largest destination with 157.8 million arrivals projected in 2027, is expected to grow by just 2.2% over 2025 levels. Thailand and the USA are likewise forecast to record more modest gains of 5.2% and 9.0% respectively, highlighting increasing competition across the region.

Looking further ahead, Mongolia is forecast to achieve the highest recovery rate by 2028, reaching 177.8% of its 2019 arrival levels. Japan, the Maldives, Vietnam, and Sri Lanka are also projected to outperform their pre-pandemic benchmarks significantly.

On the other hand, Thailand is expected to return to its pre-pandemic level only by 2028. The USA, Chinese Taipei, the Philippines, Myanmar, and several Pacific Island destinations, however, are projected to remain in recovery mode through to the end of the forecast period.

Of the 39 destinations included in the report, about 27 are projected to exceed pre-pandemic arrival volumes in 2027, rising to 30 in 2028.

Notable outbound market sources

The forecasts also provide important guidance for destination marketing organisations, airlines, airports, and tourism investors. China is projected to remain the Asia Pacific region’s largest outbound source market in 2027, generating nearly 127 million visitor arrivals across the region, followed by the USA with 65.2 million. Both markets are expected to grow by approximately 18% compared to 2025.

Korea (ROK), Canada, and Mexico are also forecast to generate substantial outbound traveller volumes, although growth rates are expected to vary across these markets.

Challenges and opportunities on the horizon

Despite the positive outlook, the report identifies several risks that could influence tourism performance over the coming years. Escalating geopolitical tensions and energy market volatility have increased concerns regarding fuel prices, aviation costs, and air connectivity. Continued inflationary pressures and higher living costs in several source markets may also affect discretionary travel spending, particularly among middle-income households and long-haul travellers.

At the same time, expanding airline networks, airport developments, improved visa facilitation measures, and strengthening intra-regional travel demand are expected to support continued growth across many destinations.

The PATA Asia Pacific Visitor Forecasts 2026-2028: Mid-Year Update provides annual and quarterly forecasts for 39 destinations across Asia Pacific, alongside analysis of major source markets, destination performance trends, and the macroeconomic and geopolitical factors shaping the future of tourism.

The report can be purchased on the PATA website at the following link: www.pata.org/research-q1v63g6n2dw/p/apac-visitor-forecast-2026-2028-midyear-update.

(Source: PATA)

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The 394-key hotel is located in Port Moresby’s central business and government district, a five-minute drive from Jacksons International Airport and connected to the Vision City Mega Mall – marking Marriott International’s second property in the country and a significant milestone for the brand’s expansion in the Pacific.

Meetings, Dining & Social Spaces: More than 2,500 sqm of meeting and event space, including Papua New Guinea’s largest ballroom, complemented by multiple dining venues and the new Sheraton Club.

Wellness & Recreation: An infinity swimming pool, one of Port Moresby’s largest fitness centres and a full-service day spa.

The integration with retail, dining, and entertainment reinforces the hotel’s role as a central hub, offering guests continuous security and peace of mind while staying in Port Moresby.

(Source: Sheraton Hotels & Resorts)

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This agreement enables SriLankan Airlines passengers to access 17 popular domestic destinations across the Maldives.

The arrangement allows passengers to book journeys involving both carriers under a single electronic ticket. This applies to all inbound and outbound travel via Velana International Airport in Malé and Gan International Airport on Gan Island, ensuring a smooth end-to-end travel experience.

By connecting SriLankan Airlines’ international network with Maldivian’s extensive domestic operations, the agreement significantly improves access to remote and popular island destinations within the Maldives. This is expected to benefit both leisure and business travellers seeking efficient transfers in the archipelago.

SriLankan Airlines continues to operate three daily flights to Velana International Airport in Malé and two weekly flights to Gan International Airport on Gan Island, ensuring strong connectivity to the Maldives. 

The airline operates an extensive international network, with these services providing convenient connections to and from its global destinations.

