ROLE OF TOURISM IN SOCIO-ECONOMIC DEVELOPMENT AND POVERTY REDUCTION

Tourism plays a significant role in socio-economic development, poverty reduction and achievement of the Millennium Development Goals. This role can be enhanced considerably through increased understanding of the linkages between tourism, development and poverty reduction, the introduction or improvement of the policy environment for the sector, and the implementation of appropriate tourism programs and projects.

 

 

Tourism Factors Responsible for Socio-Economic Development and Poverty Reduction

 

An increase in (a) understanding of the linkages between tourism development and poverty reduction, (b) the capacity to improve the policy environment for the sector, and (c) the capacity to implement appropriate tourism programs and projects of policymakers and other stakeholders.

 

Actions Required for Socio-Economic Development and Poverty Reduction

 

1. Analytical studies on linkages and transmission mechanisms between mainstream     tourism and poverty reduction as well as targeted interventions and poverty reduction.

 

 

2. Identification of the contribution of tourism to the achievement of the Millennium Development Goals and its targets.

 

3. Development of indicators and guidelines on measuring the contribution of tourism for

poverty reduction.

 

4. Documentation of case studies and good practices in utilizing tourism as an entry point to the poverty reduction process.

 

5. Dissemination of the principal outcomes of the above studies, indicators and guidelines through publications and the Internet, policy advocacy and dialogue, knowledge networking, and training and advisory services.

 

6. Facilitation of sub-regional initiatives in also promoting neighbouring countries as

single tourism destinations.

 

7. Promotion of poverty-oriented tourism along major transport corridors, including the Asian Highway, and railway tourism, especially along the Trans-Asian Railway. These actions would be focused on providing a geographical spread of employment, especially to rural and remote areas located far from the main centres of economic activity where there may be limited alternatives for economic development, for example, highway service centres, community-based road stations, such as dhabas and michi-no-eki and highway oases.

 

8. Capacity-building activities, including forums in which to share experience and good practices in enhancing the contribution of tourism to the achievement of the Millennium Development Goals.

Development of Tourism in Asia

Asia continues to be the world economic powerhouse. According to the United Nations, by 2020, four of the largest ten economies will be in Asia (China, India, Japan and the Republic of Korea). Asia will also account for 12 of the 22 mega cities (urban centres with more than 10 million people) by the same year.

 

An improved global economic performance, further uplifts of travel and visa restrictions in the region, lower transportation costs, and favourable exchange rates all contributed to the strong rebound in the region during the year 2006.

 

Of the 842 million arrivals in the world for the year 2006, 167.1 million were for Asia. Within Asia, North-East Asia contributed about 94 million arrivals. 53.8 million arrivals were for South-East Asia. Oceania and South Asia together accounted for about 19.3 million arrivals.

 

Asia and the Pacific was able to maintain its extraordinary growth level (+7.6%, compared to last year), both due to the recovery of Thailand and the Maldives from the impact of the December 2004 tsunami, as well as remarkable performances from emerging destinations in the region. International tourist arrivals in South Asia grew by 10%, boosted by India, the destination responsible for half the arrivals to the sub-region6.

There was increased competition among airlines in pricing as steps were taken by various government authorities worldwide to ease protection on their own national carriers. This resulted in lower airfares on some routes, despite a possible pass-through due to the hikes in oil prices.

 

 

The rise of the low-cost airlines offering not only lower prices but also lesser restrictions with respect to length of stay or weekend stopover, thus putting air travel within reach of groups of travelers with more limited budgets but a healthy desire for travel, also triggered tourism in the region.

 

Further relaxation of immigration regulations and cultural integration in the region favored intra-regional tourism, with generally lower spending levels due to shorter stays. Together with some price cutting strategies adopted by countries and corporations in the region, intraregional traffic recovered quicker than long-haul traffic, from the 2004 tsunami.

Though still the smallest of WTO’s tourism regions, South Asia has been recording consistently strong growth over the past four decades due to the growing number of new destinations on offer in the region, and the expansion of the tourism product developed in the main countries of the region. These developments have served to attract in particular the long-haul interregional tourist.

World Market Share in Travel and Tourism

World Travel & Tourism yielded about US$6,477.2 billion of economic activity (Total Demand) in the year 2006. As per the estimations the growth rate in nominal terms, will assume the total industry valuation to US$12,118.6 billion by 2016. Total Demand (or in other words, 100% of the world market share in Travel and Tourism) is anticipated to grow by 4.2% per annum, in real terms, between 2007 and 2016.

 

Post the time of stagnation sparked by the events of September 11, 2001 coupled with slow development of the global economy, struggles and conflicts in the Middle East and infrequent terrorist attacks worldwide, International tourism has recoiled strongly since 2004, both in terms of inbound and outbound.

 

World Tourism demand like the global economy continues to surpass expectations, showing resiliency against external factors. The estimated 842 million arrivals in the year 2006 comprise an additional 36 million over 2005 level, producing a new record for the industry. Of the extra 36 million, 17 million were for Europe, 12 million for Asia and the Pacific, 3 million for Africa and for the Americas, respectively and nearly 2 million for the Middle East.

 

Among the various regions, while Africa showed the highest annual growth rate for international tourist arrivals in both 2006 and 2005 (above 8%), it was pursued closely by Asia and the Pacific – 7.7% in 2005 and 7.6% in 2006.

 

By sub-regions, South Asia recorded the highest annual growth rate in 2006 (10.1%), followed by Sub-Saharan Africa (9.4%) and South East Asia (9%). Europe and Middle East presented a growth rate of 4% in 2006. The weakest region was America, whose estimated growth rate was 2% 3.

Amir Khan – the Brand Ambassador of Incredible India!

