World Development, Vol. 21. No. 2, pp. 277-280, 1993. 0305-750x/93 $6.00 + 0.00 Printed in Great Britain. @ I993 Pergamon Press Ltd

Tourism in : Some Issues in Development Policy

PETER U. C. DIEKE University of Strathclyde, Glasgow

Summary. - The paper deals with a number of issues arising from the design and implementation of policies and programs in The Gambia. It gives a description of tourism in the Gambian economy and discusses the reasons for success in this sector. A number of recommendations are put forward related to the need to increase earnings from tourism and to reduce the incidence of black markets. The overall conclusion of the paper is that a shift toward more cautious and flexible policies would benefit the tourism sector in The Gambia and thus make the programs intended to assist this sector more effective. It is on that basis that the country will attract more foreign tourists, and improve the standards and quality of products. The programs must also be executed in a careful, sensitive and planned manner that ensures the cooperation of the local communities.

1. INTRODUCTION Senegal, its closest neighbor. The population in 1989 was estimated at 848,000, which during The Gambia (Figure l), located on the west 1980-89, grew at an annual rate of 3.3% (World coast of Africa, by an international standard, is a Bank, 1990). With a land area of 11,295 km2 small country. It occupies a narrow, 350 km long much of which is saline marshes, the country has strip of land on both sides of the Gambia River, a population density of 73 people per km*, and is surrounded on its three landward sides by reportedly one of the highest in mainland Africa.

Figure I. Map of The Gambia

277 27X WORLD DEVELOPMENT

Like most small developing countries, The was unknown. With its “discovery” and subse- Gambia suffers from many structural deficiencies quent promotion, the tourism sector has grown which include: considerably in many respects (Table 1). The poor resource endowment; reliance on very few number of foreign tourists in 196.5-66 was only primary export products; a small domestic market. 300, increasing to 21,000 10 years later, and by and thus limited industrialization and a heavy 1978-79 the total rose to 26,000 (The Gambia, reliance on imports; dependence on foreign capital; “Tourism Statistics” 1988; WTO, 1991). One high and disproportionate expenditure on admini- explanation, among others, might be the diversi- stration, and social and physical infrastructure fication of source markets (discussed below). In (UNCTAD. 1990). the period 1979 to date, however, arrivals have Two macroeconomic measures were introduced been erratic, and may be ascribed to a combina- to alleviate these pressures, notably the 1985 tion of factors (ARB, 1990a; 1981a; 198lb). The International Monetary Fund (IMF) - inspired oil crisis of 1979 made travel more expensive, and Economic Recovery Programme (ERP) and the coupled with the understanding that tourists are 1990 Programme for Sustained Development price conscious, led to a reduction in tourist (PSD). Both reforms emphasize the significance traffic to The Gambia. This unfortunate situation of market forces in attaining economic develop- was exacerbated by the failed coup attempt of ment for the country, with government providing 1981 which was believed to have led to cancella- the broad economic and political environments tions of holiday packages. It is possible that within which these forces might operate. government’s imposition (in 1988-89) of a 6% What is also striking about the two reform sales tax on international tourist packages and programs is a recognition of the role of tourism in 10% on domestic bookings might have dam- this country’s development process. pened demand. First, tourism has been described as “manna In the same period, available hotel bed stock from heaven” (Erbes, 1973: p. 1) which will solve has increased rapidly because of structural all the economic difficulties of developing coun- changes and extensions carried out by hotel tries, in terms of contributions to foreign ex- owners. At present, hotel capacity constitutes 17 change earnings, government revenues, regional hotels with 5,000 beds. Most of these accommo- development stimuli, and creation of employ- dation outlets are in the Greater Area ment and income. Second, since many “firsts” (Figure 2), where much tourism development has among other developing countries have estab- taken place. In addition, the average rate of bed lished a tradition of tourism, albeit with success- occupancy of the entire hotel network in 198&87 ful results, The Gambia’s use of the enterprise is was 45%. Rut if one adds to the air charter no exception. Third. as Jenkins (1991) has tourists those visitors who come to The Gambia argued, tourism also provides substantial for other reasons, then one discovers that the intersectoral linkage possibilities, and is not annual bed occupancy rate would be around restrained by the usual trade barriers such as 58.1%. Considering the seasonal nature of The quotas and tariffs. It uses the natural infrastruc- Gambian tourism sector (as argued below), ture of a country such as climate or attractions, competition, price and other factors, one also the development of which, arguably, has a low observes a marked difference in the occupancy marginal cost relative to investment in other rate of air charter tourists in the high season sectors of an economy. Fourth, tourism is a (62.8%) and the low season (19.7%). But in growth sector in the world economy, and its relation to the above statistics, it must, however, growth potential has not been reached (Edwards, be said that considering that The Gambia lacks a 1988). Despite troughs in growth trends, for reliable system of records concerning tourist example. the Gulf War, tourism has the resili- activity (EIU, lY90; World Bank, 1986). these ence to recover quickly from such temporary figures must be viewed with care. Obviously, the setbacks. The aims of this paper are to examine unreliability problems are those associated with how The Gambia, as a small developing country, the general definition, collection, processing of has used tourism as a viable development option, tourist data as well as undercounting. In respect and to consider policy framework which might of The Gambia, perhaps the reliable data on enhance the economic benefits accruing from this tourist traffic are the registrations of charter activity to this country. flights.

