About the Report

This report examines the notion that tourism can help deliver 

peace and prosperity to developing countries by examining 

relationships among tourism, development, and conflict in 

three countries: Kenya, Nigeria, and India. The case studies 

were commissioned as part of the 2008 Travelers’ Philanthropy 

Conference held in Arusha, Tanzania. The three-day conference 

was attended by 225 delegates from five continents. Nobel 

laureate Dr. Wangari Maathai, founder and leader of Kenya’s 

Green Belt Movement, gave the keynote address. USIP’s Center 

for Sustainable Economies commissioned the case studies used 

in this report from participants attending the workshop.

Martha Honey, co-founder and co-director of the Center for 

Responsible Travel (CREST), heads its Washington, D.C., office. 

She has written and lectured widely on ecotourism, travelers’ 

philanthropy, and certification issues and holds a PhD in 

African history. Her books include Ecotourism and Sustainable 

Development: Who Owns Paradise? Raymond Gilpin is associate 

vice president for Sustainable Economies at USIP. He leads the 

Institute’s work on analyzing economic relationships during 

all stages of conflict. He holds a doctorate from Cambridge 

University in the United Kingdom.

The authors are grateful for comments from Professor 

Timothy L. Fort, Lindner-Gambal Professor of Business 

Ethics and executive director of the Institute for Corporate 

Responsibility at George Washington University, and Marie 

Pace, program officer at USIP. Go Funai (research assistant, 

USIP), Richard Downie (consultant, USIP), and Bethany 

Wylie (intern from Stanford University with the Center for 

Responsible Travel) also contributed to this paper.

1200 17th Street NW • Washington, DC 20036 • 202.457.1700 • fax 202.429.6063

Special Report 233 October 2009

© 2009 by the United States Institute of Peace. 

All rights reserved.

Martha Honey and Raymond Gilpin

Tourism in the 

Developing World

Promoting Peace and Reducing Poverty

Summary

•	 Although often underestimated, the tourism industry can help promote peace and stability 

in developing countries by providing jobs, generating income, diversifying the economy, 

protecting the environment, and promoting cross-cultural awareness. Tourism is the fourthlargest industry in the global economy.

•	 However, key challenges must be addressed if peace-enhancing benefits from this industry 

are to be realized. These include investments in infrastructure and human capacity, the 

development of comprehensive national strategies, the adoption of robust regulatory 

frameworks, mechanisms to maximize in-country foreign currency earnings, and efforts to 

reduce crime and corruption.

•	 The case studies of India, Kenya, and Nigeria reveal several important points. First, relative 

peace and a degree of economic development are preconditions for a successful tourist 

industry. Second, although it has the capacity to help promote peace and prosperity, tourism can also cause a great deal of harm unless it is carefully developed. Third, to deliver 

optimal benefits, tourism must be respectful of the environment and mindful of cultural 

and social traditions. Fourth, tourism must be supported by a coherent national strategy 

and robust laws. 

•	 For tourism to help deliver prosperity and stabilize communities effectively, specific action 

must be taken by three main constituencies: host communities, host governments, and foreign stakeholders. Host communities should work to leverage their competitive advantage, 

improve service delivery, and protect their environment and culture. Host governments 

should establish supportive strategies, introduce and implement necessary regulations, 

remove bottlenecks, and adopt internationally recognized tourism standards. Foreign stakeholders could prioritize tourism as a viable economic force, direct investment to this sector, 

and facilitate knowledge and technological transfers.

United States Institute of Peace www.usip.org

SPECIAL REPORT

Contents

Ecotourism 3

About the Case Studies 3

Addressing the Challenges 8

Conclusions 9

Policy Recommendations 9
2

Tourism is a vital part of the global economy. Generating roughly $1 trillion in global receipts 

in 2008 (up 1.8 percent from 2007), international tourism ranked as the fourth-largest 

industry in the world, after fuels, chemicals, and automotive products.1 The breadth of 

international travel also has greatly expanded in recent years to encompass the developing 

world. In 1950 just fifteen destinations—primarily European—accounted for 98 percent of 

all international arrivals. By 2007 that figure had fallen to 57 percent.2 Once essentially 

excluded from the tourism industry, the developing world has now become its major growth 

area. Tourism is a key foreign exchange earner for 83 percent of developing countries and 

the leading export earner for one-third of the world’s poorest countries.3 For the world’s 

forty poorest countries, tourism is the second-most important source of foreign exchange 

after oil.4

The economic might of the tourist industry has helped transform societies, often for the 

better. Tourism has several advantages over other industries: 

•	 It is consumed at the point of production so that it directly benefits the communities that 

provide the goods. 

•	 It enables communities that are poor in material wealth but rich in culture, history, and heritage to use their unique characteristics as an income-generating comparative advantage. 

