Economic development of Kenya, tourism industry impact

Abstract

Tourism in general is a hugely important source of export earnings (it is treated as a service export, even though it is consumed in the country in which it is provided) and a dynamic sector of the world economy. Earnings from tourism (receipts) reached $852 billion even in recession battered 2009 (World Bank). Between 2000 and 2015, the number of international tourists grew from 675 million to 1.2 billion (World Bank). Growth was led by tourist arrivals in developing and emerging economies, which far outpaced growth in tourism to advanced economies, although the latter still lead in absolute numbers. It is, therefore, no mystery why the main focus with regard to economic development of Kenya - classified as developing country, was put on the tourism industry, the merits of which are essentially in terms of increased foreign exchange receipts, balance of payments, government revenues, employment, and increased economic activity in general.