Tourism is now 3rd on the list of the Uganda’s primary growth areas of the newly-released National Development Plan, coming after Agriculture and Forestry.
Tourism Uganda, the leading promotion agency, wants to build on the foundation laid out by the sh2b the agency received in the 2009/2010 budget. The Agency is now asking for sh22b in 2010/2011 budget allocation to effectively sell the country’s image abroad. This in turn will attract more foreign earnings.
The newly-appointed boss, Cuthbert Baguma, said the main agenda is to promote local and regional tourism that protects the sector from the uncertainties/natural disasters like the recent ash clouds that paralyzed air travel in Europe, and also to focus on key prime markets and explore sustainable financing options as well as quality standards in the services industry like hotel grading.
However, the national budget framework paper for 2010/11 indicates that, the total allocation for the Uganda Tourism Board under vote 117 of the paper is projected to remain constant in the 2010/2011 financial budget at sh2.05b. Tourism sector experts believe only lobbying Parliament and the higher executive can change this figure.
According to the World Tourism and Travel Council (WTTC), in 2008, tourism contributed 9.2% ($1.2b) to the Gross Domestic Product (GDP), while in Kenya, tourism contributed 10.8% ($3.5b) to GDP. Experts argue that, this variation might have been due to massive investment that Kenya puts into the sector. WTTC report further indicates that, Kenya dwarfs Uganda in tourist arrival figures. Tourism arrivals in Uganda increased by 65% from 512,000 in 2004 to 844,000 in 2008, while Kenya had 1, 816,800 arrivals in 2008.
After several years of under-funding (sh500m) and neglect to the sector, the Government extended sh2b in the 2009/2010 financial year. Baguma says this has improved Uganda’s appearance at source markets and trade fairs. Baguma therefore suggests that the current momentum should be maintained because the more funded agencies like in Kenya, Botswana, Rwanda, south Africa, Malawi and Egypt among others are all fighting for the same market.