•	 It creates networks of different operations, from hotels and restaurants to adventure sports 

providers and food suppliers. This enables tourist centers to form complex and varied supply 

chains of goods and services, supporting a versatile labor market with a variety of jobs for 

tour guides, translators, cooks, cleaners, drivers, hotel managers, and other service sector 

workers. Many tourism jobs are flexible or seasonal and can be taken on in parallel with 

existing occupations, such as farming. 

•	 It tends to encourage the development of multiple-use infrastructure that benefits the host 

community, including roads, health care facilities, and sports centers, in addition to the 

hotels and high-end restaurants that cater to foreign visitors.

With these benefits in mind, the United Nations has identified the development of tourism 

as one of the methods poorer countries might use to meet the Millennium Development 

Goals (MDGs).5 For the first MDG—alleviating poverty—the merits of tourism are evident. 

It can provide jobs and generate income for communities that, in some cases, lack viable 

alternative means of employment. In an assessment of Nigeria’s potential for tourism, 

Francesco Frangialli, the former head of the UN World Tourism Organization, argued that 

with its “capacity to spread its socioeconomic benefits to all levels of society ... tourism 

can be a leading industry in the fight against poverty.”6 With its tendency to produce flexible labor markets and offer diverse working opportunities, tourism can also help realize a 

second MDG, that of promoting gender equality. In Mali, the World Tourism Organization’s 

Sustainable Tourism for Eliminating Poverty (ST-EP) program has supported an effort to train 

the female artisans of Djenne, one of Mali’s oldest and most visited towns. In Costa Rica, 

women’s handicraft cooperatives catering to the tourist market have flourished, providing 

many women, for the first time, with both independent incomes and improved self-esteem. 

If carefully managed, tourism can also be an important part of promoting a sustainable environment, another of the MDGs. Frangialli identified tourism’s potential for not only protecting the natural environment, but also “preserving historical, archaeological, and religious 

monuments; and stimulating the practice of local folklore, traditions, arts and crafts, and 

cuisine.”7 Finally, as tourism by definition involves the transfer of people, culture, and ideas, 

it is ideally placed to foster effective global partnerships, the eighth MDG.

In addition to advancing development goals, some have credited tourism with helping to 

build and sustain peace. Among them is Wangari Maathai, the Nobel laureate and founder of 

The views expressed in this report do not necessarily 

reflect the views of the United States Institute of Peace, 

which does not advocate specific policy positions.

To request permission to photocopy or reprint materials, 

e-mail: permissions@usip.org

About the Institute

The United States Institute of Peace is an independent, 

nonpartisan institution established and funded by Congress. 

Its goals are to help prevent and resolve violent conflicts, 

promote post-conflict peacebuilding, and increase conflict 

management tools, capacity, and intellectual capital worldwide. The Institute does this by empowering others with 

knowledge, skills, and resources, as well as by its direct 

involvement in conflict zones around the globe.

Board of Directors

J. Robinson West (Chair), Chairman, PFC Energy, Washington, 

D.C. • George E. Moose (Vice Chairman), Adjunct Professor 

of Practice, The George Washington University, Washington, 

D.C. • Anne H. Cahn, Former Scholar in Residence, American 

University, Washington, D.C. • Chester A. Crocker, James R. 

Schlesinger Professor of Strategic Studies, School of Foreign 

Service, Georgetown University, Washington, D.C. • Ikram U. 

Khan, President, Quality Care Consultants, LLC., Las Vegas, 

Nev. • Kerry Kennedy, Human Rights Activist • Stephen D. 

Krasner, Graham H. Stuart Professor of International Relations at Stanford University • Jeremy A. Rabkin, Professor 

of Law, George Mason University, Arlington, Va. • Judy Van 

Rest, Executive Vice President, International Republican 

Institute, Washington, D.C. • Nancy Zirkin, Executive Vice 

President, Leadership Conference on Civil Rights 

Members Ex Officio

Hillary Rodham Clinton, Secretary of State • James N. Miller, 

Principal Deputy Under Secretary of Defense for Policy • Ann E. 

Rondeau, Vice Admiral, U.S. Navy; President, National Defense 

University • Richard H. Solomon, President, United States 

Institute of Peace (nonvoting)
3

the Green Belt Movement, who highlights tourism’s potential as “a great vehicle for peace 

promotion.”8 Whether tourism can actually bring about peace or whether the relationship is 

better described as mutually reinforcing, Corazon Gatchalian and Cindi Reiman conclude that 

through its tendency to promote “communication between nations and cultures,” tourism is 

an instrument that “creates a global language of peace.”9

That said, while tourism can bring positive benefits, good does not necessarily follow. In 

recent years, tourism has tended to be a delivery mechanism for some of the darker effects 

of globalization: health pandemics and terrorism. International travelers enabled the outbreaks of severe acute respiratory syndrome (SARS) and swine flu to spread rapidly across 

borders. And holiday destinations, tragically, have become a popular target for terrorists, 

who want to maximize civilian casualties and publicity for their actions. In recent years, 

Mumbai, Bali, Sharm el-Sheikh, Dahab, Mombasa, and Casablanca have come to be associated as much with mass bombings and killings as with tourism.

