AU funding model, a threat to tourism in Africa

South africa hosted the african union summit in sandton in johannesburg from 07 june 2015 to the 15 june 2015. The au need all member countries to impose a us$2 hospitality levy in line with motel live and a us$10 airfare levy on each international flight entering or leaving africa. This poses a giant risk to tourism in africa, writes unathi sonwabile henama. The 25th african union summit passed off at a time when the au is going through the reality that it can not depend on donor funding with the intention to facilitate its future sports. The arrivals of heads of states, their guide workforce, media and other fascinated parties in south africa turned into an possibility for south africa to gain from commercial enterprise tourism. These travelers deliver a far needed monetary injection as they engage in tourism consumption that includes lodging, buying, journey and transportation and consuming out at food and beverage stores. Delegates attending a enterprise tourism event including the au summit are less fee sensitive due to the fact the majority of the charges are paid for through the agency or sponsor of the delegates, which gives a extensive disposable profits that can be used for buying and different kinds of tourism intake. The delegates have an possibility to look the splendor of south africa and might in future return in simple terms to return and consume vacation spot south africa as enjoyment travelers. Efforts by means of the au to raise its very own budget impartial of donors is vital for the independence of the au.

It is of difficulty that the efforts of the au to elevate investment from member states has taken a choice this is damaging to the tourism enterprise. The former nigerian president, olusegun obasanjo changed into tasked by means of the au to search for opportunity resources of investment to enable au member states to growth their percentage of the price range, with a view of enjoyable dependence on donor funding. The obasanjo document changed into followed at the may additionally 2013 au summit that authorized that member countries should all impose a us$2 hospitality levy in line with resort stay and a us$10 airfare levy on each global flight getting into or leaving africa. This is unfortunate as the au is meant to be funded with the aid of the treasury of each us of a instead of taxing the tourism industry to fund the au. Africa gets less than 10% of worldwide tourism receipts, that is practically a drop within the ocean while you don't forget the numbers of tourists that visit europe and north the united states.