Pakistan’s travel and tourism market is projected to reach $4 billion in revenue this year, with an annual growth rate of 6.75% expected through 2029, potentially hitting $5.5 billion by that time. Package holidays are the sector’s largest segment, handling nearly $1.92 billion in 2025 and increasingly relying on online bookings and mobile platforms.
Highlighting the government’s role, Prime Minister Shehbaz Sharif has urged close collaboration between the public and private sectors—through the Pakistan Tourism Development Corporation and others—to improve access to cultural landmarks and natural sites for both domestic and international tourists.
Gilgit-Baltistan, famed for its alpine scenery, was recently named one of CNN’s “top 25 travel destinations for 2025”, earning accolades for regions like Hunza, Skardu, and Fairy Meadows as premier adventure tourism sites.
In a major accessibility reform, Khyber Pakhtunkhwa launched an online NOC system, enabling foreign tourists to bypass bureaucratic hurdles by applying digitally to visit KP’s scenic and cultural areas—ushering in a modern era of travel facilitation.
Meanwhile, the region has declared a five-year ban on new hotel construction around its iconic lakes, such as Attabad and Saif-ul-Malook, to preserve fragile ecosystems and curb unregulated tourism development in Gilgit-Baltistan.
However, monsoon rains have drastically disrupted travel this month. Flash floods and landslides in Gilgit-Baltistan and KP stranded at least 200 tourists, prompting wide-scale rescues. Around 12 tourists remain missing, while authorities continue clearing blocked roads and restoring the Karakoram Highway via military-assisted operations.
The government also issued urgent glacial floods alerts warning of glacial lake outburst risks, especially around tourist hotspots like Fairy Meadows. Over 500 tourists were evacuated from Naran alone, with infrastructure damage reported across villages along Babusar Pass. The 2025 monsoon has delivered an 82% increase in rainfall compared to last year, heightening climate-related fears across the tourism belt.
These developments underscore a dynamic yet vulnerable tourism sector: while growth is strong and digital reforms promising, monsoon-driven disasters, regulatory constraints, and climatic threats are reshaping travel patterns and emphasizing the need for sustainable, resilient planning.
