Richard R. Miller Executive Vice President World Travel & Tourism Council

2. Richard R. Miller Executive Vice President World Travel & Tourism Council

3. Caribbean Travel & Tourism Moving Forward…..Together June 25, 2004 Rodney Bay, St. Lucia

6. Tourism Satellite Accounting

7. TSA Milestone Tourism Satellite Account: Recommended Methodological FrameworkuWTO, OECD, Eurostat and UNMay 2001

8. What is Tourism Satellite Accounting? The Tourism Satellite Accounting System links Demand for Tourism to the Industries that Produce these Goods and Services. u An Accounting Tool for Making Informed Business and Government Policy Decisions

9. WTTC’s TSA Research WTTC / OEF From Strategy and Concepts to Implementation, Model Building, Hard Data, Research, Analysis And Reporting u 14 Years of Commitment

10. The Caribbean TSA Estimates

11. Caribbean - T&T Demand 2004 Personal Travel & Tourism Business Travel Government Expenditures Capital Investment Visitor Exports Other Exports

12. Caribbean - Personal T&T 2004 • Travel & Tourism Spending by Caribbean Residents • US$8.0 billion in 2004 • 6.5% of Total Personal Consumption in 2004 • 6.0% Real Growth in 2004 • 3.8% Real Growth per annum (2005-2014)

13. Caribbean - Business Travel 2004 • T&T Spending by Caribbean Companies and Government Agencies • US$1.3 billion in 2004 • 6.9% Real Growth in 2004 • 3.8% Real Growth per annum (2005-2014)

14. Caribbean - Personal and Business T&T Personal and Business Travel & Tourism (US$ mn)

15. Caribbean - Gov’t T&T Expenditures • Government Travel & Tourism Services Provided to Individual Visitors and the Community-at-large • US$1.9 billion in 2004 • 8.2% of Total Government Expenditures in 2004 • 1.2% Real Growth in 2004 • 3.3% Real Growth per annum (2005-2014) 2004

16. Caribbean - Gov’t T&T Expenditures Travel & Tourism Government Expenditures (% of Total)

17. Caribbean - T&T Capital Investment 2004 • T&T Facilities, Equipment and Infrastructure by Public and Private Sectors • US$7.4 billion in 2004 • 21.7% of Total Capital Investment in 2004 • 1.6% Real Growth in 2004 • 3.1% Real Growth per annum (2005-2014)

18. Caribbean - T&T Capital Investment Travel & Tourism Capital Investment (2005-2014 Real Growth Annualized, %)

19. Caribbean - Visitor Exports 2004 • T&T Spending by International Visitors • US$19.0 billion in 2004 • 16.1% of Total Exports in 2004 • 16.8% Real Growth in 2004 • 4.4% Real Growth per annum (2005-2014)

20. Caribbean - Other T&T Exports 2004 • Consumer and Capital Goods Exported for Visitors and Travel & Tourism Companies Abroad • US$2.7 billion in 2004 • 2.3% of Total Exports in 2004 • 8.0% Real Growth in 2004 • 3.9% Real Growth per annum (2005-2014)

21. Caribbean - T&T Exports Travel & Tourism Visitor and Other Exports (US$ mn)

22. Caribbean - T&T Exports Travel & Tourism Visitor and Other Exports (% of Total Exports)

23. Caribbean - T&T Visitor Exports Travel & Tourism Visitor Exports (2005-2014 Real Growth Annualized, %)

24. Caribbean - T&T Demand 1990 Constant US$ Bn Cumulative Real Growth % 1990 1995 2001 2005 2010

25. T&T Industry and Economy Consumption (Industry) Demand (Economy)

26. Caribbean - T&T Industry GDP 2004 • Travel & Tourism GDP Associated with Visitor Consumption (Direct) • US$8.7 billion in 2004 • 4.5% of Total Gross Domestic Production in 2004 • 14.9% Real Growth in 2004 • 4.4% Real Growth per annum (2005-2014)

27. Caribbean - T&T Economy* GDP 2004 • Travel & Tourism GDP Associated with T&T Demand (Direct and Indirect) • US$28.4 billion in 2004 • 14.8% of Total Gross Domestic Production in 2004 • 11.0% Real Growth in 2004 • 4.1% Real Growth per annum (2005-2014) *WTTC Concept

28. Caribbean - T&T GDP Travel & Tourism Industry and Economy GDP (% of Total GDP)

29. Caribbean - T&T Industry Employment 2004 • Travel & Tourism Employment Associated with Visitor Consumption (Direct) • 814,600 Jobs in 2004 • 5.2% of Total Employment in 2004 • 16.7% Real Growth in 2004 • 3.0% Real Growth per annum (2005-2014)

