Although tourism is an excellent source of foreign exchange earnings, Pakistan has not succeeded in tapping it yet. The foreign exchange earnings from tourism have actually declined. In 1980, it was US$154.0 MILLION. in 1999, It fell to US$76.4 million. This downward trend is the result of two causes: the decrease in the number of tourists and the decline in the exchange rate of Pakistani currency.
In 1999, the majority of the foreign tourists (60 percent) came to Pakistan to visit their relatives and friends, particularly those tourists from the United Kingdom and India. About 18.3 percent of tourists came to attend official meetings, seminars or for business. About 2.5 percent of tourists came for religious purposes. Only 13.4 percent of tourists 60000 in number came for recreational purposes.
Domestic tourism has registered an encouraging increase. In 1980, domestic tourists numbered 25.3 million. This rose to 35 million in 1990. The increase is attributable to urbanization, the rising income of the privileged class, and a change in lifestyles and attitudes. The PTDC has also contributed to this increase by establishing a Tourist Club. Club members receive concessional rates for railway and air travel and lower room charges in selected hotels. The PTDC also arranges one day excursions and tours extending over several days to various places of interest at subsidized rates.
Domestic tourism in Pakistan is male dominated. It is mostly undertaken by men under 40 . The main purpose of travel is to visit relatives and friends, Followed by business and sightseeing in descending order. About 63 percent of domestic tourists travel by road, 32 percent by rail and 5 percent by air. The average length of stay of road tourists is five nights and rail 12.9 nights.