Philippines relaunches Chinese e-visas to boost tourism

• Foreign tourist arrivals reached 4.8 million as of November 2025, down 3.0% year-on-year, with South Korea (21.7%), the USA (17.1%) and Japan (7.8%) leading source markets. Overseas Filipino arrivals hit 465,600, up 7.7% year-on-year.
• The Philippines reintroduced e-visas for Chinese tourists in November 2025 following visa disruptions. China fell from the second-largest source market in 2019 to sixth place in 2025, with recovery expected in early 2026.

Hotel supply expands with major pipeline set for 2026

• Hotel inventory increased by 160 completed rooms in Q4 2025 from AC Hotel by Marriot, adding to the metro’s overall room stock.
• Foreign brands lead the 2026 pipeline with approximately 2,300 rooms, while local developers account for around 2,200 rooms. This pipeline includes both scheduled 2026 developments and spillover from delayed 2025 projects.

Metro Manila hotels show strong performance growth

• Metro Manila hotels showed strong momentum in 2025, with RevPAR, occupancy and ADR all increasing year-on-year, indicating steady demand recovery and effective revenue management.
• Hotel occupancy reached 82.1% in Q3 2025, up 255.85 bps q-o-q but down 110.67 bps y-o-y. Luxury and upscale segments sustained robust quarterly performance. Average room rates reached PHP 8,037, up 0.9% q-o-q but down 0.7% y-o-y.

Outlook: Tourism and hotel markets positioned for 2026 recovery

• The tourism sector’s recovery potential hinges on the Chinese e-visa relaunch offsetting declining visitor trends, with China expected to regain market share in early 2026. Established markets like South Korea and the USA could maintain steady contributions.
• The hotel market appears well positioned for growth, with 4,500 new rooms entering in 2026 amid strong foreign brand confidence. Continued RevPAR momentum suggests sustained performance ahead.