Maravi

Global recession causes 30% business decline in tourism sector

Global recession causes 30% business decline in tourism sector
Written by Willie Sitali in Kasama
Tuesday, August 11, 2009 5:50:02 PM

BUSINESS in the country's tourism sector has significantly dropped by about 30 per cent since the start of the global recession. Tourism minister Catherine Namugala disclosed this in Kasama yesterday during a meeting with stakeholders drawn from the hospitality industry.

Namugala said according to the government’s projections, the tourism sector had lost earnings due to negative effects of the financial crisis, which had hit the world economies including that of Zambia.

She however urged investors in the sector to be aggressive and brush off the temporal setbacks in order for their businesses to remain afloat.

Namugala explained that the government was currently formulating policies that would enable investors in the tourism sector to conduct their business in a friendly environment.

She noted that once investment in the tourism was boosted, the country's economy would record a positive growth, which would in turn help to improve people's living standards.

Namugala also urged local investors in Northern Province to take advantage of the loans from the Citizens Economic Empowerment Commission (CEEC) to put up facilities, which would attract more tourists to the region.

She observed that currently, many tourist sites in the province were under-developed due to lack of infrastructure.

Namugala said as a result, fewer tourists were accessing the beautiful sceneries that the province was endowed with.

Meanwhile, Namugala has advised investors in the tourism sector to share valuable information on how best to develop the sector.

She noted that at the moment, fewer tour operators had developed a network where they could exchange ideas of sustaining their businesses under the global economic challenges.

Namugala further explained that the government alone could not find the solutions affecting the tourism sector but that the private sector should take a leading role in stimulating growth in the sector.

Namugala is currently in Northern Province to check on the tourism potential, which remains unexploited, in the region.

Labels: CATHERINE NAMUGALA, GREAT DEPRESSION II, NEOLIBERALISM, TOURISM

posted by MrK @ 4:51 PM