Tourism in many developing countries is one of the most reliable and sustainable economic development options and in some countries the main source of foreign exchange earnings. Part of this income trickles down to different groups of society and it is easy for this revenue to leak away from the poor benefitting the more educated and well-off segments of society. However, if tourism is managed with a strong focus on poverty alleviation it can directly benefit the underprivileged, empowering them with the ability to take care of their basic needs such as access to clean water, food, proper sanitation. With this in mind, it is my thesis that poorer countries should develop their tourist industry with poverty alleviation and sustainability as the central aims that are built into strategies and action plans.
Developing the tourist industry will generate a tremendous amount of revenue which can be used to elevate the standard of living of the people. Hence it would be sensible for poorer countries to expand the tourist industry. Constituting the second most important source of foreign exchange revenues, the growth of the tourism industry can result in a significant change in the economy of a developing nation. On top of that since the industry is conventionally made up of microenterprises and many of the jobs demand little skills and investment, developing the tourist industry can potentially be the most valuable and sustainable way for economic development. At the same time, tourism is largely based on the rich cultural heritage, unique landscape and biodiversities of the country which do not require heavy funding for infrastructure and yet creates high turnover. For example in the case of Nepal tourists often embark on mountaineering and trekking expeditions, and religious pilgrimages contributing to 4.6 % of Nepal’s GDP. Moreover, in the process of developing the tourism industry, infrastructure for basic necessities such as clean water, proper sanitation and power supply will be developed. One such example is the millennium villages project, Mayang, Rwanda, like most developing countries, experiences high infant mortality rate, limited health care, no electricity and no paved roads. However, after developing the tourism industry Mayang’s plight has been steadily improving – there is abundant food, booming businesses, increased number of schools and a decline and mortality rate. This reasserts that promoting tourism development can, in turn, benefit the locals through the provision of capital which can be used in meeting the basic needs of the poverty-stricken.
However, a paradox is that the rise in tourism can also be detrimental to the poor. Hence it may not be advisable for underprivileged countries to develop the tourist industry. The concentration of resources to the tourism industry may possibly result in the negligence of tourism’s welfare. As a consequence, people’s needs will be compromised. Brazil, for instance, had vital services such as transportation, education and health care that were inefficiently run and woefully underfunded. Yet it spent a ridiculously huge sum of 11 billion dollars on hosting the world cup alone. Should the interest of its very own citizens not remain the top priority? It is utterly unacceptable for a country to channel its already limited funds to accommodate the foreigners when the basic needs of its people are still not well taken care of. Having been bogged down by cost overruns, delays in the infrastructure projects and deadly accidents the world cup had also innovatively resulted in an inflation spike in Brazil. The influx of tourists increases the demand for basic services and goods causing prices to accelerate which negatively affect the local residents whose income does not increase proportionately. This impoverishes the poor to an even greater extent, depriving them of their essential needs all the more. Furthermore, in reality, most of the profit generated from tourism goes to the richer strata of society resulting in leakage. Take Thailand for instance, it is estimated that 70% of all the money spent by tourists ended up leaving Thailand via foreign-owned tour operators, airlines and hotels. Evidently, tourism gives the largest piece of the pie to large foreign companies and little earnings remain within the country. Moreover, the running of tourist facilities such as resorts and Recreation parks require a tremendous amount of water and energy. In developing countries, these resources are often scarce and used at the expense of the local population robbing the locals of their meagre essentials. Hence, the suggestion that tourism will alleviate poverty in developing countries may be a misguided one. It may be unwise for poorer countries to expand the tourist industry.
Nonetheless, tourism development should be actuated as long as it is done in a sustainable fashion. This will guarantee that the depletion of resources is minimised and the interests of the locals are not jeopardized. It is imperative that sustainability is taken into account as failing to do so will result in tourism being destructive to the economy which exacerbates the people’s inability to sustain themselves. In order to do so, these poorer countries need to develop their tourism industry whilst having poverty alleviation as the main principle. Part of the revenue needs to be directed towards the building of infrastructure for basic necessities and the government will have to ensure connectivity and accessibility of the industry to the poor. With this in place, more of the poor will be able to earn at least a living wage and thus be able to pay for their basic necessities. Developing nations should model the development of the tourism industry after South Africa’s so as to ensure this economic pursuit will not undermine the ability of the poor to meet their basic needs. In South Africa, ecotourism accounts for a large portion of employment in rural areas, the places where poverty is most rampant. The World Wide Fund also estimates that more than 80% of their revenue is invested in building water filtration facilities in villages. Such a sustainable approach to the development of tourism industry ensures that people are able to take care of the basic needs and also end their poverty cycle.
Tourism being susceptible to political unrest, natural disasters and shift in international demand is a very volatile industry. As such, it would be prudent for poorer countries to develop the tourist industry sustainably and with caution. Its development should also be done with people’s welfare as the main principle. Feeling to do so may result in tourism being a destructive industry, intensifying the people’s suffering and minimising their ability to meet their basic needs.