Answer to Question #234373 in Microeconomics for Aina

Question

Tourism could become an engine of growth and economic development. Discuss the current challenges facing tourism and the strategies proposed in the Fifth National Development Plan (NDP5) to promote and stimulate the tourism sector?

Answer 1

The current challenges facing tourism include high taxation, travel restrictions due to pandemic, insecurity and and low levels of income among the local people.

Strategies to promote and stimulate the tourism sector are provision of subsidies and reduced taxation to promote economic growth.