TOURISM players have applauded the recently announced National Budget statement for 2018 and described it as one that will make the country competitive.
The Minister of Finance and Economic Development, Patrick Chinamasa, announced a US$5,1 billion budget and predicted a 4,5 percent growth in the economy.
The economy has not been performing to its potential and to expectations of the populace.
It (economy) has been characterised by low production and export levels, high levels of unemployment and deterioration in macro-economic stability.
The 2018 budget, however, presents an opportunity to contribute to a Comprehensive and Coherent Phased Strategy for addressing the widening macro-economic imbalances.
The tourism industry remains a low-hanging fruit to generate the much-needed foreign currency.
There is a target to reach 2,3 million in tourist arrivals annually and these plans remain on course.
This year, 1,04 million tourist arrivals were recorded in the first half compared to 952 948 the same period in 2016.
President Emmerson Mnangagwa, during his inauguration last month, made it clear that Government’s economic policy will be predicated on creating conditions for an increased production-led economic recovery, targeting Foreign Direct Investment (FDI) as a way of tackling high levels of unemployment.
The tourism sector has also been dogged by limited access to funding and has not fully taken advantage of the rebate scheme introduced by the Government in 2016.
The Finance Minister proposed an extension of the rebate of duty on capital goods imported by tourism operators for a further two years.
Government also renewed the suspension of duty on motor vehicles imported by safari operators in order to replace their ageing fleet for a further two years.
Speaking to The Patriot, Safari Operators Association of Zimbabwe (SOAZ) president, Emmanuel Fundira, said the budget supported growth of the sector.
“This budget is the best ever in the history of this country and it is more practical, realistic and attainable,” Fundira said.
“If you look at specifics, they are measurable and easily achievable although it may require baby steps.
“It will grow the tourism industry and will make the destination more deserving and have a competitive edge.
“But we will need to talk after 100 days, to check against the first parameters.”
Zimbabwe has suffered from negative publicity, spread by the West, following the successful Land Reform Programme, that the country embarked on.
As a result, there was a massive decline of tourist arrivals from many source markets.
It has taken aggressive marketing and rebranding of the country’s tourism product to change the negative perception.
Wengai Nhau, of Wenhau Safaris, said the budget, if implemented in earnest, would grow the industry.
“The budget is very good especially the proposed extension on capital goods,” said Nhau.
“If this is implemented it would be good for the industry.
“The other issue on ports of entry which the Minister said would be more user-friendly was another highlight and this will ease the entry and exit of tourists who are crucial for our market.
“We are still to see if infrastructure rehabilitation and the issue of the Zimbabwe Republic Police would be taken care of.
“This has been a thorn in the foot of the industry.”
Tour African Safaris managing director Robbie Kams concurred that the budget would improve the tourism industry.
“The budget is very realistic and ideal for the tourism industry as it will help make the destination not only more accessible and competitive, but commendable,” said Kams
“More awareness, however, needs to be done for the local tourist to understand that it is not always that when they go through an agent, it is expensive but actually cheaper.
“There is a tendency by many local tourists to make inquiries but not follow through with payments.
“These local tourists then go directly to the destinations.”
Government targets to strengthen destination marketing and paying attention to high spending markets to increase tourism receipts.
An increased allocation in the budget for tourism will enhance the destination, making it a preferred one.
In terms of domestic tourism, Government intends to support it with a bias towards Community Based Tourism Enterprises to empower local communities.
It is imperative that the country continues building on current efforts to improve the requisite airport and road infrastructure, increased connectivity as well as provision of utilities and ICT as a means of creating an enabling environment for the tourism industry.