Ecotourism

While conventional mass tourism often negatively affects host environments, other forms of 

tourism have emerged in recent decades that are more sensitive to their surroundings and 

offer tangible benefits to the local labor force. These newer forms of tourism have come 

to be known as ecotourism, an umbrella term best defined as responsible travel to natural 

areas that conserves the environment and improves the well-being of local people.10 Since it 

first emerged in the late 1970s, ecotourism has spawned several other travel concepts that 

are, in essence, variations on the same theme. These include geotourism, pro-poor tourism, sustainable tourism, responsible tourism, and travelers’ philanthropy. They are united 

by the simple idea that tourism should offer a benefit—and not incur a cost—to the host 

community. They reflect the desire of many holiday goers to give something back to the 

places they visit, or at the very least, avoid doing them harm. A number of countries have 

tailored their tourism industries adeptly to reflect this desire and have reaped economic 

rewards while minimizing the environmental and social impacts of growth. Costa Rica led 

the way in developing the ecotourism concept, followed closely by Ecuador, Tanzania, Kenya, 

and Nepal.

This report explores the ecotourism model, arguing that, if implemented correctly, it can 

reduce poverty and promote peace in the developing world. It uses three case studies—Kenya, India, and Nigeria—to explore some of the ways in which tourism can enable peace and 

prosperity. It also analyzes some of the necessary preconditions for developing a responsible tourist industry, highlighting that ill-planned and poorly executed tourism can cause 

immense damage to communities and create conditions for conflict instead of peace. 

About the Case Studies

Kenya, Nigeria, and India are three developing countries with tourism industries at different 

stages of maturity. Kenya has a long-established and highly successful tourist sector catering to the conventional and ecotourism markets. As the table demonstrates, international 

tourism is a lucrative source of income for Kenya, accounting for 2.24 percent of the nation’s 

gross domestic product (GDP) in 2006. By contrast, Nigeria barely has a tourist industry at 

all, reflected by tourism’s paltry contribution to national wealth, just .02 percent of GDP in 

2006. India has several tourist centers but, given its vast size, it has yet to realize tourism’s 

economic potential. International receipts from tourism made up just 0.35 percent of its GDP 

in 2006. With the case studies, we examine whether or not tourism in developing countries 

has a role in laying down what Martha Honey of the Center for Responsible Travel calls the 

While tourism can bring 

positive benefits, good does 

not necessarily follow. In recent 

years, tourism has tended to 

be a delivery mechanism for 

some of the darker effects of 

globalization: health pandemics 

and terrorism.
4

Tourism Statistics, 1990-2006

Country 1990 1995 2000 2001 2003 2006

Kenya

International arrivals 

(thousands)

814 937 1,037 995 1,146 1,840

Nights spent by 

residents (thousands) n.a. n.a. 794 740 739 n.a

International receipts 

(millions of U.S. dollars)

443 486 500 536 619 1,182

GDP-PPP (billions 

of U.S. dollars)

25.7 31.1 37.4 40.2 43.0 52.7

International receipts 

(percent of GDP)

1.72 1.56 1.34 1.33 1.44 2.24

India

International arrivals 

(thousands) 1,707 2,124 2,649 2,537 2,726 4,447

Domestic tourism 

visits (thousands) n.a. 136,644 220,107 236,470 309,038 461,763

International receipts 

(millions of U.S. dollars) 1,513 2,581 3,718 3,497 4,560 9,227

GDP-PPP (billions 

of U.S. dollars)

721.2 1,038.6 1,519.5 1,616.5 1,876.6 2,668.8

International receipts 

(percent of GDP)

0.21 0.25 0.24 0.22 0.24 0.35

Nigeria

International arrivals 

(thousands) n.a. 1,031 1,492 1,753 2,253 3,056

Domestic tourism 

visits (thousands) n.a. n.a. n.a. n.a. n.a. n.a.

International receipts 

(millions of U.S. dollars)

190 656 813 168 58 51

GDP-PPP (billions 

of U.S. dollars)

90.9 105.2 134.0 148.4 206.2 268.2

International receipts 

(percent of GDP)

0.21 0.62 0.61 0.11 0.03 0.02

GDP = gross domestic product. PPP = purchasing power parity. n.a. = not available.

Source: World Tourism Organization database.

