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Africa: Window on the Future: Prospects, Alliances, Partners

By Louis D'Amore Founder & President, International Institute of Peace through Tourism | October 2008

Scientists believe that human life first began on the African continent some 5-6 million years ago. Recent DNA research traces modern man to the "Original Eve" some 150,000 years ago in the Rift Valley of Africa. From these early beginnings - world population has grown to some 6.5 billion persons of which 900 million reside in the 53 countries of Africa. While Africa is the "Cradle of Civilization" it lags behind all other regions of the world as we enter the 3rd Millennium. Half the population lives on less than US$1 per day, school enrollment is declining, and the average life-span is becoming shorter. While Africa accounts for 14 % of the world's population, its exports account for less than 1.6% and investment in Africa is less than 1% of global investment. Further, total net "Official Development Assistance" to Africa has fallen from previous levels of $17 billion to US$12 billion a year. This scenario is changing however. In July 2001, the 37th Summit of the OAU formally adopted a strategic framework for Africa's renewal called NEPAD - "New Partnership for African Development." NEPAD is first and foremost a pledge by African leaders to the people of Africa to consolidate democracy, sound economic management, peace and security, and people-centered sustainable development. Its primary goals are to eradicate poverty; place African countries on a path of sustainable growth and development; enhance its full and beneficial integration into the global economy; and accelerate the empowerment of women. African leaders personally directed its creation and formally hold one another accountable for its achievement. NEPAD is based on principles of good governance, participation by all sectors of society, acceleration of regional and continental integration, and forging new international partnerships linked to achieving the Millennium Development Goals. **Response of the International Community** The international community has responded positively to the initiative of African leaders. At the 2002 G-8 Summit in Canada, Heads of State of eight major industrialized nations and representatives of the European Union accepted the invitation to build a new partnership with the countries of Africa based on mutual responsibility and respect. The resulting "Africa Action Plan" of the G8 is designed to encourage the initiatives being undertaken through NEPAD and to lay a solid foundation for cooperation. The G8 agreed with African leaders that the prime responsibility for Africa' s future lies with Africa itself and pledged to assist their own efforts by marshalling resources and energizing global action in support of NEPAD objectives. G8 support will be focused on countries that demonstrate a political and financial commitment to good governance and the rule of law, investment in their people and pursuit of policies that spur economic growth and alleviate poverty. The commitment of African countries will be matched by the G8 nations with a commitment to promote peace and security in Africa, boost expertise and capacity, encourage trade and direct growth-oriented investment, and to provide more effective official development assistance. Official development assistance is projected to increase by US$6 billion a year starting in 2006. Similarly, the Asia-Africa Summit in April 2005 established a New Asian-Africa Strategic Partnership (NAASP) with the aim of safeguarding peace and promoting development. NAASP provides a framework to build a bridge between Asia and Africa covering three broad areas or partnership: political solidarity, economic cooperation, and social-cultural relations. Heads of State of Asian and African nations pledged to utilize their own abundant resources and creative energies to solve development problems, conquer poverty, and enhance peace, prosperity and social justice. The Summit acknowledged and agreed to support NEPAD as the African Union's program for poverty eradication, socio-economic development and growth The Asia - Africa Summit commemorated the 50th anniversary of the Asian - African Conference held in Bandung, Indonesia 50 years earlier to promote Afro-Asian economic and cultural cooperation and to oppose colonialism. Leaders of Asia and Africa re-affirmed their conviction that the "Spirit of Bandung" based on solidarity, friendship and cooperation, continue to be a powerful, relevant and effective foundation for fostering better relations among Asian and African countries and development of the entire world. **The Tourism Sector** The World Travel & Tourism Council (WTTC) estimates that total global revenues for travel and tourism will be US$6.5 trillion in 2006, or 10.3% of GDP when considering both direct and indirect contributions. The industry will also account for 234 million jobs or 8.7% of total employment and US$ 900 billion in foreign exchange. Strong growth of 4.2% is projected for the next 10 years. This continued growth has been particularly important for developing countries. Between 1990 and 2000, international travel in developing countries increased 133% and their share of market increased from 25% to 42%. The UN World Tourism Organization (UNWTO) projects that the number of international arrivals will grow five times more rapidly in developing countries than in more established markets such as Europe and North America. Foreign exchange earnings from tourism for the 