The Impact of Digitalization on Tourism Flows and External Balance: An Analysis on Selected ASEAN Countries
Chapter from the book:
Sevinç,
H.
&
Eroğlu Sevinç,
D.
(eds.)
2025.
Current Research and Applications on International Economics II.
Synopsis
Digital transformation has profoundly reshaped the functioning of economic structures worldwide, generating new forms of value creation across production, trade, and service sectors, including tourism. Advances in information and communication technologies have accelerated the digital adaptation of the tourism industry, where online booking systems, digital marketing applications, and big data–driven analytical tools have redefined the scale and direction of tourism demand. This multidimensional impact of digitalization not only enhances tourism mobility but also plays a crucial role in countries’ external economic balances through its foreign exchange–earning capacity. In this context, this study conducts a comparative analysis of the effects of digitalization on tourism mobility and external balance in three selected ASEAN countries: Myanmar, Thailand, and Singapore. The analysis employs the percentage of internet users as an indicator of digitalization, international tourist arrivals as a proxy for tourism mobility, and the current account balance as a measure of external balance. To ensure comparability across datasets with different scales, z-score and normalization methods were applied. These methods enabled graphical analysis of relative deviations and convergence patterns among variables, while visual interpretations were used to identify structural breaks and shared trends in the time series. The findings reveal a strong positive relationship between digitalization and tourism mobility; however, the extent to which this relationship translates into external balance differs across countries depending on their economic structures. Overall, digitalization emerges as an indirect yet strategic macroeconomic variable influencing external equilibrium in ASEAN economies through the tourism channel.