“building blocks of peace,” defined as “social justice, economic equity, sustainable development, and broad based democracy.”11 

A mixed picture emerges. In Kenya, which has had a longer time to finesse its strategy, 

ecotourism is starting to bring about the progress that Honey describes. Conservationist 

David Western,12 the author of a study of Kenya’s tourism industry,13 explains how Kenya 

learned from some of the mistakes it made when it began building its safari-based tourism 

industry. He discusses how Kenya became the first country in Africa to establish both an 

ecotourism society and a framework for assessing the social and environmental impact of 

resort developments. He also illustrates the importance of generating domestic tourism by 

offering free or heavily discounted national park fees to its citizens. Most important, he 

shows how Kenyan communities have benefited directly from tourism by running their own 

wildlife conservation areas. However, the picture he paints is not overwhelmingly rosy. While 

pockets of good practice exist, a fair share of Kenya’s tourism tramples on local customs, is 

indifferent to conservation, and fails to pass on economic benefits to host communities.

The Nigeria case study, by Bola Olusola Adeleke,14 closely examines Honey’s idea of building blocks of peace from the perspective of a country that is still in the formative stages 

While pockets of good practice 

exist, a fair share of Kenya’s 

tourism tramples on local 

customs, is indifferent to 

conservation, and fails to pass 

on economic benefits to host 

communities.
5

of developing a tourism sector. In her analysis, Adeleke argues that, while tourism may 

well promote peace, peaceful conditions have to be in place before tourism can thrive. The 

lack of peace and security, she argues, is the main reason why Nigeria has been unable to 

persuade foreigners to visit its many cultural and natural attractions. In addition, she identifies a string of other societal problems—poverty, corruption, a lack of infrastructure—that 

contribute to Nigeria’s failure to establish a tourist industry. For Adeleke, Nigeria faces a 

catch-22 scenario, whereby tourism has the potential to promote peace and development 

but can only take root in areas where peace and development are already present.

The third case study offers a reminder that tourism is not a magic bullet with the ability to transform developing countries for the better. Aditi Chanchani15 of EQUATIONS, an 

Indian nongovernmental organization (NGO) that promotes good practice in the tourism 

industry, shows that her country has a lot of work to do in developing a sustainable tourism 

model that delivers benefits to local communities. Her examples show that if the tourism 

industry is not properly regulated, it can do harm, developmentally, socially, culturally, and 

politically. She also argues forcefully that regulations alone are not enough; they have to be 

applied and there must be penalties for those who ignore them. 

Although Kenya, Nigeria, and India differ significantly in how they have sought to develop tourism, it is possible to draw some common lessons from their experiences. The first is 

that certain levels of peace and economic development are preconditions for tourism. But 

tourism, in turn, can strengthen existing conditions of peace and development. However, 

everything depends on the way it is managed. As Honey emphasizes, “Tourism promotes 

peace only when it is done in ways that involve and benefit the destination.”16 Ecotourism 

could provide a blueprint for managing this process, as it not only builds entrepreneurial 

skills at a local level but also links community members to the larger world in ways that create knowledge, understanding, and appreciation of other peoples (e.g., clients, the chain of 

marketing, sales, transport). Ecotourism exposes communities to a social network and gives 

them both a reason and the skills to manage social networks in order to benefit themselves; 

the knowledge and communication linkages that tourism creates, for their part, depend on 

and promote fair practices, stability, and peace. 

Kenya

East Africa is a natural destination for tourists, boasting the richest and most varied concentration of wildlife on the continent. Kenya spotted the potential for tourism quickly, 

opening its first national park in 1947 and building a flourishing industry based around the 

safari. Unplanned and unsympathetic development, however, led to Kenya becoming the 

“Costa Brava of the wildlife world,” by the 1990s, providing mass tourism commonly associated with the resorts of the Spanish coast.17 Since then, Kenya has pursued ecotourism 

with more determination, backed by national legislation aimed at protecting wildlife and 

representing communities, but Western contends that “for the moment, the worst of tourism 

is outstripping the best of ecotourism.”18

Although progress has been patchy, Western concedes that Kenya’s ecotourism has been 

able to deliver concrete benefits to its people. Involving local communities is one of its 

central tenets. Thus, admission fees for Kenyans to visit national parks were slashed, providing an important boost to domestic tourism. Ordinary Kenyans also have been involved in 

developing tourism in their areas, and through programs such as Parks Beyond Parks, have 

been given the lead role in managing and conserving wildlife areas in their own communities. As a result, tourism has helped provide employment and alleviate poverty, the first of 

the United Nations’ MDGs. The stronger focus on ecotourism has also aided Kenya’s progress 

toward achieving another MDG, that of environmental sustainability.

Ecotourism could provide a 

blueprint for managing this 

process, as it not only builds 

entrepreneurial skills at a local 

level but also links community 

members to the larger world in 

ways that create knowledge, 

understanding, and appreciation 

of other peoples.
6

One of the most important advantages of tourism, according to Western, is that it tends 

to have a snowball effect, generating revenue in indirect ways. Donor countries are more 

likely to give aid and support to nations that their citizens visit, and where tourists beat 

a path, businesses and NGOs often follow. Although difficult to quantify, this hypothesis 

merits further study.

