Smog has badly affected China's inbound tourism, according to the latest report released Monday by China Tourism Research Institute.

China hosted 129.08 million inbound tourists in 2013, down 2.51 percent year on year, ranking after France, the United States and Spain in the world, the report said.

The inbound tourism realized 51.66 billion U.S. dollars of foreign exchange revenue in China last year, up 3.27 percent from a year ago, according to the report.

Dai Bin, head of the institute, said adverse weather, diplomatic relations, terrorism and the sluggish world economy affected tours to China.

Especially heavy smog is raising tourists' worries, which is expected to be handled by better law enforcement, Dai added.

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