| Travel & Tours |    8193 VIEWS  |
| Travel & Tours | |
| 8193 VIEWS | |
 |
Friday, February 16, 2018 /4:45 PM / FDC
The oil price plunge which started from mid-2014,
drove Nigeria into a recession as the Nigerian economy was largely dependent on
oil. This prompted the government to intensify its efforts in economic
di-versification. The diversification efforts tilted towards other sectors of
the economy such as agriculture, tour-ism and hospitality, as well as support
for small and medium scale enterprises (SMEs). These sectors, that have been
long ignored, were believed to have great growth potential. We see particular
potential for revenue generation in tourism (both domestic tourism and to a
larger extent international tourism). In an attempt to capitalize on this
potential, the government, with the help of the United Nations World Tourism
Organization (UNWTO), rolled out a number of measures, including technical
assistance, capacity building and the revision of the country’s Tourism Master
Plan. However, these efforts appear insufficient as they do not address the
prevalent infrastructure and security challenges.
To attain its potential, more work needs
to be done in the tourism industry. The need to invest in infrastructure,
service delivery, security and rebranding cannot be overemphasized. Essentially
there may be not be a significant increase in the number of tourists unless key
issues such as accessibility (both in terms of transportation infrastructure
and affordability), hospitality, and security are addressed. Hence, a shift in
focus to ad-dress these infrastructural problems is needed in order to realize
its potential.
Challenges of Nigeria’s tourism sector
The deplorable state of Nigeria’s tourism sector is confirmed by the
World Economic Forum’s Travel and Tourism Competitiveness Index where the
country ranked 129 out of 136 countries. Nigeria’s ranking, compared to other
African peers such as Kenya (ranked 80th) and South Africa (53rd), shows that
the nation’s tourism sector is highly uncompetitive and underdeveloped. A
review of the sector’s contribution to GDP in the past decade has shown that
its largest contribution was in 2008. At that time, travel and tourism directly
contributed about 2.4% to GDP. Subsequently, the number has fluctuated between
1.5% and 1.8%. This decrease coincides with the insecurities associated with
the violent terrorist group, Boko Haram.
The insurgency has been a deterrent to domestic and international
tourism as it led to security warnings from countries such as the US and the
UK.
The tourism sector is also constrained by
low income and inadequate infrastructure i.e. transport, logistics and
accommodation. The number of Nigerians living in poverty stands at 112 million
(62% of the population). This poses a strong challenge to domestic tourism as
the average Nigerian considers it a luxury to travel within the country.
Furthermore, inadequate infrastructure and
poor development of tourist sites are also constraining the sector. A typical
example of this is evident at Owu Falls, located at Owa-Kajola in Kwara State.
Despite being one of the highest waterfalls in West Africa, the resort is
severely underdeveloped as it lacks an accessible road network. As a result, it
hardly attracts visitors or generates revenue. In a similar vein, tourist
attractions such as Zuma Rock and Gurara Falls in Niger State are largely
undeveloped as there is barely any onsite accommodation. Ultimately this
negatively influences tourism as tourists are forced to limit their stay.
The prospects of the sector
With a population size of 182 million, Nigeria has a lot of potential
for domestic tourism. Similarly, with two sites (Osun-Osogbo Sacred Grove and
Sukur Cultural Landscape) already on UNESCO’s World Heritage list and 12 sites
on the list for consideration, the prospect of international tourism is also
high. However, actualization of the potential hinges on the collective effort
of state governments, as well as the Federal Government.
Periodicals and travel websites have, for example, picked up on Rwanda's
ecological conservationism and rigorous security presence in wildlife
parks—helping to alter negative preconceptions about the country's violent past
and deliver rapid tourism growth. Like-wise, a poaching clampdown in Malawi got
the country into fifth place in the top ten global destinations listed by a
leading travel publication, Lonely Planet, in 2014.
Nigeria can achieve a similar feat by improving the country’s image. For
example, the government can invest in high quality tourism publicity campaigns
for its attractions e.g. Obudu Ranch and Osun-Osogbo Sacred Grove. Furthermore,
through Nollywood, Nigeria’s movie industry (the third most valuable movie
industry in the world) the authorities can create more awareness for the
nation’s at-tractions to potential tourists.
In addition, security challenges, e.g. the high crime rate, could be
tackled through specific initiatives such as special tourist police officers
who patrol areas frequented by tourists and safeguard hotels. Countries such as
South Africa have had success bolstering tourism through this initiative. To
this end, other countries with less of a crime problem such as Uganda have also
begun to implement similar measures to boost confidence up general reassurance.
These measures are positively noted in travel advisory websites.
While the tourism sector in Nigeria faces
notable challenges, the growth potential is immense. The Federal Government
through the ministry information, culture and tourism rolled out plans to
develop the sector. Provided the authorities channel efforts towards tackling
the constraints facing the sector e.g. infrastructure and security, the tourism
sector would emerge as one of the major drivers of economic growth and
diversification in the near to medium term. However, an attempt that fails to
tackle the identified challenges will only amount to a surface scratch.
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