In his explanation of the growing importance of ecotourism, Western gives most of the 

credit to individual travelers rather than the Kenyan government. Ecotourism, he argues, 

reflects “the traveler’s urge to do good.” This enables ecotourism to “grow spontaneously through contagious social responsibility, rather than by rules and regulations and 

policies.”19 In Western’s view, more can be done to capitalize on the willingness of individual travelers to give something back to the communities they visit. The best model for 

tourism, he argues, should combine the responsible approach of ecotourism with travelers’ 

philanthropic impulse to contribute to developing their holiday destinations. Western cites 

the example of the African Conservation Fund, the U.S. arm of two domestic NGOs, which 

organizes safaris and visits to Kenyan community projects; there, tourists are able to make 

tax-deductible charitable contributions.20 While there is a clear risk that such projects could 

fuel a dependency culture, they are a powerful way of directing wealth to communities in 

a virtually unmediated way. Kenya’s experience demonstrates that tourism can positively 

affect development and help lay down the building blocks of peace, provided it respects 

of the environment, works closely with host communities, and harnesses the philanthropic 

impulses of overseas visitors. 

Nigeria

The story of Nigeria’s tourism industry is one of unfulfilled potential, according to Adeleke.21

Theoretically, the country is tailor-made for tourism: Its 370 ethnic groups give it a rich 

cultural heritage and it is blessed with natural wonders, unique wildlife, and a very favorable 

climate. Yet very little effort has been undertaken at the national level to develop tourism. 

Nigeria did not establish an official tourist board until 1976 and only in the 1990s did it 

formulate a national tourism policy. Most foreign visitors come to Nigeria for business or 

family visits.

What is the reason for this oversight? According to Adeleke, the enabling environment 

for tourism simply does not exist. For tourism—particularly international tourism—to 

flourish, a nation needs to be peaceful and safe. For most of its postindependence history, 

Nigeria has been a byword for political instability, violence, ethnic rivalry, and crime. The 

challenges of marketing its tourist credentials are laid bare by the U.S. State Department 

advisory for the country, which gives even the most intrepid traveler pause. U.S. citizens are 

warned of the dangers of “violent crime in Lagos and other large cities as well as on roads 

between cities,” the prevalence of “armed muggings, kidnappings and carjackings,” and the 

risk of ethnic conflict. They are urged to avoid “all but essential travel” to the Niger Delta, 

the scene of years of violence among local citizens, international oil companies, and the 

Nigerian military.22 Tourism, if established, could help promote peace. In addition, a robust 

tourist sector would diversify the economy, reducing Nigeria’s dependence on its most 

important export—oil—which is also the source of many of the country’s social, political, 

economic, and environmental problems. Clearly, however, tourism cannot gain a foothold in 

societies that are prone to conflict and instability. 

Moreover, to thrive, tourism requires more than just an absence of conflict. Adeleke 

points to several other structural problems within Nigeria that complicate efforts to build 

a strong tourism sector. Poor infrastructure is a particular barrier. Nigeria is a large country 

with a small and badly maintained road network. Tourists would struggle to travel between 

Tourism tends to have a 

snowball effect....Donor 

countries are more likely to give 

aid and support to nations that 

their citizens visit, and where 

tourists beat a path, businesses 

and NGOs often follow.

A robust tourist sector would 

diversify the economy, reducing 

Nigeria’s dependence on oil, the 

source of many of the country’s 

social, political, economic, and 

environmental problems.
7

different regions. Parts of the country, such as the Niger Delta, are almost completely cut 

off (and dangerous). Poverty hinders domestic tourism, but even those who have the means 

have not developed a culture of travel. Another important barrier to tourism is the absence 

of organization and institutional capacity at a national level. For most of its history, Nigeria has not had a national tourism strategy, and government departments overlap at the 

national and regional levels regarding responsibility for the sector, making it difficult to 

devise a coordinated plan. The government does not even possess reliable figures on the 

numbers of international arrivals to and departures from the country. Corruption is another 

serious deterrent, as it undermines government efficiency, deters potential investors in the 

tourism industry, and scares off visitors. 

In sum, while tourism can be of enormous benefit to developing nations, setting up a 

fully functioning tourist industry is beyond the capacity of many. Without a modicum of 

peace and stability, combined with strategic planning at a national level, a country will 

struggle to persuade tourists to risk a visit.

India

Aditi Chanchani’s case study of India illustrates the tensions that could exist among tourism, 

development, and peace. While sustainable and responsible tourism could promote development, poorly implemented projects that do not consider local rights and opinions can hobble 

development and sow the seeds of conflict.

