Economic, environmental and socio-cultural impact of tourism in Gilgit-Baltistan: evidence from primary survey

Tourism is an important activity that can bring many benefits to the host country or a city, such as creating jobs, employment, and additional income for the residents. Therefore, this study aims to analyze the economic, sociocultural, and environmental impact of tourism eventually affecting the residents of Gilgit-Baltistan (GB). This study is based on four districts of GB: Gilgit, Hunza, Skardu and Ghizer. The sample size was 385 based on the Cochran’s method (Cochran, 1977). Two separate questionnaires were developed for the respondents (residents and tourists). The data is then used for structural equation modelling (SEM). Results revealed that the economic factors positively and significantly influence residents’ quality of life (QOL). Alternatively, the environmental factors have a significantly negative effect, while the socio-cultural factors have no effect. Furthermore, descriptive statistics show that tourist spending generates revenue and provides economic benefits to the residents of GB. This study also provides recommendations for policymakers and researchers to develop effective strategies that promote sustainable tourism and enhance residents’ QOL.