It was good to hear that Tourism Ministry has roped in Bollywood hero Aamir Khan to promote tourism in India. Khan will promote for both domestic and international travelers.

 

The Bollywood hero has been roped in by the tourism ministry to be the face of its brand campaign ‘Incredible India’ to showcase the country’s rich heritage and culture and the message, ‘Athithi Devo Bhava’ (guest is god).

 

More than the involvement of Aamir Khan, I was pleased to see that tourism is finally getting attention of government. A cursory look at the India’s tourist places is enough for anyone to figure out that tourism has never been a top agenda for governments in India. While almost every other country understands the importance of tourism, India hasn’t realized the full potential even after 61 years of independence.

 

In my visits to European countries and US, and even Thailand, it was pleasing to see how they take care of the tourists and various tourist places. Every important place has a tourist information center ready to help visitors with information, maps and other resources. Tourist sites are well maintained. Convenience and security of tourists is thought of.

 

It’ll take a lot of time for central and state governments In India to reach the level of engagement governments in other countries show, but I see this as a positive sign. If we can address a few more critical issues of visitor safety, maintenance of tourist places, sufficient infrastructure, I have no doubt India will emerge as one of the top tourist destination in the world.

 

Amir Khan is not charging any fee for this campaign. He said he was doing it as part of my social responsibility.

 

The Minister expressed her happiness with Amir Khan endorsing the tourism promotion, which would further boost the ministry’s efforts to make people becoming aware of the safety and security of tourists, hygiene, sanitation and the acts of vandalism at historical monuments.

Indian Democracy in the eye of Foreigner

“India is only country in the world which can be said to have one of the richest traditions in the world.”

 

Sorry, i’ve heard this sort of message a thousand times…there is a trmendous lack of originality!!

 

41% of world’s pooor people…guess that you don’t care too much about traditions when you have no food or place where to live with dignity. Do you think that a tradition is good only just because of the fact that it is a tradition??? In Spain it is traditional for people to gather to see how a bull is killed?? In Canada thousands of seals are killed every year because one of its traditions is to do so…

 

“Indian is the biggest democracy in the world”…sorry but i don’t see any credit to that,…or do you think you are a better country for having a democracy of 1000 million people instead of 5 miilion people. Is indian democracy better that norwegian or dutch? What’s more, do you really think you’re living in a real democracy?? A country in which politicians change the party they belong to every week?? A country where the votes of the poor people are bought?

 

“INDIA IS THE BEST COUNTRY IN THE WORLD SIMPLY COZ ITS A LAND WHERE THERE IS NO CULUTURE DIVIDES HINDUS AND MUSLIMS LIVE IN PEACE”…guess that the thousands of killings during the partition just because of religious differences is a tale by some boring authors..and guess the gujarat conflicts did not take place…it was another creation of the press…and i could give many other examples…but you all know them…

 

…corruption of officials at all levels, unefficient judicial system, growth that leads to increasing inequality, humiliating attitute towards poor people by the rest of indians (i’ve lived in several parts of India and this is one of the things that impressed me most), child labour, brain drain, discrimination against women…

 

India has many fantastic things (you’ve mentioned many of them and i agree with you), but the problems are not going to dissapear only if you hide them or if you only speak the positive things.

 

“If you once forfeit the confidence of your fellow citizens, you can never regain their respect and esteem. You may fool all of the people some of the time; you can even fool some of the people all the time; but you can’t fool all of the people all of the time.” (Abraham Lincoln)

 

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Emerging Tourism Markets – The Coming Economic Boom

Press Release Issued By World Tourism Organization (UNWTO)

 

“International tourism in emerging & developing markets has grown at an average rate of 6-8% over the past decade. Twice the rate of industrialized countries. Tourism is a crucial contributor to these countries’ income – up to 70% for the world’s poorest countries. Development financing from global Trade; Poverty Alleviation and Climate Response should recognize the long term potential of tourism as a sustainable growth engine.

 

 

“With international travellers projected to almost double by 2020, the most significant increases are expected to take place in markets like China, India and destinations in South-East Asia. The Gulf States and emerging Eastern Europe complete this picture, followed by the Latin American and finally African markets.

 

“Many of these are becoming important outbound markets, backed by growing middle classes on the one hand, and liberalising policies promoting mobility on the other. Chinese tourists already spent about US$ 30 billion abroad in 2007, according to UNWTO figures.

 

“The domestic travel potential of emerging markets – in 2006 China registered 1.6 billion trips and India 461 million – is a further proof of their long term importance for international tourism.

 

“Between 1996 and 2006, international tourism in developing countries expanded by 6% as a whole, by 9% for Least Developed Countries, and 8% for other low and lower-middle income economies. Against this backdrop, the sector will be more and more recognized as a key agent in national poverty reduction strategies and in development financing.

 

“Addressing the UK Tourism Society Conference, Assistant Secretary-General Geoffrey Lipman identified investment in infrastructure and human resource training, as key issues to make this trend sustainable. He also discussed the importance of credible long term climate response strategies – which allow these countries to realize their tourism growth potential.

 

“Lipman said “It is fair to assume that this growth scenario will suffer from the economic downturn and more than fair to say that massive prolonged increases in fuel price, with few short term options (at least for airlines), as well as other ‘mega crises’ will have a fundamental depressant effect. But the numbers of potential travellers are so huge and the logic of targeting tourism for development so pervasive that the long term growth prospects will remain substantial by any measure”.

 

He noted further that substantial resources are expected to be earmarked in the coming years for Aid to Trade from the Doha Round, development financing related to the Millennium Development Goals, as well as climate response and clean technology transfer. Finally he stressed the importance of public private partnerships to ensure that poor and emerging states access these funds for tourism development, underscoring the role of UNWTO in supporting this process.”