Kuala Lumpur: The post-pandemic tourism in ASEAN must focus not only on recovery but also on transitioning to a sustainable, quality-driven business model, said Deputy Prime Minister Datuk Seri Fadillah Yusof. Fadillah, who is also the Energy Transition and Water Transformation Minister, emphasized the region’s potential to lead global efforts by championing decarbonisation in aviation, integrating renewable energy, and advancing innovative tourism approaches such as community-based tourism, ecotourism, and regenerative tourism.
According to BERNAMA News Agency, these initiatives aim to ensure equitable benefits for local communities while preserving cultural authenticity and protecting the environment. At the opening ceremony of ASEAN Tourism Forum (ATF) 2025, Fadillah highlighted that ASEAN is one of the world’s most dynamic tourism markets, steadily recovering from the challenges of COVID-19. Southeast Asia welcomed over 100 million tourists in 2023, achieving 70 percent of pre-pandemic levels, and by 2024, the region is expected to surpass 130 million arrivals, marking a full recovery.
Fadillah noted that addressing the challenges of over-tourism is critical to maintaining the balance between tourism growth and public goods. He emphasized the importance of the Action Roadmap for Sustainable Tourism Development in ASEAN, which advocates for multi-sector collaboration to improve infrastructure and enhance liveability for both residents and visitors. While tourism investments are recovering, with FDI in the sector increasing from US$1.2 billion in 2022 to US$2.8 billion in 2023, it remains far below the pre-pandemic peak of US$24.5 billion in 2019.
To address this gap, ASEAN must prioritize quality investments that diversify destinations, redistribute tourist flows, and leverage technology to reduce pressure on existing hotspots. This strategy aims to position ASEAN as a vital platform for promoting inclusive and well-balanced tourism growth in the region. The Deputy Prime Minister also stressed the importance of positioning ASEAN as a single destination of choice and an innovation hub, bridging digital infrastructure gaps among member states.
Fadillah highlighted the ASEAN Digital Masterplan 2025 and Digital Economy Framework Agreement (DEFA) as game changers towards regional integration in areas like cross-border payments, cybersecurity, digital skills, talent mobility, and emerging technologies like AI. The ATF 2025 also drummed up enthusiasm for the Visit Malaysia 2026 (VM2026) campaign, which aims to attract 35.6 million international tourist arrivals and generate RM147.1 billion in tourism receipts.
He concluded by urging tourism ministers, policymakers, industry leaders, and stakeholders to forge partnerships, share insights, and inspire action. The goal is to create a tourism ecosystem that is sustainable, inclusive, and resilient for future generations. Fadillah witnessed the signing of a memorandum of understanding between the Ministry of Culture, Sports and Tourism of South Korea and the Government of Malaysia on cooperation in the field of tourism, further strengthening regional collaboration.