the role of tourism in natural resource management in the okavango ...

the role of tourism in natural resource management in the okavango ... the role of tourism in natural resource management in the okavango ...

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ate and economic progress seldom paralleled elsewhere (Main, 2001). Over the years this precious commodity has significantly alleviated the effects of regional problems experienced in other sectors, such as livestock and tourism. Botswana promotes its output as 'diamonds for development', as an alternative to so-called 'conflict diamonds', and much of the country's revenue from diamonds has funded, and continues to fund its development (Van Buren, 2004). Botswana's government, to its credit, has tended to spend the windfall wisely, developing a world-class road network, an excellent telephone system, education programme and a reliable electricity grid within the country. This success, however, has brought its own problems. According to a recent survey conducted by the International Monetary Fund, there is an urgent need for Botswana to reduce its dependency on diamonds. Only 70 percent of world diamond sales are controlled by De Beers' Central Selling Organisation, and that figure may well decline. With a decrease in centralised control of the market, there is an increased variation in price and this, when diamonds account for nearly a third of Botswana gross domestic product and some 70 percent of export earnings, has a direct impact on the country's economy, making Botswana vulnerable to the fluctuation of diamond prices (Main, 2001). After diamonds, the next major contributor to Botswana's prosperity is interest earned on foreign holdings. Tourism, the cattle industry and mining (apart from diamonds) account for most other earnings, with tourism making an ever more significant contribution (Main, 2001). According to the latest data available for the period up to 2002/03, Botswana's Gross Domestic Product (GDP) at current prices is estimated at 38,560 million Pula (Republic of Botswana National Development Plan 9, 2003; Republic of Botswana Statistical Bulletin, 2004). The current US Dollar and Rand exchange rates (as of November 28 th 2005) are 5,6 Pula to 1 US Dollar, and 1 Pula to 1.2 Rand (http://currencysource.com). The major contributors to GDP are: Mining and Quarrying (29,3 percent); General Government (16 percent); Trade, Hotels and Restaurants and Services (24,9 percent); Finance (10,8 percent) and Construction (5,3 percent) (Republic of Botswana National Development Plan 9, 2003). Even though the mining sector has dominated the economy since the second half of the 1970s, there are indications that the economy is beginning to diversify. The 124

highest share of the mining sector to GDP was 52,6 percent in 1983/84, but its contribution to GDP by 2000/01 had decreased to 36,5 percent. Other sectors such as Government, Finance and Business services and Trade have made a substantial contribution to the economy during this period (Republic of Botswana National Development Plan 9,2003). Botswana's key to sustainable development centres on global competitiveness and economic diversification, as every country, including Botswana, faces great challenges from increasing globalisation, which requires domestic economic policies and strategies to be responsive to global challenges. Botswana's economy is an open one with a high trade-to-GDP rate which is closely intertwined with the overarching global economies (Republic of Botswana National Development Plan 9, 2003). The significance of developing a long-term socio-economic development perspective for Botswana was recognised in 1997, when the development of "A Long-term Vision for Botswana: Towards Prosperity for All", or 'Vision 2016' was released (Republic of Botswana National Development Plan 9, 2003, p.12). While national development plans in Botswana have always been guided by four national principles of Democracy, Development, Self-reliance and Unity, Vision 2016 strives for a refocusing of these principles to embrace change and to relate them to the country's development challenges. According to the Vision, by the Year 2016 Botswana must have identified goals to be reached, major challenges that must be met, and opportunities that must be productively exploited to attain these national aspirations (Republic of Botswana National Development Plan 9, 2003). Vision 2016 set a target of trebling the per capita real income of Batswana over the 20 year period from 1996 to 2016. This would require per capita real GDP to grow at an average annual rate of approximately 5,6 percent, and total real GDP to grow at about 8 percent per annum. Compared to this target, the actual average growth rate of total GDP from 1995/96 to 2000/01 has been lower, at approximately 7,0 percent per year. This, together with the latest projections, indicates that the average growth rate from 1995/96 to 2008/09 will be around 5,9 percent per annum. With the population growing at an average rate of 2,1 percent per year, per capita income will grow at approximately 3,7 percent per year over this period, as compared to the 5,6 125

ate and economic progress seldom paralleled elsewhere (Ma<strong>in</strong>, 2001). Over <strong>the</strong><br />

years this precious commodity has significantly alleviated <strong>the</strong> effects <strong>of</strong> regional<br />

problems experienced <strong>in</strong> o<strong>the</strong>r sectors, such as livestock and <strong>tourism</strong>. Botswana<br />

promotes its output as 'diamonds for development', as an alternative to so-called<br />