This initiative also creates new opportunities for travel agents, tour operators, corporate travel planners, and individual passengers, with more streamlined booking options expected to drive increased passenger traffic and boost sales on both the Malé and Gan routes.

SriLankan Airlines Head of Commercial, Dimuthu Tennakoon stated: “Our collaboration with Maldivian represents an important milestone in expanding our regional footprint and enhancing travel convenience for our customers. By integrating our global network with Maldivian’s domestic connectivity, we are unlocking greater access across the Maldives while creating new opportunities for growth across key commercial segments.”

Maldives Manager Nayomi Tennakoon added: “This interline partnership with Maldivian opens access to SriLankan Airlines’ global network through both Malé and Gan Island, extending further to numerous domestic destinations. Travellers can now experience the true diversity of the Maldivian archipelago through a single, seamless itinerary.”

SriLankan Airlines connects passengers to 130 destinations across 63 countries, including through codeshare partnerships, and serves 33 main online destinations across its network. Its direct services span cities across Europe, Australia, the Middle East, the Indian Subcontinent and Asia. The airline operates an all-Airbus fleet, comprising state-of-the-art A330-200/300 and A320/321 aircraft.

(Source: SriLankan)

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As the family-owned business approaches its centenary in 2027, the occasion was a reminder of the story at the heart of the family cruise venture’s legacy.

“As the third generation to lead our family business, Ostara represents our commitment to the future; a next-generation river ship, designed for the next generation of APT travellers. Sharing this milestone with my daughter today was especially meaningful. It was a reminder that family businesses are built by thinking beyond today,” said Family Principal and Director Lou Tandy.

The APT Travel Group CEO David Cox added: “As we approach our centenary, Ostara and Solara are a reflection of both our heritage and our future. They honour nearly 100 years of experience while demonstrating our commitment to continued growth, innovation and investment in the guest experience. These ships build on everything APT is known for, while helping shape the next chapter of our business and the journeys we’ll create for future generations of travellers.” 

Like her sister ship, APT Ostara’s interiors were designed by acclaimed Melbourne-based studio Hecker Guthrie, bringing the same sophistication to every space onboard. 

With a capacity for just 154 guests, APT Ostara mirrors the refined design of her sister ship, featuring the same expansive Balcony and Owner’s Suites, and The Grüner Bar & Dining, which lifts hydraulically to offer sweeping 360-degree views from the Sun Deck. Dining is at the heart of the experience, with six distinctive venues plus in-suite dining. 

APT’s river cruise packages cover Europe’s iconic rivers plus Australia’s Murray, China’s Yangtze, South America’s Amazon, Southeast Asia’s Mekong and India’s Lower Ganges. 

About APT
The APT Travel Group’s flagship brand, APT has pioneered a diverse range of cruising and touring styles to deliver holidays that take in every corner of the globe. www.aptouring.com/en-au

(Source: APT)

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The technology giant’s latest earnings provided investors with the proof many had been seeking that massive investment in AI infrastructure is producing measurable commercial returns rather than simply increasing costs.

The company reported stronger-than-expected growth in its Azure platform, demonstrating that demand for AI services continues to accelerate and translate into higher revenues. 

Azure is Microsoft’s cloud computing platform, similar to Amazon Web Services (AWS) from Amazon and Google Cloud from Google.

Think of Azure as a vast global network of data centres that provides computing power, storage and artificial intelligence services over the internet.

For AI, this is especially important because it:

Hosts AI models such as OpenAI’s ChatGPT for businesses.

Provides the computing power needed to train and run AI systems.

Enables companies to build their own AI applications without needing to own expensive supercomputers.

Stores and processes enormous amounts of data.

The company also reaffirmed its commitment to substantial AI capital expenditure, while customer demand still exceeds available computing capacity, indicating that the industry’s expansion is far from complete.

Investors responded enthusiastically. Microsoft shares rose about 15 to 16 per cent following the announcement, adding almost US$450 billion in market value in a single trading session, the largest one-day increase ever recorded by a public company.

