Tourism is one of the largest economic sectors generating employment and fastening growth in many countries. Nigeria, a mono-economy country, with tourism still at its infancy, stands to benefit from diversifying the national economy through tourism. This research assesses the economic impact of tourism development in Adamawa State. The methodology adopted was purely qualitative and data used were primarily sourced via questionnaire and interviews. A total of 144 tourists were randomly selected within the metropolitan space of Yola North. The data collected was analyzed using frequency and percentage tables. The findings from the analysis reveal that 59.1% of the tourists were male at the age of 18-40 with 55.5%. It also revealed that Yola international airport is most destination visited by domestic tourists with 62.5%. Also 100% agreed that tourism activities create employment opportunities to the local community and 62.5% agreed that the top challenges of tourism development in Adamawa State was inadequate infrastructure, funding and security outfit. The study recommends strategies to address these challenges and maximize the economic benefits of tourism in the State.