30. Caribbean - T&T Economy* Empl. 2004 • Travel & Tourism Employment Associated with T&T Demand (Direct and Indirect) • 2.4 million Jobs in 2004 • 15.5% of Total Employment in 2004 • 12.5% Real Growth in 2004 • 2.8% Real Growth per annum (2005-2014) *WTTC Concept

31. Caribbean - T&T Employment Travel & Tourism Industry and Economy Employment (% of Total Employment)

33. Adventure Jeep Tour Air Jamaica, Ltd American Airlines Asesor Económico, Secretaría de Estado de Turismo Asoc Hoteles de Juan Dolio Asoc Hoteles de Santo Domingo Asoc Hoteles Romana-Bayahibe ASONAHORES Atlantis Adventures Bahamas Hotel Association Bahamas Hotel Employers Association Bahamas Ministry of Tourism Bahamas Taxi Cab Union Bakers Choice Barbados Chamber of Commerce Barbados Ministry of Tourism Barbados Tourism Authority Barbados Tourism Investment Inc Barbados Workers' Union British Airways (Barbados) Caribbean Producers Jamaica Ltd Caribbean Tourism Organization Central Bank of The Bahamas Centro de Estrategias Centro de Investigación Económica de las Antillas (CENANTILLAS) Coco Kreole Resorts Comfort Suites Paradise Island Courtesy Rent-A-Car Cox & Company Creative Travel Consultants Cuentas Nacionales Banco Central Curacao Hospitality & Tourism Association De Marchena Kaluche & Asociados Deloitte & Touche Foster & Ince Cruise Services Inc Grenada Board of Tourism Grenada Hotel & Tourism Association Grenada Industrial Development Corporation Grenada Ministry of Tourism Hanschell Inniss Ltd Harmony Suites Horned Dorset Primavera Horwath Consulting Hotel Development Corporation Hyatt Hotels & Resorts International Hospitality Enterprises Jamaica Hotel & Tourist Association Jamaica Ministry of Finance & Planning Jamaica Ministry of Industry & Tourism Jamaica Tourist Board Jamaica Tours Kerzner International Minister of Tourism (St Lucia) Nassau Paradise Island Promotion Board Nature Heritage Tourism Organisation of Eastern Caribbean States Pas Purchasing PricewaterhouseCoopers Puerto Rico Convention Bureau Puerto Rico Convention Center District Puerto Rico Department of Economic Development & Commerce Puerto Rico Government Development Bank Puerto Rico Hotel & Tourism Association Puerto Rico Tourism Company Round Hill Hotel Sandals Halcyon Sol Meliá Hotels & Resorts St Lucia Ministry of Finance St Lucia Air & Sea Ports Authority St Lucia Department of Labour St Lucia Golf & Country Club St Lucia Ground Handlers St Lucia Hotel & Tourism Association St Lucia Ministry of Tourism St Lucia National Economic Council St Lucia Representative Services St Lucia Taxi Council St Lucia Tourist Board St Lucia Yachting Association Sunset Beach Resort SuperClubs Symonette Marketing Group The Barbados Hotel & Tourism Association The Flamboyant Hotel The New York Times The Sandpiper Hotel USAir, Bahamas US Airways United States Virgin Islands Department of Tourism Villa Montaña Resort Viva Resorts Wavecrest Apartments Wexford Court Hotel Windjammer Landing Wyndham El San Juan Hotel Wyndham Hotels & Resort Adventure Jeep Tour Air Jamaica, Ltd American Airlines Asesor Económico, Secretaría de Estado de Turismo Asoc Hoteles de Juan Dolio Asoc Hoteles de Santo Domingo Asoc Hoteles Romana-Bayahibe ASONAHORES Atlantis Adventures Bahamas Hotel Association Bahamas Hotel Employers Association Bahamas Ministry of Tourism Bahamas Taxi Cab Union Bakers Choice Barbados Chamber of Commerce Barbados Ministry of Tourism Barbados Tourism Authority Barbados Tourism Investment Inc Barbados Workers' Union British Airways (Barbados) Caribbean Producers Jamaica Ltd Caribbean Tourism Organization Central Bank of The Bahamas Centro de Estrategias Centro de Investigación Económica de las Antillas (CENANTILLAS) Coco Kreole Resorts Comfort Suites Paradise Island Courtesy Rent-A-Car Cox & Company Creative Travel Consultants Cuentas Nacionales Banco Central Curacao Hospitality & Tourism Association De Marchena Kaluche & Asociados Deloitte & Touche Foster & Ince Cruise Services Inc Grenada Board of Tourism Grenada Hotel & Tourism Association Grenada Industrial Development Corporation Grenada Ministry of Tourism Hanschell Inniss Ltd Harmony Suites Horned Dorset Primavera Horwath Consulting Hotel Development Corporation Hyatt Hotels & Resorts International Hospitality Enterprises Jamaica Hotel & Tourist Association Jamaica Ministry of Finance & Planning Jamaica Ministry of Industry & Tourism Jamaica Tourist Board Jamaica Tours Kerzner International Minister of Tourism (St Lucia) Nassau Paradise Island Promotion Board Nature Heritage Tourism Organisation of Eastern Caribbean States Pas Purchasing PricewaterhouseCoopers Puerto Rico Convention Bureau Puerto Rico Convention Center District Puerto Rico Department of Economic Development & Commerce Puerto Rico Government Development Bank Puerto Rico Hotel & Tourism Association Puerto Rico Tourism Company Round Hill Hotel Sandals Halcyon Sol Meliá Hotels & Resorts St Lucia Ministry of Finance St Lucia Air & Sea Ports Authority St Lucia Department of Labour St Lucia Golf & Country Club St Lucia Ground Handlers St Lucia Hotel & Tourism Association St Lucia Ministry of Tourism St Lucia National Economic Council St Lucia Representative Services St Lucia Taxi Council St Lucia Tourist Board St Lucia Yachting Association Sunset Beach Resort SuperClubs Symonette Marketing Group The Barbados Hotel & Tourism Association The Flamboyant Hotel The New York Times The Sandpiper Hotel USAir, Bahamas US Airways United States Virgin Islands Department of Tourism Villa Montaña Resort Viva Resorts Wavecrest Apartments Wexford Court Hotel Windjammer Landing Wyndham El San Juan Hotel Wyndham Hotels & Resort

