The tourism industry and socio-cultural services are now successfully and rapidly developing worldwide. The growth rate of the main economic indicators of the development of tourism enterprises is comparatively high despite the current objective travel barriers. These trends are also typical for Ukraine. The country has all the natural and economic prerequisitesto develop tourism, primarily its domestic and inbound types. The availability of natural, recreational, historical, cultural, social and labour resources make for powerful tourism potential. Therefore, the study of economic issues of the tourism development, directions of tourist flows, and the capability of existingtourism enterprises to meet the needs of domestic and foreign tourists is an important area of research. Meanwhile, to assess the tourist potential of Ukraine, it is crucialto determine its position on the global market. At the present stage, given that there are some difficulties for domestic tourism enterprises to be competitive in the world market, the internal tourism opportunities can be efficiently used. The article reviews current research in global tourism and the ways to develop the domestic tourism industry. The results of research in several aspects of the tourist sector of Ukraine are presented. The dynamics of the main indicators of the tourist industry in the country for the last several years are characterized. The dynamics and structure of the tourist flows served by domestic tour operators and travel agents depending on the purpose of travel are analysed. The main trends in inbound and outbound tourismalong with indicators of the number of tourists not served by domestic tour operators and travel agentsare described. The volumes of export-import of tourist services in Ukraine are characterized. Using economic and statistical research methods, the volume of services related to travelling and cultural-recreational activities was forecastedin monetary and percentage terms for the next three years. The article proposes directions and specific measures for the development of the domestic tourism industry, taking into account the natural, economic, historical and cultural potential of Ukraine.