The results helped answer one of the market’s biggest questions following the recent semiconductor correction: would the world’s largest cloud providers begin cutting AI investment?

The answer was a clear no.

This demonstrated that AI is already driving significant growth and confirmed that companies intend to continue investing aggressively to meet rising demand.

Travel and Tourism’s relationship with AI.

Amazon added further support by reporting strong performance in Amazon Web Services while increasing planned AI investment to approximately US$220 billion for 2026. Although Meta’s results this week highlighted pressure on free cash flow and margins from heavy AI spending, it also maintained its long-term commitment to AI development.

Together, these announcements helped trigger a strong recovery in semiconductor shares, including South Korean leaders SK hynix and Samsung Electronics, both major suppliers of advanced high-bandwidth memory chips that power AI systems.

Why this matters for travel and tourism

Having worked in hotels and tourism for more than four decades, I have witnessed countless technological advances, from the arrival of computerised reservations to the internet, online booking platforms and mobile travel. Artificial intelligence represents the next major step in that evolution.

From my own experience, I have seen AI move rapidly from being an interesting concept to becoming a practical tool used every day across the travel and hospitality industry.

Hotels are increasingly using AI to respond more quickly to guest requests, improve customer communications and assist staff in delivering more personalised service. Airlines are applying AI to optimise schedules, predict maintenance needs, and improve operational efficiency, while destinations and travel companies are embracing intelligent systems to enhance customer engagement and simplify planning.

Perhaps most encouraging has been the enthusiasm shown by a new generation of hospitality professionals. Since the industry’s rebuilding following the Covid-19 pandemic, I have observed many younger colleagues naturally embracing AI in their daily work. Whether preparing reports, analysing data, improving communication, or responding more efficiently to guests, they use these tools not to replace personal service but to enhance it.

I have also seen AI increasingly supporting hotels, restaurants and airport front-line customer contacts. From information services and concierge assistance to handling requests and responding more quickly to service demands, AI is helping hospitality professionals spend less time on routine tasks and more time focusing on customers and guests.

In my view, this can only be positive.

The hospitality industry has always been about people. AI will never replace genuine warmth, empathy or personal attention. Instead, I believe it enables staff to spend more time doing what they do best: looking after customers.

Microsoft’s latest results therefore represent far more than another impressive technology earnings report. They reinforce confidence that investment in the digital infrastructure supporting AI will continue, giving travel and tourism businesses access to increasingly powerful tools that can improve service, productivity and the overall guest experience.

For an industry built on creating memorable experiences, that is welcome news indeed.

About the Author 
Andrew J Wood is a Bangkok-based travel writer, media executive and former hotel general manager with more than four decades of experience across Asia’s hospitality and tourism industries. A former Director of Skål International, Past President of Skål Asia and Past President of Skål International Thailand and Bangkok, he is currently Vice President of Skål International Bangkok. A respected commentator on travel, aviation, hospitality and business trends, he has received Skål International’s Order of Merit and Membre d’Honneur in recognition of his contribution to global tourism. His articles are widely published in leading regional and international media.

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Japan continues to top many wish lists, and while winter holidays have often centred around ski resorts such as Niseko and Hakuba, another side of Japan’s snow season unfolds beyond the slopes, as introduced by Walk Japan.

Across some of Japan’s snowiest regions, long winters have shaped distinctive local cultures — from steaming open-air onsen and preserved post towns to regional cuisines. These landscapes reveal a quieter side of Japan, where mountain villages and hot spring communities continue to follow rhythms passed down through generations.

Walk Japan presents lesser-known winter snow season journeys departing February 2027.

Onsen Gastronomy: Snowy Aizu

Set in Fukushima’s historic Aizu region, this leisurely 5D4N winter journey combines snowy walks through samurai towns and rural villages with regional cuisine, sake and restorative onsen. Travellers discover how generations of heavy snowfall have shaped Aizu’s distinctive food culture, craftsmanship and way of life.

