An Econometric Analysis of the Role of Sustainable Development in Tourism Growth: Fresh Insights from the BRICS Economies

Abstract

Tourism is crucial for a country's economic development, especially in emerging economies like the BRICS countries. This study investigates the role of economic growth, environmental sustainability, and institutional quality in tourism development. Therefore, data was collected from the World Bank and ICRG from 1997 to 2023 for BRICS countries, and NARDL was used to test the hypothesis. Moreover, a cross-sectional dependency test is also employed to check the intercorrelation among the cross-sections. The results of this study indicated that sustainable growth and environmental sustainability have a long- and short-run impact on tourism. As far as institutional quality is concerned, it has an essential influence on tourism development. The results of this in-depth study are crucial for BRICS officials and stakeholders by concluding the short- and long-run relationship between tourism, economic growth, sustainability, and institutional performance. Understanding these relationships can help policymakers promote environmental protection and sustainable development in these critical and vibrant businesses while fostering sustainable tourism growth.

JEL Classification Codes: 047, G18, L83, O44