Paudge Connolly (Cavan-Monaghan, Independent)
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Question 385: To ask the Minister for Arts, Sport and Tourism his views on the increasing tourism deficit between the income from foreign tourism markets and the amount spent abroad annually by Irish holidaymakers; and if he will make a statement on the matter. [2864/06]

John O'Donoghue (Kerry South, Fianna Fail)
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Outbound tourism in the last three years has grown at a higher rate than inbound tourism. In 2003, expenditure by Irish residents travelling abroad — at €4.16 billion — marginally exceeded tourism and travel earnings from visitors to Ireland — at €4.06 billion — for the first time. This trend has continued in 2004 and 2005 where the last third quarter figures show a net outflow of almost €400 million in our tourism and travel balance.

Ireland's economic prosperity, particularly in comparison with that of our main tourism markets, coupled with the greatly improved access to foreign tourist destinations, has undoubtedly contributed to this phenomenon. However, it is also clear that this has fuelled significant growth in domestic tourism. CSO figures over the last five years show domestic holiday trips up by 32% and expenditure up by over 50% over that period.

Against a backdrop of intense international competition for Irish holidaymakers, Fáilte Ireland, which is responsible for promoting the home market, has significantly stepped up its home holiday campaigns in recent years backed by significant Exchequer resources.

In 2006, some €4 million has been allocated by Fáilte Ireland to home holiday promotion. Fáilte Ireland's consumer website for the domestic market —www.ireland.ie — which was launched early in 2005 — has proven particularly successful in generating quality year round business for the sector. Fáilte Ireland also publishes the highly successful Discover Ireland series of brochures aimed at the domestic consumer.