BASSETERRE, St. Kitts – A budgetary allocation of EC $17 947 358 is expected to boost St. Kitts-Nevis’ tourism industry this year as the nation continues to strive toward increased arrivals following the global economic decline of the past three years.
The year 2009 proved to be a difficult time for the nation’s fragile tourism sector. As the recession in larger economies deepened, spinoffs to small, developing states depending on US and UK markets greatly declined. Across the region, thriving hotels were forced to execute mass layoffs, while locally stay-over visits reduced significantly.
In this light, the Ministry of Tourism was allocated Recurrent Expenditures of EC $17 550 358 and Capital Expenditures of EC $397 000 for this fiscal year, an amount Prime Minister and Minister of Finance Hon. Dr. Denzil Douglas said would allow the ministry to function effectively.
“Tourism is presently the dominant sector of our economy. Despite the challenging economic times that we are experiencing, we have sought to provide the Ministry of Tourism and International Transport with the resources required to effectively discharge its mandate,” Douglas said in delivering the 2010 Budget Address.
Despite the challenges resulting from the global economic recession and the effect it has had on the local economy, this year’s allocation represents a 0.1% decrease from last year’s, with a 3.5% increase in allocation for Recurrent Expenditure.
With a contraction in financial resources to complete more development in tourism, PM Douglas assured, “the ministry will continue to find innovative ways to sustain direct airlift to and from our destination in full recognition of the fact that without airlift we would be unable to maintain our market share in the key tourism markets.”
Progress made in sustaining direct airlift was witnessed yesterday (Mar. 30) when British Airways launched its second weekly service from Gatwick, London to the RLB International Airport.
Additionally, more promotions are expected to be rolled out in the coming year to market the country as a prized tourist destination.
Last year saw an 8.7% increase in the Recurrent Expenditure for the ministry and it was noted that this increase would be used to boost marketing efforts in the midst of a difficult global economic climate.
The Civil Aviation Division and the Maritime Affairs Division, which are new additions to the ninistry, will continue their important functions of air and maritime safety and security.