2. GROWTH AND NATURE OFTOURISM (a) Tourism in The Gum&an economy DEVELOPMENT In the wider context of development, tourism Before 1965, The Gambia as a tourist resort plays an important role in the country’s economic THE GAMBIA 279

Table 1. Tourist arrivals, bed capacity and horel occupancy 197940 IO 1990-91

Hotel bed occupancy rates % (only air charter tourists) Arrivals Season: Year Air Sea Land Total Bed capacity Yearly High Low

1979-1980 36,570 2,466 3.716 42,752 3,012 43.3 63.5 9.1 198&19X1 29,838 1.767 5,665 37,270 3.360 36.6 44.3 7.Y 19X1-1982 23,068 1,95x 7,812 32.838 3,420 20. I 3X.4 6.7 19X2-1983 41,100 1,019 7,522 49.641 3,9X9 31.6 47.4 17.2 19X3-1984 54,933 1,039 X.136 64,108 3,927 42.9 55.9 20.3 19X4-1985 64,365 1,234 X.254 73,853 3.X65 47.9 61.X 23.5 198&%19X6 67.X63 1,499 8,906 78.268 3.977 48.5 64.4 22.3 19X6-1987 66,551 1.727 9,355 77.633 4,438 45.0 61.9 lX.Y 19X7-1988 86,074 1,310 9,129 96,513 4.500 47.4 62.3 lY.2 198X-19x9 89,898 2,460 9,246 101,604 4.730 49.1 63.5 20.4 19X9-1900 77.075 479 8,306 85,860 5,000 42.5 59.4 17.5 1990-1991 93,945 1,71X 5.756 101,419 5,000 4X.6 62.X 19.7

Sources: The Gambia, “Tourism statistics” (various issues)

J7 Sunwmg Hotel

Abuko Nature x

A Maln towrdcltles v Tourist Hotels x Abuko Nature Reserve N 0 Radio Gambia 0 5km + Yundum International Airport t i 0 3 I Mole!

Figure 2. Tourism Development Area (TDA) - Location of some tourist hotels 2x0 WORLD DEVELOPMENT

development efforts. Government figures for (Table 2). Tourists are mainly holidaymakers 1989 show that tourism contributed approxi- from northern Europe, predominantly British mately 10% of Gross Domestic Product and net and Swedish, whose arrivals in the 1989-90 earnings of about US$25 million in foreign tourist season represented 57% and 13% respec- exchange (The Gambia, 1990). For the same tively of total arrivals on organized holidays. As a period in focus, the tourism sector employed consequence of official tourism policy to allow about 7,000 Gambians directly or indirectly. The other charter operators especially from , direct jobs were in hotels and restaurants which Italy, to serve The Gambia, there has provided earnings for workers and investors in been a change in the characteristics of the tourist: the form of wages and profits. Indirectly, more youthful, less-affluent tourists (Steffen, tourism-related activities such as handicrafts, taxi 1988). But a continuing dependence on these transport, or “following the tourists” (prostitu- markets is, of course, among other factors, a tion, “professional friendship” and begging), as function of economic stability in the tourist Farver (1984) described it, provided earnings to source markets. Second, The Gambia’s tourist those engaged in them. Estimates are imprecise, product spectrum includes a good combination of but government sources also suggest that the sand, sea, sun and plenty of African history, in number of Gambians engaged in these informal addition to all-inclusive packages. Most visitors sector activities might be over 3,000 (The to The Gambia agree that its people are friendly Gambia, 1990). Considering that figures for The and peace loving, and this may explain why one Gambian labor force are similarly unknown, it promotional brochure has described the area as cannot therefore be determined what proportion “the smiling coast” (The Gambia, “Tourism of it is contributed by this sector. What is also not Statistics” 1988, pp. 13-14). It can then be clear was the amount of income that accrued to further argued that these qualities account for the individuals in this sector, or the frequency of such fact that The Gambia is regarded as a value-for- earnings. Varley (1978) and others (Elkan, 1975; money winter destination. Swain, 1977) have, nevertheless, indicated that Third, the Gambian government has pursued generally the informal sector benefits the local sensible and sound tourism investment policies, population more than the formal wage labor and has obtained the goodwill of the inter- sphere does because of its grassroot support. national lending institutions. The policy objec- Compared to agriculture’s share in GDP of tives for The Gambian tourism are set out in the 55% and 9% from industry, current estimate is Second Five-Year Development Plan, 1981-82 to that tourism now ranks second among the three 1985-86. The main features of tourism policies main activities of The Gambia’s export trade. In are: analyzing the above statistics as a measurement to overcome major constraints in order to derive of the economic performance of The Gambian more tangible economic and financial benefits from tourism sector, a number of general observations the industry; to consolidate existing developments can be made. First, the figures go deeper than and resources and to restrict superstructural they appear, and cognizant of the much re- development along the coast; to create within the hearsed problems of tourism statistics, alluded to public sector an effective and efficient organiza- earlier, it is possible that the data may well be tional and management framework for tourist over/underestimates. Nonetheless, they do pro- promotion, and for monitoring and control of the vide an indication of the place of tourism in the industry; to increase the industry’s linkages with the economy of this country. As this role increases, agricultural sector and to increase Gambian partici- pation in the industry; to develop up-country tourist so too does the need for an improvement in more facilities; and to adopt effective steps to control the reliable time series of tourism data, as a basis for social impact of tourism (The Gambia, 1981). policy formulation. Second, in terms of policy, there is the potential to further the economic These statements underscore the importance that advantages of tourism, through sensible policies The Gambia places on tourism as an economic that ensure the cooperation of all participants and social force taking into account the major concerned. concerns for the country, as noted above. They are consistent with national policy objectives of economic growth, full employment, income (b) Reasons for success generation, balance of payments, and of narrow- ing rural-urban economic development gap. The Such remarkable successes may be attributable belief is that tourism will contribute toward their to a variety of factors. They include first the achievement. In addition, international lending expansion of the trigger markets, in terms of institutions were quick to respond to requests tourist nationalities who come to this country from The Gambia to support the country’s THE GAMBIA 281