'conflict diamonds', and much <strong>of</strong> <strong>the</strong> country's revenue from diamonds has funded,<br />

and cont<strong>in</strong>ues to fund its development (Van Buren, 2004).<br />

Botswana's government, to its credit, has tended to spend <strong>the</strong> w<strong>in</strong>dfall wisely,<br />

develop<strong>in</strong>g a world-class road network, an excellent telephone system, education<br />

programme and a reliable electricity grid with<strong>in</strong> <strong>the</strong> country. This success, however,<br />

has brought its own problems. Accord<strong>in</strong>g to a recent survey conducted by <strong>the</strong><br />

International Monetary Fund, <strong>the</strong>re is an urgent need for Botswana to reduce its<br />

dependency on diamonds. Only 70 percent <strong>of</strong> world diamond sales are controlled by<br />

De Beers' Central Sell<strong>in</strong>g Organisation, and that figure may well decl<strong>in</strong>e. With a<br />

decrease <strong>in</strong> centralised control <strong>of</strong> <strong>the</strong> market, <strong>the</strong>re is an <strong>in</strong>creased variation <strong>in</strong> price<br />

and this, when diamonds account for nearly a third <strong>of</strong> Botswana gross domestic<br />

product and some 70 percent <strong>of</strong> export earn<strong>in</strong>gs, has a direct impact on <strong>the</strong><br />

country's economy, mak<strong>in</strong>g Botswana vulnerable to <strong>the</strong> fluctuation <strong>of</strong> diamond prices<br />

(Ma<strong>in</strong>, 2001). After diamonds, <strong>the</strong> next major contributor to Botswana's prosperity is<br />

<strong>in</strong>terest earned on foreign hold<strong>in</strong>gs. Tourism, <strong>the</strong> cattle <strong>in</strong>dustry and m<strong>in</strong><strong>in</strong>g (apart<br />

from diamonds) account for most o<strong>the</strong>r earn<strong>in</strong>gs, with <strong>tourism</strong> mak<strong>in</strong>g an ever more<br />

significant contribution (Ma<strong>in</strong>, 2001).<br />

Accord<strong>in</strong>g to <strong>the</strong> latest data available for <strong>the</strong> period up to 2002/03, Botswana's<br />

Gross Domestic Product (GDP) at current prices is estimated at 38,560 million Pula<br />

(Republic <strong>of</strong> Botswana National Development Plan 9, 2003; Republic <strong>of</strong> Botswana<br />

Statistical Bullet<strong>in</strong>, 2004). The current US Dollar and Rand exchange rates (as <strong>of</strong><br />

November 28 th 2005) are 5,6 Pula to 1 US Dollar, and 1 Pula to 1.2 Rand<br />

(http://currencysource.com). The major contributors to GDP are: M<strong>in</strong><strong>in</strong>g and<br />

Quarry<strong>in</strong>g (29,3 percent); General Government (16 percent); Trade, Hotels and<br />

Restaurants and Services (24,9 percent); F<strong>in</strong>ance (10,8 percent) and Construction<br />

(5,3 percent) (Republic <strong>of</strong> Botswana National Development Plan 9, 2003).<br />

Even though <strong>the</strong> m<strong>in</strong><strong>in</strong>g sector has dom<strong>in</strong>ated <strong>the</strong> economy s<strong>in</strong>ce <strong>the</strong> second half <strong>of</strong><br />

<strong>the</strong> 1970s, <strong>the</strong>re are <strong>in</strong>dications that <strong>the</strong> economy is beg<strong>in</strong>n<strong>in</strong>g to diversify. The<br />

124

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