Tohoku Hot Spring Snow Tour

Traversing Japan’s remote northeast, this journey links traditional hot spring towns set amid deep snow. Over seven days, travellers walk between villages, soak in open-air baths and discover winter customs unique to the Tohoku region. 

Nagano Snow Country

Through the mountains of Nagano, travellers explore one of Japan’s iconic snow country regions over 7D6N, walking between historic villages, cedar forests and onsen settlements while experiencing the rhythms of daily life shaped by long winters.

Hokkaido Snow Tour

Beyond Hokkaido’s ski resorts, this 8D7N journey explores the island’s vast winter wilderness, combining snowy coastal landscapes, forests and rural communities with fresh seasonal cuisine and local wildlife.

*Departing January / February 2027

Walk Japan’s annual snow-season guided tours run during the winter months ( December through March). If you are looking ahead to Winter 2027, their core snow-focused offerings generally open for bookings 12 to 18 months in advance.

Instead of traditional downhill skiing, Walk Japan’s snow season tours focus on snowshoeing, winter cultural immersion, and walking through snow-draped landscapes.

What to expect on a Walk Japan snow tour

• Accessibility: You don’t need prior snowshoe experience. Walk Japan provides snowshoes/kanjiki and basic poles, leading you at a comfortable, manageable pace.
• Small group size: Typically capped at 10 to 12 guests to keep the atmosphere personal and group movement nimble in snowy conditions.
• Accommodations and dining: Expect a heavy emphasis on authentic Japanese hospitality—staying in traditional ryokan or shukubo, sleeping on futons on tatami mats, enjoying multi-course kaiseki or regional winter hot-pot dishes, and bathing in natural hot springs.

Essential Tips for Winter 2027 Bookings

Book early: Winter/snow tours are among Walk Japan’s most sought-after departures because group sizes are small and the window (Jan–Mar) is short. Winter 2027 dates typically fill up quickly once published on their site.

Layering is essential: Walk Japan provides technical gear like snowshoes, but you’ll need high-quality waterproof outerwear, thermal base layers, waterproof winter boots, and solid gloves/goggles.

Private Tours: If you are travelling with family or a group of friends, Walk Japan also offers self-guided options or custom private departures for their snow routes.

About Walk Japan
Established in 1992, Walk Japan is an independently owned and managed company that pioneers innovative walking tours throughout Japan. Walk Japan operates through a few main entities and office locations across Japan, Hong Kong, and the UK.

Corporate location: Hong Kong, Unit 59, Level 24, Lee Garden One, 33 Hysan Avenue, Causeway Bay, Hong Kong

(Source: Walk Japan)

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Himalaya Airlines is the first commercial carrier to operate a direct scheduled flight on the Kathmandu–Shenzhen–Kathmandu route, creating a new air corridor between Nepal and one of China’s most dynamic economic and technological centres.

Himalaya made the historic takeoff for Shenzhen with flight number (H9 985) at 0959 (Nepali local time) with 98 passengers onboard, which landed in Shenzhen at 0417 (Chinese local time) on 5 June.

Shenzhen, widely regarded as China’s Silicon Valley and officially recognised as the country’s first special economic zone, is a global hub for technology, manufacturing, finance, and innovation. It is home to leading technology corporations and a rapidly growing base of outbound travellers and business professionals. The establishment of a direct air connection between Kathmandu and Shenzhen represents a significant step forward in Nepal–China bilateral relations and people-to-people connectivity.

Himalaya Airlines operates twice-weekly frequencies on the Kathmandu–Shenzhen–Kathmandu sector, departing from the Nepalese capital on Tuesday and Thursday, with the return flights from Shenzhen operating every Wednesday and Friday.

Flight schedule

H9885 departs Kathmandu at 2150 (KTM) and arrives in Shenzhen (SZX) at 0430.
H9886 departs Shenzhen (SZX) at 0555 and arrives in Kathmandu (KTM) at 0835.