Table 2. Air charter tourists classified by nationality IY823.3 to IWO-YI

1982-83 1983-84 1984-85 19X5-86 1986-87 1987-88 198X-X9 1989-90 199@91

British 10,121 15,061 23.742 28,332 24,515 26,229 30,628 26,901 3 1,370 French 2,402 4.054 4.330 3,756 5.320 5,773 6,926 4.22’) 3.082 German 1,099 2,148 2,106 1,689 1.592 1,661 2,254 4,322 5,583 Danish 2,376 2,644 2,636 2,521 2,590 2.X24 2,938 2,336 2,179 Norwegian 465 946 701 976 1.952 1,506 1,219 868 794 Swedish 6,059 5,669 5,911 5,800 6.69X 6,642 6,949 6,lYX 7,855 Others 4,223 8,960 6,435 4,852 3,092 3,099 3.235 2,167 7,163* Total 26,745 39,491 45,861 47,926 45,759 47,734 54.149 47.02 1 5X.026

Sources: The Gambia, Republic of. “Tourism statistics” (various issues). *Of which: Swiss (1,568), Italian (472), (694). and Dutch (25X).

tourism efforts. Such support led to the initiation investment in the sector. Planning of tourism in of the UNDP-assisted, IDA-financed Tourism The Gambia is done within the overall frame- and Infrastructure Project (TIP) of 1975-80, work of national objectives, and like in many otherwise known as the Bafuloto Project. The other developing countries, it follows a five-year project involved basic environmental and physi- cycle, requiring “an annual rolling revision to cal planning studies for the infrastructure adjust targets and meet contingencies” (Jenkins, required for tourism development. What is strik- 1991, p. 110). Thus, there is, whenever possible, ing about the TIP is a recognition of the absence an integration of tourism policies with national in this country of infrastructural facilities re- development policies, thereby strengthening the quired for tourism. Another dimension is the links between national development planning selection of sites for tourism and their gradual or and tourism planning (The Gambia, “Tourism phasal development. Lands (7.50 meters wide and Statistics,” 1987; The Gambia, 1981, 1988). about 15 km long) west of Banjul (formerly The government’s investment policy objectives Bathurst), the capital, along the Atlantic beach of encouraging foreign investment along with fronts, were in 1974 designated as “Tourism Gambianization in the tourism industry have, to Development Areas” (TDA) (Figure 2). a large extent, been successful (EIU, 1990, p. 65- The relevant legal and organizational frame- 66; World Bank, 1986, pp. 42-44). First, foreign works are also in place. For example, the participation, either through total or partial Ministry of Information and Tourism (MIT) ownership of tourist facilities, especially in the determines overall tourism policy at home and hotel subsector, has been mainly responsible for abroad. Its tourism division deals with market- developing The Gambia’s tourism resource. Such ing, product development, product quality con- investments have come from conglomerates in trol, and overseas activities. Two boards, the countries with established connections with The Tourism Advisory Board (TAB) and the Tour- Gambia, such as Scandinavian Vingressor group ism Liaison Board (TLB), are established under and the UK Copthorne Hotels (formerly British the aegis of the MIT. The TAB, comprising Caledonian Hotels). Second, joint ventures representatives of public and private entities, acts between Gambians and foreign investors have in an advisory capacity to the MIT on all matters provided a stable environment to further tourism pertaining to the tourism sector. The TLB development. In both cases, for instance, before organizes and coordinates development related the adjustment programs, foreign and govern- to tourism, particularly in respect of land alloca- ment’s financial participation in new hotel tion in the TDA. The National Investment Board development accounted for 52% and 48% of new (NIB) handles government interests in hotel beds, respectively (World Bank, 1986, p. 43). investment ventures. Other forms of assistance of From the figures critics might infer that a the government consist of full loan guarantees to substantial proportion of hotels were under secure financing for hotel construction, participa- foreign ownership, but they had the advantages tion in ownership of most tourist hotels, the of providing a high standard of facilities and establishment of a hotel school to train needed service and scarce capital, and therefore enhanc- labor, and the granting of incentives to stimulate ing demand for The Gambian tourism. Third, in 2x2 WORLD DEVELOPMENT terms of managing the hotels, three types of Table 3. Monthly tourist arrivals (uir churler), 1984-X.5 management - direct, hired (leasing), and to 198%YU contract - prevailed. It could be argued that foreign participation had enabled The Gambia to 19x4-x5 1985-86 198&X7 19X9-90 benefit from international reservation systems and to take advantage of economies of scale. July 