Despite its vast size and wealth of cultural and natural attractions, India has not been 

able to turn tourism into a major dynamo of its economy. Tourism has developed in pockets: 

in Goa, Kerala, and the central region around New Delhi, for example, rather than in the 

country as a whole. India suffers from some of the obstacles Nigeria faces. Travel infrastructure is patchy, much of the population is poor, and the national government has struggled 

to provide a strategic vision for the tourism sector. In addition, safety has become a more 

prominent concern for tourists, following a series of terrorist attacks that targeted highprofile sites frequented by foreign visitors. The coordinated attacks in Mumbai in November 

2008 ended the steady rise in international arrivals seen since 2002. It is too early to assess 

the attacks’ full effect, but tourist numbers were expected to fall approximately 15 percent 

during 2009 in the wake of both the attacks and the global economic recession.23

For Chanchani, tourism has too often failed to pass on economic and social benefits to 

host communities because the national strategy has been fixated on numbers—what she 

calls “arrivals, expenditures and receipts.”24 Many tourist developments are owned by outside investors looking to make quick profits rather than provide sustainable growth over the 

long term. As a result, Chanchani believes that tourism has undermined efforts to fulfill the 

MDGs. Gender equality has been negatively affected by some of the social problems associated with mass tourism, such as wage exploitation and prostitution. Unplanned and poorly 

implemented tourist resorts, golf courses, and amusement parks have caused ecological 

damage, setting back attempts to meet the United Nations’ MDG on environmental sustainability. Chanchani shows that insensitive tourist developments can displace people and 

destroy traditional livelihoods, leaving many with no alternative but to take up low-paying 

and exploitative jobs in the tourist sector.

Chanchani acknowledges that tourism can promote peace, but adds that “for this to be 

possible one must engage with the reality, the history and the aspirations of those in the 

places that are being visited.”25 Too often, the negative face of tourism stokes conflict. 

Chanchani cites the example of India’s central belt, a region that has been targeted for tourism development where communities have been moved off their ancestral lands to make way 

for what are billed as ecotourism projects. These disputes feed into a long-running Maoist 

While tourism can be of 

enormous benefit to developing 

nations, setting up a fully 

functioning tourist industry is 

beyond the capacity of many.

Insensitive tourist developments 

can displace people and destroy 

traditional livelihoods, leaving 

many with no alternative but 

to take up low-paying and 

exploitative jobs in the tourist 

sector.
8

insurgency, which has turned increasingly violent as the region has been opened up.

Chanchani argues that lax regulations are largely to blame for the problems facing tourism in her case study. The government fails to properly police the tourism industry, allowing 

some local developers to disregard the rules and the wishes of local communities. India’s 

environmental legislation is designed to protect ecologically fragile areas from development, but it has been watered down or simply ignored. In Goa, resorts and hotels have 

sprung up along the coast in clear violation of the rules. Chanchani also criticizes the state 

governments of Maharashtra and Himachal Pradesh for bending strict land ownership rules 

to clear the way for large tourist developments. Many of these projects have been carried 

out under the banner of ecotourism, yet emphatically do not preserve the local environment 

or benefit local people, who are rarely consulted and, in some cases, are shunted off their 

land to make way for luxury hotels, ski resorts, and amusement parks. The example of India 

suggests that tourism cannot help alleviate poverty and promote peace unless it is properly 

regulated and genuinely engages with host communities. 

Addressing the Challenges 

If tourism is to achieve its full potential as a force for promoting peace and prosperity, 

several challenges must be addressed:

•	 Bad neighborhood effect: The case study of Nigeria shows that peace and security are preconditions for a thriving tourism sector. Travelers are risk averse and do not wish to spend 

their vacation feeling anxious about their personal safety, mindful of their belongings, and 

wary of being ripped off. Developing countries with ambitions to build a successful tourist 

industry need to tackle internal instability and provide a safe environment for potential 

visitors. Unfortunately, unrest and instability in neighboring states are also disincentives 

to travel to potential tourist destinations. Countries that are perceived to be in so-called 

bad neighborhoods are affected by this.

•	 Investments: Solid infrastructure is another precondition for any country wishing to establish a tourism industry. Poor countries need to prioritize the search for capital investment 

to help them build the roads, airports, hotels, and leisure facilities needed to attract visitors 

in large numbers. Investments in human capacity are equally important. Local communities 

need special training to work in the international hospitality industry. Local drivers may 

have to meet more exacting safety standards to chauffeur tourists around than might be 

expected of them in the domestic market. The hotel industry expects that people who work 

with foreign visitors be culturally aware of and sensitive to the expectations and foibles of 

a wide range of nationalities. All of this requires training.