Using an A320 with 180 seats, the flight time is four hours and 25 minutes.

(Source: Himalaya Airlines)

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For the year, Asia Pacific airlines recorded USD223.7 billion in aggregated operating revenue, a 4.3% increase from USD214.5 billion in 2024. Passenger revenue rose by 4.7% to USD178.4 billion, driven by healthy growth in passenger traffic, which helped offset the impact of a 2.8% decline in passenger yields to 7.8 US cents per RPK. Cargo revenue increased by 1.4% to USD23.6 billion, despite weakness in freight rates, as reflected in a 2.0% fall in cargo yields to 32.1 US cents per FTK.

Amid positive global economic conditions last year, the region recorded a 7.7% increase in systemwide passenger demand, as measured in revenue passenger kilometres (RPK), with both long-haul and intra-regional travel remaining buoyant. Systemwide air cargo demand, measured in freight tonne kilometres (FTK), rose by 3.5%, supported by front-loading activities ahead of tariff hikes, as airlines responded swiftly to evolving trade flows.

Combined operating expenses increased by 4.3% to USD209.4 billion for the year, led by a 7.8% jump in non-fuel costs to USD151.1 billion. Ongoing supply chain disruptions and inflationary pressures contributed to higher expenditure on staff, leasing, maintenance and airport charges. By contrast, fuel expenditure declined by 3.7% to USD58.3 billion, reflecting a 9.5% fall in global jet fuel prices to an average of USD88.8 per barrel. As a result, the share of fuel expenditure as a percentage of total operating costs decreased by 2.3 percentage points to 27.8% in 2025.

Commenting on the financial results, AAPA Director General Wong Hong said: “Asia Pacific airlines entered 2025 from a position of strength, with robust passenger and cargo demand supporting another year of profitable growth. While easing fuel prices provided some relief, persistent supply chain disruptions and inflationary pressures pushed non-fuel operating costs higher. Despite these headwinds, the region’s carriers maintained operating margins at 6.4%, reflecting continued operational discipline and nimbleness in responding to evolving market conditions.”

Wong Hong added: “Although the region’s carriers remain on a solid footing, the challenging operating environment of the past few months shows no sign of abating. The ongoing conflict in the Middle East, together with broader geopolitical tensions, is likely to contribute to continued volatility in oil and currency markets.”

“Airlines are facing a persistently high operating cost environment, exacerbated by a sharp increase in jet fuel prices. Consequently, fuel expenditure, the largest single operating cost item for airlines, is expected to rise this year.”

Looking ahead, he concluded: “Increasing cost pressures may weigh on consumer spending and business sentiment in the coming months. Nevertheless, the outlook remains broadly positive, as passenger and air cargo markets are currently holding firm, supported by 4.4%1 growth in the region’s economy this year. Asia Pacific carriers continue to expand their networks and service offerings, while maintaining strict cost controls in a challenging operating environment.”

(Source: AAPA)

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Located on Deck 11, Crystal Grace’s dedicated youth area is a vibrant gathering place where younger guests can enjoy the freedom of open-air play, surrounded by the sea.

The space will feature a shallow pool, outdoor recreational games and comfortable areas for families to spend time together in a safe and welcoming environment. Designed to encourage active play and social interaction, this new concept reflects Crystal’s commitment to creating meaningful experiences for younger guests while maintaining the sophisticated aesthetic that defines the brand.

Also located on Deck 11, the all-new Waves Teen Centre has been significantly expanded to offer the largest teen space in Crystal’s fleet.

Created exclusively for guests ages 13 to 17, the venue features a larger entertainment lounge complete with an oversized screen for gaming, movies and group activities, card and board game areas and a music and dance space featuring a sound system and dance floor.

The teen programme will operate daily with dedicated programming and activities during peak family travel periods, including summer months and the holiday season.

