Andorra Tops World in Tourism Dependence with 71.8% of GDP

Andorra leads the world in tourism dependence, with the sector comprising 71.8% of its GDP, according to a UNWTO study released this May. The analysis, drawn from international tourism data, ranks the Principality ahead of Aruba (70.3%) and Macao (70%), underscoring its economic reliance on visitor spending.

Almost seven in every ten euros earned in the country link to tourism activities such as hospitality, restaurants, retail, transport and related services. Trailing Andorra in the ranking are the Maldives (68%), Seychelles (55.4%), Saint Lucia (51%), Antigua and Barbuda (39.9%), Bahamas (34.1%), Cape Verde (27.9%) and Grenada (26.2%). The report illustrates a common pattern among small, service-focused economies with limited diversification, where tourism drives most revenue.

This vulnerability has fueled years of economic and political debate in Andorra, centered on efforts to expand beyond tourism and shield against fluctuations in travel flows or mobility crises. Unlike larger economies, where technology, industry, finance and domestic spending dominate GDP shares, Andorra's model amplifies tourism's role.

Recent figures highlight the sector's strength. In 2025, Andorra welcomed over 4.3 million tourists—a 12.1% rise from the previous year—and recorded more than 12 million overnight stays, up 13.1%. Including day visitors, total annual visits exceeded nine million, with Betim Budzaku, director general of Andorra Turisme, noting comfort at around 9.2 million but a focus on boosting overnight guests.

Spain accounted for 65% of tourists (nearly 2.8 million, +10.7%), France 18% (over 757,000, +4.5%), and the rest from other markets, including rising US arrivals. Within Spain, Catalonia led at 54%, followed by Valencia (18%), Madrid (7%), Aragon (4%) and Andalusia (2%).

Andorra is shifting toward year-round appeal. Last summer drew over 3.7 million visitors, with 1.8 million overnight stays (+15.2%) generating nearly 4.7 million nights (+17,5%), a 46% jump from 2022 post-pandemic levels. Average stays lengthened to 2.9 nights in summer and 3.4 in winter.

To extend visits, Andorra Turisme is promoting premium experiences via initiatives like "Andorra Taste"—its fifth edition set for September with top mountain chefs—and the three-year-old "Andorra Selected" program. Noemí Pedra, marketing director, emphasized strategies to desesationalize and diversify offerings.