1,164 819 594 947 Finally, the government’s programs to divest its Aug 927 920 703 937 holdings in most large hotels have enabled many Sept 95.5 934 565 674 foreign investors to buy outright these properties Ott 3,324 3,641 1,881 1 .X76 (EIU. lY90). Nov 5,884 7,006 6.653 6.262 Dee 6.659 X,176 3,200 8,791 Jan 7,362 1,472 7.0% 7,432 Feb 6,477 6,970 7,405 1,452 3. TOURISM ISSUES AND RELATION TO Mar 5,965 6,442 6,833 6,.541 April DEVELOPMENT POLICY 4,479 4,286 4,593 4,666 May 2.025 846 x99 1,02x June 640 414 371 4.237 One issue considered here relates to the seasonality of The Gambian tourism (Table 3). Total 45.861 47.926 45,759 so ,x49 The most intensive period of tourist activity is during the high season, November-April, and Sources: The Gambia, “Tourism statistics” (various the rest of the year may be regarded as the issues). shoulder/low activity months. Several factors may account for this seasonal phenomenon as Dieke (1991) has suggested. Most Europeans what tourists actually spend in the country will seek holidays in the sun during their winter further highlight the problems. Best available season, and the high season in The Gambia is a estimate puts the tourist average daily spend at reflection of this climatic condition. But low about US$8 in 1989 (EIU, 1990), but what is left activity may pertain to the weather conditions in unsaid is that this expenditure is reasonable, for a The Gambia: between May-September the coun- number of reasons. One is that there are limited try experiences heavy rains that curtail tourism, spending opportunities outside of the tourist even though these summer months coincide with hotels (see World Bank, 1986). It is also possible one of Europe’s traditional vacation times. The that many tourists tend to dine in their hotels or low tourist level may also be due to the type of restaurants, and therefore the outside restaurants tourist organization and the sort of clientele to are little frequented. which The Gambia caters. Most tourists who visit Another worrying aspect of the tourism sector The Gambia come by charter flights which in The Gambia pertains to the characteristics or depend on the availability of air carriers. During qualities of the jobs that the industry offers, May-October air carriers are expensive as the largely of three factors: seasonality, low wages, demand increases for direct flights to the Medi- and foreign domination (EIU, IYYO; Farver, terranean countries. Considering competition 1984; Wagner, 1981). Each year, during the off- and substitution effects in international tourism, season, between April and October, most tourist it is not surprising that demand for The Gambia hotels close down. Fifty percent of the staff are is low: thus, the type of clientele seeking sun laid off, others are paid less or sometimes paid on would not by choice visit The Gambia during the a daily basis. This problem has implications for rainy season. A consequence of the lack of the local economy and labor force. Since the demand and low availability in the off-peak period parallels the rainy season when intense period is almost total paralysis of the market. farming activities take place in The Gambia, then Second, doubts have been expressed about the one assumes that these hotel workers would real benefits to this country of its tourist trade return to farm work. Quite the opposite occurs, (EIU. 1990). Most tourists arrive as part of an again as Farver (1984, p. 254) had found out: inclusive tour, using foreign air carriers, and “There is no evidence to suggest Gambian hotel perhaps staying in foreign-owned and managed workers return to the land to farm the hotels, the services of which have been prepaid harvesting of the annual crop coincides with the abroad. The result is that much of the total beginning of the tourist season. This makes holiday price paid by tourists does not accrue to farming and tourism an either/or situation. There The Gambia, and a figure of 23% of the inclusive is no trade-off possibility.” What is not clear tour prices has been suggested as what accrues to though is how workers support themselves during this country (Farver. 