However, the Global Business Travel Association’s annual report also said business travel spending adjusted for inflation remains below 2019 levels and a full global recovery faces increased headwinds from geopolitical conflicts and a slower travel rebound in major markets like China.

Global business travel spending as a whole in 2023 increased 30% to US$1.34 trillion from the previous year, but it was still about 7% below pre-pandemic levels, according to the report.

“We are now expecting to see continued solid spend growth in business travel, but at a more normal, moderate level as the world economies return to a more traditional cycle,” said Suzanne Neufang, the association’s chief executive officer.

The association predicts that spending will reach US$1.48 trillion by the end of 2024, surpassing the pre-pandemic record of US$1.43 trillion.

When adjusted for inflation, global business travel spending was 22% lower in 2023 compared to 2019 levels.

The Asia-Pacific region was the fastest-growing region in 2023 led by a rise in spending in South Korea and India, which increased 27% and 22% respectively year-over-year.

However, the region still lagged a full recovery as business travel spending in China increased 9% year-over-year, but still trails behind pre-pandemic levels.

Spending recovered to pre-pandemic levels in North America, Latin America, the Middle East and Africa.

Despite surpassing the pre-pandemic record of US$346.8 billion, the growth in spending in North America decelerated to 25% year-over-year down from 73% the year prior.

Similarly, in Western Europe business travel spending increased 33% in 2023 compared to 109% in 2022 when spending surged as governments loosened travel restrictions. The region’s spending was 6% below pre-pandemic levels.