Tourism and Poverty Reduction

Abstract

Tourism is considered by many developing countries to be an important factor in economic progress and poverty reduction. It is therefore evident that the link between them is not automatic. It can only exist if tourism creates new jobs, establishes linkages – mainly with agriculture and services– and stimulates the development of basic infrastructure through the construction of access roads, ports and airports and the provision of financial services that benefit the entire economy. Tourism development must also be part of a national strategy that provides a general, regulatory and institutional framework with adequate incentives to stimulate the development of supply in domestic markets. The extent to which the national strategy limits financial leakages that are detrimental to the country’s economy, which usually is a chronic issue in the majority of developing countries, and the efforts made to lessen the negative impact of tourism on the environment and cultural heritage are also important. The way to make tourism more sustainable and contribute to the achievement of the sustainable development goals of developing countries remains an issue that requires urgent attention. The fight against poverty has become inseparable from development. Although most analyses still focus mainly on its economic dimensions, poverty is now understood by researchers, but also by governmental and non-governmental institutions, as a complex multidimensional concept that challenges all disciplines. Due to its phenomenal growth in developing countries in recent decades, tourism is often considered by these same actors as a vector for the fight against poverty, of which "pro-poor" tourism remains the best-known example. Based on the scientific literature, this article offers an overview of research dealing with the relationships between tourism and poverty in developing countries. UDC: 338.48:316.344.233(1-773); JEL: O13, R11, Z32.