Younger guests will enjoy a refreshed Fantasia Children’s Playroom, designed specifically for children ages 3 to 12.

Crystal’s family-friendly approach includes drop-off programming for younger children, supervised activities for older children and the continuation of the brand’s in-room babysitting services.

The enhanced playroom is designed to create an engaging and welcoming environment where children can learn, create and make new friends while parents enjoy the ship’s many amenities.

At the heart of Crystal Grace’s outdoor spaces is the Seahorse Pool, the largest pool in the Crystal fleet. Spanning the centre of Deck 10, the expansive pool area will feature 140 loungers between Deck 10 and 11, creating ample space for guests to relax, socialise and enjoy uninterrupted ocean views. 

A large outdoor LED screen will serve as a focal point throughout the day and evening, hosting everything from live sporting events and destination programming to movie nights under the stars.

For the first time, Crystal Grace will introduce a collection of 60 private cabanas on Deck 11, offering guests an exclusive retreat overlooking the Seahorse Pool. Designed for relaxation and privacy, each cabana accommodates two guests and provides elevated views of the pool deck and surrounding seascapes.

Crystal Grace’s inaugural voyage will embark on 11 June  2028, on an eight-night sailing from Civitavecchia (Rome) to Venice. 

(Source: Crystal Cruises)

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The renewed Klook-KTO partnership covers:

Digital transformation of Korean tourism products and businesses;

Promoting regional tourist destinations in Korea;

Launching innovative marketing campaigns and product promotions for free independent travellers;

Building smart tourism solutions, including traveller trend analysis and AI-based tools, to improve the visitor experience and support sustainable tourism growth.

“Korea continues to capture the imagination of travellers around the world, driven by its rich culture, vibrant cities, and diverse regional destinations,” says Korea Tourism Organisation President and

CEO, Sunghyeuck Park. “Through this partnership with Klook, we aim to make it even easier for international travellers to discover more of Korea, while supporting local tourism businesses in adapting to changing traveller needs.

While Seoul remains the top gateway city, Klook data shows that international demand is increasingly extending into regional Korea. Bookings for Busan and Jeju grew more than 50% year-on-year in the first half of 2026, faster than the national average.

In its latest mid-year Travel Pulse, Klook found that 73% of APAC travellers say they would visit a lesser-known city specifically to experience a unique local event, festival, or activity.

These findings point to a shift in how travellers plan trips: destination-led itineraries are giving way to experience-led journeys, and travellers are increasingly willing to venture beyond major cities to seek out these experiences.

Through the MoU, Klook and KTO will work together to spotlight a wider range of tourism experiences, raise international awareness of lesser-known Korean destinations, and encourage more balanced visitor flows across the country.

Klook’s traveller base for Korea extends well beyond Asia Pacific, with top origin markets including Mainland China, Hong Kong, Taiwan, Southeast Asia, Japan, the US, and Europe. 

According to Klook’s Travel Pulse, close to 80% of surveyed travellers have visited a destination and booked experiences specifically because they were trending on social media.

“Korea is already one of the most exciting destinations for international travellers, but there is still a huge opportunity to help visitors discover more of the country, from major cities to emerging regional destinations,” says Klook Vice President of Corporate Development CS Soong. “Working closely with KTO allows us to combine digital access, traveller insights, and destination storytelling to create meaningful ways for travellers to experience Korea.”

Building on three years of tourism infrastructure partnership

The MoU builds on earlier initiatives between Klook and KTO to improve travel convenience for international travellers to Korea.

In 2023, both parties signed an MoU focused on improving domestic transportation access for international tourists, which led to a real-time domestic express bus booking service developed in partnership with the Korea Express Bus Lines Association and Tmoney.

In April 2026, Klook launched a real-time rail booking service for international visitors in Korea, enabling travellers to check KORAIL schedules and seat availability, purchase tickets instantly through Klook, and board trains using digital vouchers.

(Source: Klook).

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