•	 Regulations and standards: The India case study demonstrates that tourism needs to be 

subject to robust laws and regulations if it is to benefit local communities and prevent 

them from being exploited. Laws must protect the environment from overdevelopment and 

safeguard the land, property, and livelihoods of communities affected by tourism. But laws 

in themselves are insufficient: They must be applied and enforced. This requires the presence of strong and effective institutions, at national and local levels. 

•	 Structural leakages: Developing countries must try to capture more tourism spending and 

limit leakage if they are to maximize their revenues from tourism. An international hotel 

chain that opens up in a developing country may create jobs in the local community, but 

it repatriates the profits. In a similar way, host communities might decide that, to keep 

tourists happy, they have to offer them food and drink they are familiar with—which has 

to be imported. Homegrown tourism, on the other hand, allows revenue to remain in the 

domestic economy rather than seep across borders. 
9

•	 Ecotourism, not tourism numbers: Governments need to emphasize implementing the sound 

principles and best practices of ecotourism rather than fixating on increasing tourism 

numbers. High-quality ecotourism can bring more revenue and decrease the harmful social 

and environmental effects of uncontrolled mass tourism. Four decades ago, resort tourism 

was the norm and model. Today, a variety of alternative tourism models provide the tools 

to bring prosperity and strengthen conditions for peace in poor countries.

•	 Strategic oversight: Tourism cannot grow into a thriving sector of the economy without 

constructive leadership from the national government. Too many countries fail to reap 

the rewards of tourism because of poor planning, poorly thought-out strategies, and 

fragmented policies. Strategic oversight includes everything from overall budget planning 

and encouraging outside investment to educating host communities. Without guidance 

from local and national governments, host communities are likely to find the experience 

unsettling and negative.

Conclusions

Tourism is a thriving global industry with the power to shape developing countries in both 

positive and negative ways. The tourism sector has remained robust despite the transnational challenges posed by terrorism, health pandemics, and the global financial crisis. In 

2007, international tourist arrivals passed 900 million; the United Nations predicts they will 

reach the 1 billion mark by 2010.26 It is up to developing nations to seize the economic 

opportunities that foreign visitors present, and some countries have proved more adept 

than others at doing so. Kenya has developed a lucrative tourism sector, powered in recent 

years by ecotourism, and some local communities have benefited directly through social and 

economic development. India’s attempts to build a sustainable tourism sector have been 

undermined by lax regulations, unplanned development, and insensitive attitudes toward 

host communities, many of which have not seen any tangible benefits. In Nigeria, structural 

weaknesses, insecurity, and poor leadership have locked the country out of the benefits that 

tourism can offer.

The three case studies demonstrate that while tourism can be a force for good—both in 

alleviating poverty and helping to cement peace—much depends on the way the sector is 

planned and managed. Tourism can only achieve the above goals if it respects the environment and places host communities at the center of the development process. Responsibility 

lies with the governments of developing nations to ensure that tourism grows in a sustainable manner. But, as the case study of Kenya shows, individual tourists also have a part 

to play. As the driving force behind the ecotourism movement, they have shown that the 

choices they make as consumers can determine whether tourism takes a path that helps or 

hinders development in poorer countries. 

Policy Recommendations

As delineated above, tourism, if properly planned and managed, can help to alleviate poverty and stabilize communities. For that to happen, positive action must be taken by three 

main constituencies: host communities, host governments, and foreign stakeholders.

Host communities should:

•	 Leverage advantage. Communities should know where their comparative advantage lies—

whether it is in wildlife, waterfalls, or wineries—and focus their development strategy 

around it, rather than expanding into areas that they think will attract visitors but with 

which they are unfamiliar.

While tourism can be a force 

for good—both in alleviating 

poverty and helping to cement 

peace—much depends on the 

way the sector is planned and 

managed.
10

•	 Focus on keeping themselves at the center of their development strategy. This will ensure 

local ownership of projects and help to keep profits in house. Community-based tourism 

is also more sustainable and helps to provide the type of authentic experience that most 

tourists are looking for. 

•	 Work on enhancing capacity, in both physical infrastructure and human capital. To fund these 

improvements, communities should follow the approach advocated by David Western27 and 

target the enormous potential that travelers’ philanthropy presents.

•	 Protect the environment and culture. Communities should remember at all times that it is 

the beauty of the surroundings in which they live, the richness of their culture, and the 

diversity of their wildlife that attracts visitors in the first place. A percentage of the wealth 

that tourism generates should be spent to preserve these qualities.

Host governments should:

•	 Establish national tourism strategies and put in place robust laws to protect tourist sites 

and people who work in the tourist industry. They should also ensure that these laws are 

enforced. National standards should be established for the tourism industry and its employees should receive periodic training and guidance.

•	 Address bottlenecks and constraints. In many developing countries, tourism is undermined 

because no single government branch has overall responsibility for it. A government should 

ensure that its tourism sector is not undermined by competing or overlapping departments, 

at either the national or local levels.