49 least developed countries are second only to petroleum industry exports which are relevant to only 3 of the LDC's (Angola, Equatorial Guinea, and Yemen). The significance of tourism as a key sector for sustainable economic development, poverty reduction, job creation, and the Millennium Development Goals is now being recognized and acknowledged by donor agencies and governments. The UK Department of Foreign Investment Development (DFID) was first off the mark in 2000 with a "Pro Poor Tourism" policy. In 2001, the theme was emphasized by the 49 least developed countries - most of which are in Africa - at a Conference held in Spain. The resulting Canary Islands Declaration on Tourism in the Least Developed Countries states that "For a large majority of least developed countries, tourism development can be an avenue to increase participation in the global economy, alleviate poverty, and achieve socio-economic progress." Currently, most countries of Africa report that tourism is one of the priority sectors in their Poverty Reduction Strategies and are receiving support from the World Bank, UNDP, Africa Development Bank and several donor agencies including USAID. Tourism provides a promising option to African nations to diversify their economies and to supplement a declining agricultural sector. Most African countries have superb and often unique natural and cultural assets for tourism, providing opportunities for nature-based tourism, cultural tourism, adventure tourism, community tourism, and more. Tourism in turn is human resource intensive, creating more jobs each year than any other industry; it offers entrepreneurial opportunities for micro-enterprise and SME development, as well as community cooperatives. It is broad based, offering opportunities for women, youth and indigenous people - from unskilled to skilled, to managerial and executive positions; jobs in urban areas, seaside resorts, and rural areas - particularly rural areas adjacent to national parks and game reserves. Tourism provides a constellation of linkages into other sectors of the economy as well as culture, wildlife, environment, government, and civil society, and strengthens linkages with the outside world. When wisely planned, tourism can enhance local governance, natural resource and wildlife management, and contribute to achieving the UN Millennium Development Goals. Tourism is key to achieving the challenge of reducing poverty by half by 2015 as it is the only economic sector in which LDC's have a comparative advantage. Tourism can often best be developed precisely in areas that lack development. Recent work by the Department for International Development (UK) has shown that even the poorest countries can generate tourism and provide stability and security in disadvantaged areas. It is clear, however, that to do so, tourism must be well planned and managed, socially, culturally, and environmentally; designed to achieve maximum benefits to local communities, and integrated within national policies and strategies for sustainable tourism development. The success of tourism in contributing to poverty reduction goals will also depend on the formation of alliances that bring new partners, innovations, and resources of governments, businesses, and civil society together in achieving common objectives and to improve the quality of life of local residents. USAID in providing new leadership in this direction with its Global Development Alliance which provides the opportunity to assemble targeted partnerships to address some of the challenges facing tourism including equipping institutions and people with the knowledge and skills to build equitable and sustainable economies and societies. **4th IIPT African Conference** The International Institute for Peace through Tourism (IIPT) will continue to advance the aims outlined above with its 4th African Conference being held in Uganda, April 2007. IIPT first addressed the "Role of Tourism in Poverty Reduction" at its 1st African Conference in Mpulanga Province, South Africa in 2001. It has been featured as a topic at each of its African Conferences and Global Summits since then - and again will be a central theme in the 4th IIPT African Conference. The Conference is being organized under the patronage of H.E. Yoweri Kaguta Museveni, President, Republic of Uganda and in partnership with the Africa Travel Association and Africa Wildlife Foundation. Uganda, under the leadership of President Museveni, has had extraordinary economic growth since 1986 and has succeeded in substantially reducing poverty. Uganda has also been a world model of success in the fight against HIV/AIDS. The 4th IIPT African Conference will seek to bring a broader awareness to the social, cultural, environmental, and economic benefits of tourism; identify new markets; facilitate product development and investment opportunities; and contribute to reconciliation, peace and wealth creation/poverty reduction on the African continent. Special efforts will be made to continue building an 'Asia - Africa Bridge of Tourism, Friendship and Solidarity' initiated at the 3rd Global Summit on Peace through Tourism in Pattaya, Thailand (October 2005) with an MOU between the Pacific Asia Travel Association (PATA) and Africa Travel Association (ATA). The Conference will bring together senior executives from both the public and private sectors of tourism as well as donor agencies and related sectors including economic development, culture, sports, wildlife and the environment. We extend a warm welcome to each of you to join us in these deliberations.