1984). An examination of the six-month off-season. Thus the problem of THE GAMBIA 283 seasonality coincides with a similar pattern in the there are difficulties in achieving set goals for the agricultural cycle and therefore is not untypical tourism sphere. One problem lies in the weak of tourism in The Gambia. operating framework for the sector. As discussed The concern about low pay and foreign domi- above, responsibility for tourism involves many nation, though not unusual, appears to be an organizations, among whom cooperation is inherent feature of the tourist industry in The essential, There is the difficulty not only in Gambia. It may be explained by the skilled and coordinating their different activities but, unskilled nature of hotel jobs. Most Gambians, perhaps more important, in implementing poli- because of lack of experience or formal educa- cies, probably attributable to differences in tion, tend to be employed in menial, unskilled interest. Concern has therefore been expressed positions: waiters, room cleaners, kitchen help, that major decisions regarding administration etc. There is thus a correlation between low pay and tourism in the TDA, for example, do not and unskilled jobs. Increase in pay does not follow a clear and well-defined administrative necessarily reflect individual merit but is rather a path (World Bank, 1986). References to in- function of national minimum wage regulations. stances of where plot dimensions in the TDA Progression to management positions is often have been widened without previous permit from impeded through expatriate recruiting for such the TLB, or where the Ministry of Local Govern- high posts. Government policy since the 1970s ment and Lands has sought to preserve lands has been to indigenize labor with a view to against the wishes of other members of the TLB, placing Gambians in the ownership and manage- are evidence of disunity among tourism planners ment of the tourism sector - the much discussed and executives. If these statements are accepted, Gambianization policy. But as Green (1979) has it can be observed that there is bound to be observed, even if individual Gambians achieve confusion within the tourism sector, perhaps the relevant qualifications to fill the management because the powers or decisions of the TLB are positions, in practice, however, such posts will. in often ignored. It is also possible that many other the foreseeable future, be a “closed shop” con- bodies do not always comply with TLB’s indica- fined to expatriates as there is a need for external tions. It may well point to the impotence of the partners. MIT as the custodian of public sector interests in Other concerns for the authorities, briefly tourism. Without enlisting the support and summarized, include: food imports, which in cooperation of these bodies, or having an 1988, were 30% of the entire food imports of appropriate structure to control operational stan- US$lO5.2 million; the increasing cases of prosti- dards in the tourism sector, it is doubtful whether tution and petty crime in a community that is the realization of the planned objectives, as largely (over 85%) Moslems. Such vices, it is noted above, will occur. believed, are anathema to their religious beliefs In the same way that the lack of enforcing and practices. In the final analysis, if it is structure impedes progress, so does government accepted that tourism in The Gambia is. as seen, underfunding of tourism. With current tourism a “pot of gold or pig in a poke?” (Allcock, 1986, budget of D650,OOO (approximately US$76.000), pp. 565-588). then the challenge for planners is it can be said that this sum is inadequate, obvious. First, there is a need to optimize the considering that, for instance, Senegal’s tourism benefits of tourism while at the same time budget is around US$3.5 m (EIU, 1990). Thus minimize the disbenefits. Second, there is the the MIT will be hard-pressed to provide the need to create an organization to look after the required promotion that is crucial to survival. tourism sector, at least to balance the efforts of This dilemma further puts The Gambian tourism the private and public sectors. In both cases, sector into an impossible position to compete in a fundamentally, these tasks are linked to the need highly volatile and contracting international tour- to develop tourism objectives and formulate ism market. Unless the present figure is substan- policies to implement the objectives. Jenkins and tially improved, it appears likely that such Henry (1982) have argued that government financial constraints will continue to hamper involvement is essential to the formulation of overall achievements or serve to make progress tourism policies. Without government input to it, difficult. While the envisaged policy objective of the “development of the industry will lack cohe- exploitation of the interior is welcome news the sion, direction, and short-term initiatives might potential for its realization is at present re- well jeopardise longer-term potential” (Jenkins, strained by the lack of roads and other infrastruc- 1991, p. 70). In The Gambian context, these ture. Indeed, there is little in the way of tourist matters are the subject of the next section. accommodation. “Up-country tourism,” a geo- Furthermore, although the institutional graphic redistribution or spread of tourist facili- arrangements may appear good, in practice, ties and tourist flows into less-developed parts of 284 WORLD DEVELOPMENT