34. Caribbean Steering Committee Public / Private Focus Groups Desk Research and Analysis Review and Debate Recommendations Dialog

35. The Importance of Travel & Tourism to the Caribbean is Indisputable. • The Industry’s Potential is a Long Way from Being Fully Tapped • A Number of Challenges Will Have to Be Overcome to Ensure Sustainable Long-Term Growth

36. Raising Awareness The impact of the industry is generally not understood by public officials, the industry itself, or the communities where it takes place.

37. Tourism Planning Long-term planning at both the national and regional levels is a prerequisite for generating investor confidence and organizing the successful development of Travel & Tourism in the Caribbean.

38. Industry Measurement The Caribbean’s economic- and marketing-related Travel & Tourism research and forecasting are generally inadequate, both in terms of quality and quantity.

39. Marketing and Promotion Experience has shown that demand for any tourism destination grows sharply if marketing and promotions are well funded and effective. WTTC recommends that the marketing initiative be presented as an addendum in the Strategic Plan with consideration for possible later implementation.

40. HIV/AIDS Travel & Tourism stakeholders should seek help and assistance and follow celebrated examples of education and HIV/AIDS management strategies.

41. Natural Environment The quality and success of the Caribbean tourism product is dependent, in large measure, on the maintenance of a healthy and attractive natural environment.

42. Safety, Security and Health Crime, harassment and other forms of anti-social behaviour, along with hazardous and unhealthy facilities, are major threats – real or perceived – to the development of the industry.

43. Community Development Travel & Tourism, as the region’s leading industry, must be a key element of any national strategy to alleviate poverty and build resilience and sustainability into rural and urban communities.

44. Linkages A dedicated effort and resources must be organized by each NTO or tourism ministry to guarantee a focused approach to establishing effective linkages between Travel & Tourism and the rest of the economy.

45. Investment Because of the fundamental importance of tourism to the economies of almost all Caribbean countries and the well-being of their people, it is crucial to put in place an operating climate that will encourage growth and investment in the tourism sector.

46. Taxation It is important that Caribbean authorities recall the WTTC Principles and Guidelines of Intelligent Taxation and refer to these principles when they consider new taxes or adjustments to existing tax structures.

47. Air Access There is a need for the creation of a viable Caribbean air transport system to supplement the services being provided by the external carriers and to guarantee sustainability of air transport services for the region.

48. Cruise Tourism The regional authorities, public and private sector, should undertake to develop and agree a regional cruise line strategy that addresses the multitude of issues of concern to the industry.

49. Timeshare It is imperative for the Caribbean countries to draw up sound regulations for timeshare that protect the consumer and allow legitimate developers to grow their businesses.

50. Human Resource Management Tourism is a labour-intensive, quality-driven service profession. It depends crucially on the skills level and professionalism of the workforce to make the sector productive and competitive.