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Bonnie Knutson Three Must Have Tools in You Hotel's Marketing Toolbox
  • By Bonnie Knutson, Professor, The School of Hospitality Business/MSU

    • My dad was one of those people who could envision and build just about anything. Whether it was a cabinet that held my baby clothes, or a ping pong table, his mind would come up with a creative design and his hands would produce what became an exceptional, functional, and beautiful piece of furniture. Growing up, I was lucky enough to be his helper, learning not only how to make something of value but also those little tidbits of wisdom that would resonate with me in my life and in my business career. One that has always stuck with...

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McKayla Dyk Capitalizing on Citywide Events to Drive Occupancy
  • By McKayla Dyk, Senior Media Manager, Crowe PR

    • Hotels constantly navigate the multipronged challenge of maximizing occupancy while delivering exceptional guest experiences. Cultivating a keen awareness and active participation in citywide events is one of the most effective strategies for achieving both objectives simultaneously. Authentic involvement at the local level allows properties to create unique, memorable stays that resonate with multiple audiences, including out-of-town guests and the broader community. From major sporting events to cultural festivals and concerts, large-scale gatherings present hotels with unprecedented opportunities to showcase their properties, drive revenue and build lasting relationships with guests. The Strategic Value of Event-Based Marketing Citywide events...

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Wendy Hansen Understanding Subordination, Non-Disturbance and Attornment Agreements (SNDAs)
  • By Wendy Hansen, Counsel, Eversheds Sutherland

    • At some point in the ownership lifecycle of nearly every hotel, the owner will seek debt financing – whether for construction, acquisition, recapitalization or renovation. The basic loan documentation will be consistent with loans for other commercial property types, typically including a promissory note, loan agreement, deed of trust or mortgage, assignment of leases, UCC-1 financing statements, and a subordination, non-disturbance and attornment agreement or “SNDA”. While the SNDA is a fairly common instrument in commercial real estate transactions and the underlying principles are the same, there are unique considerations when applied to a hotel financing. This article is...

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Amy Draheim Scrolling to Selling: A Hotel Social Media Playbook
  • By Amy Draheim, Founder, ABD Creative

    • Social media marketing is a bit like sowing a garden. You don’t toss seeds in the dirt and expect to be slicing into heirlooms the next day. But if you work to create healthy soil and add fertilizer when it makes sense to do so, a healthy crop will take root and create the potential for bigger, better yields, year over year. There are a few different ways to navigate the social media landscape to drive top funnel interest and revenue, starting with the long game. Organic social media casts a wide net to an audience of people who...

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Suzie Squier Social Engineering at the Front Desk: A Growing Threat for Hotels
  • By Suzie Squier, President, Retail & Hospitality ISAC

    • Every day, hotel front desk staff welcome new guests and collect their personal identifiable information (PII), such as names, addresses, emails, credit card numbers, and even passport data. This trove of data makes hotels attractive targets for cyber-attackers—but it’s not just the data that draws them in. The hospitality industry is founded on a culture of trust and service. Front desk staff, in particular, are trained to be responsive, helpful, and quick to accommodate guests’ needs. Unfortunately, this hospitable nature makes them prime targets for social engineering cyberattacks. Even if a hotel has a robust...

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Nicholas Tsabourakis Balancing Act: Setting the Right Price Point for Your Hotel Rooms
  • By Nicholas Tsabourakis, Founder & Managing Director, Bespoke Revenue Management

    • Setting the right price for hotel rooms is a delicate balancing act that requires a deep understanding of market dynamics, value proposition, competitor pricing strategies, guest segmentation, seasonality, and the power of technology and data analytics. The challenge lies in finding a sweet spot that appeals to guests while maximising revenue. Pricing too high may deter potential customers, while pricing too low could leave money on the table. So, how can hoteliers strike the perfect balance?  In this article, we will explore each of these elements and provide insights on how to master the art of pricing your hotel rooms...

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Bendegul Okumus Infectious Diseases Caught During Travel: Risks for Hotel Guests and Employees
  • By Bendegul Okumus, Professor, University of South Carolina School of Hospitality & Tourism Management

    • Pathogenic microorganisms, including bacteria, viruses, parasites, or fungi, play a role in the development of infectious diseases. As a result of their rapid and unexpected spread, these microorganisms can cause serious mortality in a community. There are numerous factors that influence health and the origins of infectious diseases which are often beyond the immediate reach of the health sector. These include the travel and tourism industries, as well as other sectors such as sanitation and water supply, environment and climate change, education, agriculture, trade, industrial development, and housing.The number and types of epidemics are increasing locally, regionally, and globally, whether...

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Theresa Hajko Crushing the Competition: Driving More Share to Your Hotel
  • By Theresa Hajko, Regional Director of Revenue Management, Spire Hospitality

    • In our fluid industry where it seems like a new hotel is opening on every corner and we are competing with short term rentals for business, hoteliers must become savvier about growing share. While there are an infinite number of ways to achieve this some of the tried-and-true measures still hold up with a few new ones in the mix. Let's take a closer look at just a few that stand out and a few more that have stood the test of time. Service and Cleanliness are EVERYTHING They always have been and always will be. It would...

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Carol Leaman Labor Shortages, Low Tips, Burnout: Can We Turn The Tide for Frontline Hospitality Workers?
  • By Carol Leaman, Co-founder, Axonify

    • Hospitality is facing a host of issues across the world, from labor shortages and burnout to outdated training programs and shifting customer needs. In the United States and the United Kingdom specifically, frontline workers and managers are struggling with these challenges, which threaten their well-being. I’ve personally had a front row seat to these challenges over the years as the CEO of a company deeply seated in the frontline training industry. A recent survey by Axonify of frontline hospitality managers in the U.S. and the UK, uncovering a variety of problems that are putting both employees and managers...

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Kenneth Heymann How Do You Terminate an Employee?
  • By Kenneth Heymann, Managing Director, Heymann2 & Associates

    • Of all the tasks required of management, terminating an employee is probably the most difficult and discomforting. In my years running a company and consulting with others, I found very few managers who could conduct a termination in an effective and humane way. And today more and more managers take the easy, colder way of terminating people via email. But before one reaches the point of terminating an employee (as distinct from laying one or more people off due to business conditions or changing the work environment) there are a number of steps to go through before reaching...

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