the country, will bridge rural-urban development foreign investment expertise, competition, and profiles. It will bring about cultural exchanges image, are those forces which operate in the between hosts and guests that respect the tourism-generating countries and which affect socioeconomic environment. It will also enable the demand for holidays in the receiving coun- tourists to enrich their experience over wide tries (Dieke, 1989). Given also the dependent areas. Conversely, low demand for it will spell nature of international tourism the implications disaster for the industry in terms of underutiliza- for The Gambia are twofold: first is that the type tion of facilities and a return on investment of tourism it develops is determined by forces capital (Dieke, 1991.) Such in outline are some of outside its control, and second, that the nature the difficulties confronting tourism in The and scope of tourism development policy pro- Gambia. In the next section, the paper discusses grams must reflect these demand determinants. other policy measures which the government has Conversely, if therefore The Gambia cannot taken to encourage tourism development. influence these events in any major way, there On the other hand, in implementing invest- are certain policy choices open to it to increase ment policies, the much-rehearsed problems of the economic advantages of tourism, in the areas dependency, foreign exchange losses to a host of foreign exchange earnings, government country generally associated with Third World revenues, employment, and income. It is to these tourism development recur (Britton, 1982; two sets of issues that the paper now turns. Dunning and McQueen, 1982). In The Gambia the debate is that the terms of management contracts, for instance, are unfavorable; the fee (a) International distribution system paid to a management company is a burden for the hotel proprietofs. The World Bank (1986, By its nature, international tourism imposes p. 44) estimates a 2-3% of turnover or 10% of several constraints and patterns on The Gambia’s the gross operating profit (GOP) of the hotel tourism support programs. As has been noted owner accrues to the foreign management com- above, the international tourism sector is mainly pany. These values appear somewhat low but a dependent one. Britton (1982) has charac- when they add up over a time frame, they will be terized the international tourism system as a significant. Second, the formula of management “three-tired hierarchy” that includes corporate by the large hotel chains may generally imply a actors, corporate subsidiaries, and host country’s lack of interest on the part of the manager in net government agencies. It is the interaction of results. As argued below, the large hotel chains these hierarchies that has given tourism an may also tend to promote the features of the internationalized image structure (Dunning and chain itself in their advertising campaigns rather McQueen, 1982; Lanfant, 1980). It is only by than the features of The Gambia. Reference has examining tourism from this perspective, by been made to the assistance from foreign credit looking at these links with these three levels, that institutions covered by government guarantees. the relevance of dependency to tourism can be Therefore, for the hotels with government parti- appreciated. cipation, the medium- to long-term debts could Thus, Western tourist-generating countries represent a heavy burden for them. In order to dominate the industry via their ownership and advance the debate further it is useful to place management of airlines, tour operations, and, to issue in the wider context of international en- some extent. international standard hotels. vironment. (Overseas control of hotels does not depend on ownership but on contractual relationships with individual hoteliers, Sinclair, 1992.) They also 4. EXTERNALITIES AND DEPENDENCIES create the demand for tourism - essentially the IN INTERNATIONAL TOURISM result of economic and social forces prevailing in the generating countries over which The Gambia A wider issue of concern to this paper than the has no control. Even tourists’ final choice of a design of the programs is how the efficiency of destination depends on information and guidance the programs is affected by the structure of given by travel agents. Tourist movement is development policy in general. There are two organized and packaged, both in terms of travel forces at work which influence the design of the mode and hotel accommodation, by the tour tourism programs. The first set are external operator (for example, see Ascher lY85, and factors in international tourism demand and the English, 1986). The overall travel arrangements second are wider policies to enhance the econo- and the provision of amenities are tailored to mic benefits from tourism. The external factors, satisfy tourists’ expectation. Since tourism is an namely international distribution systems, international activity, tour operators also ensure THE GAMBIA 285 that the facilities and services provided in The consider competition as one other external, but Gambia meet international, rather than domes- prerequisite, factor for tourism program. This is tic, standards, and are familiar and acceptable to because it imposes constraints and patterns on their clients, the “environmental bubble” of development of the industry. The international Cohen’s (1972) description. It is on that basis that tourist market is highly competitive in two future sales and possible repeat business may be respects - price and customer satisfaction guaranteed. In the context of The Gambia, this (Jenkins, 1982). The basic understanding here is notion of acceptability implies that its tourism that tourists are price conscious, rather than price programs, their nature and scale, are determined takers, and that many host countries have similar by external forces. attractions of tourism merit. It implies then that holiday needs not met in The Gambia, for (b) Foreign investment expertise example, may mean that tourists move on to other alternative locations. Clearly, destinations Another important consideration for The are substitutable. Therefore, if The Gambia does Gambia relates to foreign investment or opera- not provide the right mix of attractions for tional expertise. The need for this expertise, as tourists, for the right price, it can lose business. noted, arises from the indigenous Gambians’ lack Another variant of price competition relates to of capital or training necessary to enter into the the nature and extent of incentives which are industry, either on a small or large scale. The central to tourism policy making. It is only fair to result is that the government often has become say that the international competition for invest- both developer and manager, sometimes in ment capital is so great that this will compel The response to proposed private foreign investment. Gambia to offer investors competitive levels of This is because international tourism is an incentives. The aim is to protect international export, service-oriented industry, consumed in a standard facilities, in the interest of consumer host country. Precedence is given to the satisfac- satisfaction and “value-for-money.” tion of foreign customers. It then implies that The Gambian tourist “product” must reach the requisite international, rather than domestic, (d) Image standards. Satisfaction of this provision depends on the availability of international tourism man- A final feature of international tourism system