Business News of Wednesday, 26 April 2006

Source: GNA

Tourism needs support - Researcher

Accra, April 26, GNA - Mr Owusu Amoakohene, Research Advisor at the Ministry of Tourism and Modernization of the Capital City, on Wednesday called for support for the promotion of tourism that was capable of becoming the number one foreign exchange earner for the country. "With Ghana's intention to attract one million tourists by 2007, tourism receipts will increase to heights that would provide the necessary impetus for the overall development of the economy and in the process become the number one foreign exchange earner," he said. Mr Amoakohene's comments were contained in the first issue of this year's tourism data series on: "Tourism's contribution to the Ghanaian economy between 2002 and 2005."

He said despite tourism's fourth position in terms of income generation, no sector compared to the industry in terms of growth from 2004 to 2005 as inward remittances grew by 20 per cent; tourism grew by 70 per cent during the same period.

Tourism is one of the top five export categories for as many as 83 per cent of countries as it is the main source of foreign exchange earnings for at least 38 per cent of countries; according to the world Tourism Organization.

Mr Amoakohene said if tourism were given the attention, especially in the area of budgetary allocation such that it attracted an additional one million tourists, then based on 2005 expenditure data tourism would contribute an extra 1,950 billion cedis making it the highest foreign exchange earner.

Data collected at various entry points by the Ghana Tourists Board and the International Road Survey indicated that on average each tourist spent about 1,950 dollars on accommodation, entertainment, food and beverages, transportation and shopping.

He urged the Government and the private sector to develop new initiatives that would help to sustain the current growth and present opportunities for further development.

Tourism contributed approximately 795 million dollars to the total export earnings of the country. The data advised that substantial budgetary allocation be made to tourism development efforts and especially marketing strategies.

Ghana should concentrate on tourism development and investment because of tourism's potential to solving many of the countries persistent economic problems, the research noted.