Public-Private Partnerships in Tourism Development: Some Reflections on Africa

1. Public-Private Partnerships in Tourism Development: Some Reflections on Africa Peter U.C. Dieke, Ph.D Associate Professor of Tourism The Emirates Academy of Hospitality Management Dubai, U.A.E.

2. Definition • An economic relationship situation where the major developments in tourism are stimulated by the public-private sectors working together for the development and management of the tourism sector in a way that is self-sustaining • Share responsibilities, obligations and commitments, and a joint determination to achieve common objectives for all the people engaged in that partnership

3. Why is such a partnership necessary? What should be nature and scope of such partnership? Under what conditions should such a partnership function? What should be the respective roles of the public and private sectors? Should government withdraw completely from tourism and give a free hand to the private sector? Is there a “right” way to strike an optimum balance between the public sector and the private sector? Key Issues

4. The Partnership Context The Competitive Environment • Attractions • Price • Accessibility The Public Sector • Policy formulation and planning • Access facilities (airports) • Support facilities (roads) • Entrepreneur (hotel investments) • Operational roles Changing Nature of Governments’ Roles • Collapse of the Soviet Union in 1991 • Resources • Decentralization • Loss making ventures • ‘Enabling environment’

5. Why Public-Private Partnerships? • Economic importance of tourism • Ownership • Empowerment • Participation

6. Factors Influencing PPPs • Size and strength of national economy • National budgetary constraints • Government’s vision for tourism and a strategic development plan • Government’s policy of liberalization, privatization of assets • Relative importance of tourism to the national economy and image • Development of super regional groups • Recognition of private sector’s role • Globalization and the emergence of multi-national corporations • Community involvement

7. The African Situation Problems of Africa’s Tourism • Political factors • Market positioning/budget provision • Human resource development • Cooperation • Health & Safety • Organizational • Private sector & business confidence Prospects for PPPs • Jointly steer tourism growth • Catalyst & withdrawal policy • Promotion • Impacts of Tourism • Investment • National Tourism Office

8. Problems to be addressed • Leadership at the highest (prime ministerial, presidential or reigning monarch) level of government, to have a vision for tourism and to set up supportive frameworks • Recognition of the economic value of tourism, as reflected in development plans • Engagement of major companies, e.g. airlines • Active financial involvement by all parties • A goal-oriented approach to getting things done, setting targets, measurement and monitoring • Involvement of local communities

9. Problems to be addressed • A long-term perspective – tourism planning and management needs a long term approach, and is not well serve by frequent, politically motivated changes of approach • Concern for sustaining national heritage, cultural, social and natural environments • A financially and economically realistic approach • Clarity over roles and responsibilities of all participants • Creativity, innovation and a willingness to try things out • Information technology companies, and manufacturers of high quality consumer brands • Commitment to open markets and skies, to liberalize and privatize

10. Conclusions • No standard format • Wider representation