agement at least at the initial stages of develop- is “image” which connotes three fundamental ment. As Wanhill (1983, pp. 17-18) has noted, in meanings (Britton, 1979; Dilley, 1986; Hunt, respect of the hotel subsector: “Tourism is not 1975). The first is the extent to which a country is autarkic: its standards are dictated by the tourist- known: whether the country has a tradition of generating countries and so international hotels tourism and is thus popular to tourists, or often find that, apart from some furnishings, the conversely the destination area is a newcomer, in local industry cannot match the quality they which case it is struggling to be recognized. The demand in order to preserve their brand image.” second relates to how tour operators would wish But given the deficiencies and underdevelopment the country seen, and so they use various of the private sector, The Gambia has actively promotional tools, for example, brochures, to sought foreign investment experience. The convey their message (Mohamed, 1988). The government has even relied on foreign expertise third perspective reflects the host country’s wish to formulate plans for tourism development. To to present a positive case of itself to the entice foreign developers to invest in the sector, international community, perhaps based on its tourism planners in The Gambia have given tourist product. The obvious aim here is to foreign entrepreneurs generous “quantum of correct falsehood and counteract stereotypes, as incentives” (Chib, 1980, p. 235), without which may have been implied in the two definitions available funds and expertise might be competed above. Based on a content analysis of tour away by other countries. This is more critical in operators’ brochures (Mohamed, 1988, pp. 558 the hotel subsector in which there is much 561; Dilley, 1986) four categories of tourist real dependence on foreign expertise, as indeed the image of destinations can be discerned. One emphasis on management contracts, now an focuses on landscape, to say that the area is accepted feature of Third World tourism, attests scenically attractive, with beautiful beaches or to (see also Commonwealth Secretariat, n.d.). attractions for ornithologists. Another describes the destination in recreational terms. This is an (c) Competition obvious theme for it means that the country has opportunities for sunbathing and swimming. A Tourism planners in The Gambia need to third theme depicts the location in service forms, 2X6 WORLD DEVELOPMENT suggesting that there are inexpensive restaurants. resources available in that country, whether they The aim of this category is to attract tourists with are physical, manpower, or capital resources, special interests in colorful open markets or and each type, in terms of availability, quality, markets specializing in local products (e.g., and competitiveness, is needed for a successful handicrafts). The final theme is of local history, tourism development programs. remains of earlier civilizations, museums etc. Therefore, The Gambia needs to ask whether In Europe and North America, The Gambia and how far it can match its own resources with has a mixed image. The country’s geographical the requirements of different types of tourists. It position is not as well known as, for example, needs to ask what it faces in developing them. that of Senegal (Figure l), or Kenya which are Third, potential for tourism has to do with recognized tourist destinations. A more positive determining tourism’s future growth and image of the country stems from links with the development potential. An analysis of demand and Vingressor (Scandinavia) and supply will indicate future directions. These and the United States (Haley’s Roofs). As a development options or scenarios are needed to result, today tour operators feature The Gambia determine what priority tourism development in in their holiday brochures: it enjoys the image of the country is to receive. The assessment may being a beach holiday, value-for-money, relaxing begin by determining how tourism fits into the destination; very open economy and no restric- national development plan. This will be based on tions of currency transactions for companies. what potential exists for tourism to contribute to Tourist image of The Gambia affects demand. earning foreign exchange and for bringing about The images may not necessarily reflect the increases in national income, employment and potential motivations of tourists. Nonetheless, overall economic development, relative to other they do at times correspond to tourists’ percep- sectors. Fourth, in social terms tourism provides tions of the real image of the country they dream the Gambians with a “window on an outside about. In their circumstances, tour wholesalers world” (Harrell-Bond, 1978), the possibility of may be regarded as image makers who portray foreign travel or the opportunity to learn about the characteristics of the tourist attractions of this foreign cultures, and perhaps of “getting country, based more on their operational re- attached” (Wagner and Yamba, 1986). quirements than by the real aspirations of tourists themselves, or of The Gambia. 5. ECONOMIC POLICY RECOMMENDATIONS (e) Endogenousfuctors In examining ways in which policies may be It is important to remember that in formulating devised to enhance the economic benefits from tourism development policies, factors at country tourism and so make tourism in The Gambia level are equally important (WTO, 1988, p. 18). reasonably self-sustaining, the following may be Among the internal influences which should be considered. The five economic impact areas have considered are the country’s level of develop- been identified in previous sections. In terms of ment, the resources available, the potential for foreign exchange, three options need to be tourism and motivation (Dieke, 1989). These are stated. The first is a strategy to increase gross the socioeconomic circumstances of the country, accrual to The Gambia, and the second relates to and in the context of this paper, can be described the collection of that foreign currency. The third as the tourism supply factors over which The option is how to minimize foreign exchange Gambia has some control, although at times, leakage from the economy. As a general proposi- they may be linked with the exogenous forces. tion, it can be said that the extent of the impact Given the constraints of this paper, it is not on The Gambia will be a function of the volume possible to examine these influences in detail and type of tourists arriving in the country, be it here, but to summarize them as follows: First, in high volume of low-spending tourists or low addition to GNP per capita and HDI as useful volume of high-spending tourists (Bryden, 1973). parameters, level of development can be Therefore. a starting point to further this impact measured by the extent to which wealth, skills will be a measure to boost arrival figures. Since are distributed among The Gambians; or the tourists are price conscious, The Gambia might resilience of local cultural tradition. The coun- make itself more price sensitive via exchange rate try’s level of development also reflects the policies, such as giving a special exchange rate for nature, extent and scale of tourism programs tourists. The aims are obvious: the first is to required to sustain the industry. Second, tourism increase tourists’ discretionary expenditure level, development in The Gambia depends on the especially after their arrival in the country. THE GAMBIA 2X7