•	 Have a creative marketing strategy for the tourist industry. The global tourism trade is highly 

competitive. Developing countries need to think about what sets them apart from other 

potential destinations and focus on marketing these distinctive qualities. Having a clear 

focus will also make it easier to attract foreign investment and visitors. 

Foreign stakeholders should:

•	 Prioritize tourism as an economic force. Tourism is a hugely influential and profitable industry 

and many developing countries are keen to be a part of it. However, they are short of capital 

and infrastructure. Foreign firms can provide both and earn a profit at the same time. 

•	 Facilitate knowledge and technology transfers and offer technical assistance. Fledgling tourism sectors in developing countries need assistance in training staff and teaching new 

skills. Foreign experts from established tourist markets are well placed to offer assistance.
11

Notes

1. UN World Tourism Organization (UNWTO), Tourism Highlights, 2008 Edition (Madrid: UNWTO, 2008) and World 

Tourism Barometer (June 2009).

2. UNWTO, Tourism Highlights, World Tourism Barometer.

3. Lisa Mastny, Treading Lightly: New Paths for International Tourism, Worldwatch Paper 159 (Washington, DC: 

Worldwatch Institute, 2001), p. 15.

4. Mastny, Treading Lightly, p. 37.

5. The MDGs are to eradicate extreme poverty and hunger, achieve universal primary education, promote gender 

equality and empower women, reduce child mortality, improve maternal health, combat HIV/AIDS and other 

diseases, ensure environmental sustainability, and develop a global partnership for development, all by 2015.

6. Message by the Secretary-General, in Nigeria Tourism Development Master Plan: Institutional Capacity Strengthening 

to the Tourism Sector in Nigeria (Madrid: UNWTO, 2006).

7. Secretary-General, Nigeria Tourism.

8. Keynote address to the Travelers’ Philanthropy Conference, Arusha, Tanzania, December 2008.

9. Corazon Gatchalian and Cindi Reiman, “Opportunities to Provide World Peace Through Structured Training in 

Hospitality.” Presented to the American Hotel and Lodging Association, Michigan, 2005.

10. Definition provided by the International Ecotourism Society.

11. Martha Honey, “Tourism: Preventing Conflict, Promoting Peace,” paper commissioned for USIP, p. 2.

12. David Western is founder and chairman of the Africa Conservation Centre in Nairobi, the former director of the 

Kenya Wildlife Service, and the first board chair of the International Ecotourism Society (TIES).

13. David Western, “Ecotourism, Conservation and Development in East Africa: How the Philanthropic Traveler Can 

Make a Difference.” Paper commissioned for 2008 Travelers’ Philanthropy Conference, Arusha, Tanzania. Available 

from the Center for Responsible Travel (www.responsibletravel.org).

14. Bola Olusola Adeleke is a lecturer in the Department of Transport and Tourism Studies at Redeemer’s University 

in Redemption City, Oye State, Nigeria.

15. EQUATIONS is a research, policy advocacy, and campaigning organization working on tourism issues in India with 

the aim of promoting people-centered forms of tourism that are nonexploitative, sustainable, and equitable.

16. Honey, “Tourism,” p. 6.

17. Western, “Ecotourism,” p. 6.

18. Ibid, p. 9.

19. Ibid, p. 6.

20. Ibid, p. 11.

21. Bola Olusola Adeleke, “Peace and Tourism in Nigeria.” Paper commissioned for 2008 Travelers’ Philanthropy 

Conference, Arusha, Tanzania. Available from the Center for Responsible Travel (www.responsibletravel.org).

22. U.S. Department of State, “Travel Warning: Nigeria,” December 2, 2008, available at http://travel.state.gov/

travel/cis_pa_tw/tw/tw_928.html (accessed September 6, 2009).

23. Aditi Chanchani, “Tourism in India: Role in Conflict and Peace,” p. 1. Paper commissioned for 2008 

Travelers’ Philanthropy Conference, Arusha, Tanzania. Available from the Center for Responsible Travel (www.

responsibletravel.org).

24. Ibid. 

25. Ibid, p. 8.

26. UNWTO, Tourism Highlights, p. 1.

27. See Western, “Ecotourism.”
Of Related Interest

•	 Blood Oil in the Niger Delta by Judith Asuni (Special Report, August 2009)

•	 Crisis in the Niger Delta by David R. Smock (USIPeace Briefing, September 2009) 

•	 Beyond Emergency Responses in the Democratic Republic of Congo by Raymond Gilpin, Catherine Morris and Go Funai (USIPeace Briefing, August 2009)

•	 My Kashmir: Conflict and the Prospects for Enduring Peace (2008) by Wajahat Habibullah

•	 Promoting Cross-LoC Trade in Kashmir by Moeed Yusuf (Special Report, August 2009)

•	 Faith and Politics in Nigeria (2008) by John N. Paden

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