Second, it will enable The.Gambia to protect its of perhaps antagonizing foreign visitors. Planners share of the tourism market in the light of hostile should ensure that tax regimes do not over- economic environment. Thus, by attracting more burden tourists to the extent that they become tourists to the country, this would increase gross counterproductive. What is therefore required is accrual. a balanced approach to enhance revenues with- Second, there is the question of how that out alienating foreign custom. With regard to foreign exchange spent in The Gambia is col- employment and income effects, their signifi- lected. As in most developing countries there are cance to The Gambia is not in doubt, but training cases of flourishing “black” market trade in programs are important for their enhancement. “hard” currency, and this country is no excep- Since the country lacks advanced management tion. One way to reduce this incidence is perhaps training courses, a policy issue is whether to seek to give special rates of exchange to encourage access to an African regional center, such as foreign visitors to use official sources to exchange Kenya, where such training can be obtained. In foreign money. It is possible that the two the short term, employment of foreign nationals macroeconomic measures may have reduced the should be seen as a stop-gap. Multinational foreign exchange losses to the government as companies in The Gambia can complement the there is not much of a gap between official training efforts of the government to train (government) and unofficial (“black” market) indigenous managers. They can do this by putting rates. In other words, the two-tier systems have at the disposal of this country their extensive converged. The third option might be to examine market connections, established reputations, and ways to minimize leakages of foreign exchange recognized expertise. There is still a role for the from the economy. The outflows may stem from government in that these companies need to be food imports, employment of foreign personnel, “persuaded,” not coerced, to train local mana- of external debt repayments. An import- gers, and to accept that such training is in the substitution strategy can reduce the first prob- overall interest of both parties. lem, and education and training the second. The abundant labor supply in The Gambia can be substituted for capital, and this will have the effect of reducing costs associated with capital 6. CONCLUSION equipment importation, its servicing and possible spare part replacements. Paralleling these The conclusion made here, as a consequence measures should be an attempt to link tourism of these considerations, is not whether tourism is development to other sectors of the economy, important to The Gambia. Rather it is concerned especially the agricultural sector. with the issues arising from the design and Government derives revenues from taxes, implementation of the tourism policies and pro- including an airport departure tax, excise tax, grams and their effects on the sector. But the corporation tax, room tax, etc. One problem realities of international tourism suggest that in with taxation is how to delineate between designing the tourism development policy pro- tourism- and nontourism-induced taxes. grams, the broader issues in terms of inter- Nonetheless, there is scope to increase govern- national and national environments are relevant. ment tax base and the encouragement of domes- The paper has identified several aspects of these. tic and international tourism might boost it. In In this connection, it is argued that a shift toward examining ways to increase revenue, perhaps a more cautious and flexible policies would benefit tourist expenditure survey will be a valuable the tourism sector in The Gambia (and thus input to it because this will identify potential make the programs intended to assist it more taxation areas. effective). It is on that basis that the country will One option might be to adopt a dual tax attract more foreign tourists, and improve stan- structure where locals pay a lower charge than dards and quality of the product. The programs that imposed on foreign tourists who use tourist must also be executed in a careful. sensitive and facilities and services. Although this might pro- planned manner that ensures the cooperation of mote domestic tourism, it has the adverse effect the local communities.

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