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    Travel And Tourism Investment To Hit $1trn

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    Travel & Tourism investment has seen an encouraging resurgence, overcoming pandemic setbacks and signalling a strong return to growth with investment in 2023 amounting to $955 billion, says a new World Travel & Tourism Council (WTTC) report.

    WTTC’s Travel & Tourism Economic Impact 2023 Global Trends Report forecasts robust 11.5% growth in investment in 2023, amounting to $955bn, with a return to pre-pandemic levels anticipated by 2025. By 2033, WTTC forecasts a promising 6.1% average annual growth globally, with the strongest annualised growth rates projected to be in Asia-Pacific and the Caribbean.

    However, the global hike in interest rates creates challenges for future investment. With central banks increasing interest rates to combat rising inflation, the cost of borrowing and products increases.

    Higher interest rates could present a risk to future investment in the sector so it’s crucial that the public and private sectors work together to innovate to ensure the continual strengthening of this vital sector, it said.

    From 2010 to 2019, investment grew steadily at 4.3% CAGR, growing from $754.6 billion in 2010 to $1.1 trillion in 2019, or 4.5% of all economy-wide investment. Covid-19 hit hard, leading to a 24% decline in 2020 and a further 8% in 2021. However, 2022 marked a turning point, said the report.

    Spurred by the global phenomenon of pent-up demand, travel & tourism investment surged to $856bn, up 11.1% from the previous year. Although this was 22.5% short of 2019 levels, this was still 53% higher in 2022, than it was in 2000.

    In regions like Asia-Pacific and Africa, 2022 investment was 161% higher than in 2000, while Europe and the Middle East have shown more restrained growth.

    In these regions, the pandemic has undone much of the significant growth achieved in the last two decades. Nevertheless, travel & tourism investment in these regions in 2022 stayed above the levels seen in 2000, the report said.

    The US leads the top 10 markets in terms of absolute investment in the sector in 2022 with $213bn, showing a sector ready to thrive once again.

    China trails with a $146bn investment in 2022, with Saudi Arabia rounding out the top three with a total investment of $42bn in the same year.

    Island destinations lead the top spots for travel & tourism investment as a total percentage share of their economies in 2022.

    The US Virgin Islands lead the way channelling 35% of total economic investment into travel & tourism, followed closely by Antigua & Barbuda at 34% and Aruba at almost 32%.

    Private investment in new aircraft, hotels, and car fleets is essential for boosting the sector’s capacity. Public investment complements this growth, and together the combined investments create a powerful synergy. The ripple effect is more jobs, bigger economies, and stronger communities.

    Julia Simpson, WTTC President & CEO, said: “Investment in Travel and Tourism is not just a numbers game; it is the heartbeat of global connectivity and economic revival. Despite the setbacks from the pandemic, 2022’s growth is a promising sign of what’s to come.

    “Investment in Travel & Tourism is integral to the world’s recovery and growth. The sector’s resilience and potential for innovation continue to drive us forward. We remain confident, yet vigilant, in our pursuit of a brighter, more connected global future.”

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    U.S. issues stern warning to Nigerians overstaying visas

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    U.S. visa overstay Nigeria

    The U.S. warns Nigerians overstaying visas of permanent travel bans and criminal prosecution, stressing no tolerance for violations

     

    The United States has issued a strong warning to Nigerians overstaying their visas, announcing that violators could face a permanent travel ban and potential criminal prosecution.

    Also read: Nigerian visa issues resolved for Akwaaba African travel market delegates

    The U.S. Mission in Nigeria released the warning on its official X (formerly Twitter) handle on Monday, making it clear that consular officers have full access to immigration histories and can easily detect any past visa violations.

    The statement from the U.S. Mission left no ambiguity, stating, “If you overstay your U.S. visa, you could face a permanent ban on traveling to the United States, as well as criminal prosecution.”

    The Mission went on to dismiss the notion of “accidental overstays,” asserting firmly, “There is no such thing as an ‘honest mistake’ – it is your responsibility to use your visa correctly.”

    This stern message follows increased scrutiny of immigration violations as U.S. authorities enforce tighter regulations on visitors not adhering to visa rules.

    With thousands of Nigerians traveling to the United States for tourism, business, and education purposes, this warning highlights the serious consequences of non-compliance.

    Recent reports have also indicated that Nigerians have faced difficulty renewing U.S. visas due to prior overstays, with many now finding it harder to secure future entry into the country.

    Immigration experts have warned that even a short overstay could lead to long-term travel restrictions, making it difficult for offenders to enter the U.S. in the future.

    This latest development signals that the U.S. is tightening its stance on visa violations, with severe penalties for those who do not comply with immigration laws.

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    Oyo State to sanitize travel and tour sector, targets unregistered operators

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    Oyo travel and tour sector sanitisation

    Oyo State plans to sanitise its travel and tour sector, focusing on unregistered operators. Registration drive starts March 24, 2024

     

    The Oyo State government has announced plans to sanitise the state’s travel and tour sector by targeting unregistered travel agencies and allied tour operators.

    The initiative, aimed at ensuring better service delivery and compliance with relevant regulations, was disclosed by the state’s Commissioner for Culture and Tourism, Dr Wasiu Olatunbosun, during a press conference on Monday in Ibadan, the state capital.

    The event, organised in partnership with the National Association of Nigeria Travel Agencies (NANTA), sought to sensitise and raise awareness among operators about the government’s intentions to regulate the sector more effectively.

    Olatunbosun stated, “The objective of the exercise is to inform the operators of travel and tour agencies, concerned stakeholders, and the general public about the government’s plans to sanitise the sector through registration of all travel and tour operators in the state.”

    The commissioner highlighted the challenges posed by unlicensed operators, stating that many travel and tour agencies operating without the required licences fail to comply with industry laws.

    These unregulated operators have been causing significant hardship for the public, with many clients experiencing subpar services. “Most of the tour and travel operators operating without licences fail to comply with the relevant laws and regulations that guide the industry and have caused untold hardship to members of the public as a result of the low standard of service,” he added.

    As part of the sanitisation process, Olatunbosun explained that the registration of all travel and tour operators would enable the state government to create a comprehensive database.

    This would allow for effective monitoring, evaluation, and regulation of agencies operating within the state, ensuring public safety and improving the quality of services provided.

    The sensitisation campaign is set to begin on March 24, 2024, and will run for one month. During this period, operators will be encouraged to register and comply with the necessary regulations.

    After the awareness phase, the government will implement enforcement measures, including sanctions against unregistered agencies that fail to meet the required standards.

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    PEBEC assures foreign investors on Nigeria’s visa-on-arrival policy review

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    Nigeria Visa-On-Arrival Policy, PEBEC intervention

    PEBEC’s Director General, Princess Zahrah Mustapha Audu, reassures foreign investors that concerns over the cancellation of Nigeria’s Visa-On-Arrival (VOA) policy will be addressed, with efforts underway to balance security and investment interests

     

    The Director General of the Presidential Enabling Business Environment Council (PEBEC), Princess Zahrah Mustapha Audu, has assured foreign investors that the Nigerian government is working to address concerns raised by the recent decision to discontinue the Visa-On-Arrival (VOA) policy.

    Also read: Nigerian visa issues resolved for Akwaaba African travel market delegates

    The announcement to phase out the VOA policy was made over the weekend by Nigeria’s Minister of Interior, Dr. Olubunmi Tunji-Ojo, who described the policy as “unsustainable” and a potential security risk.

    The decision has sparked apprehension among current and prospective investors who have relied on the VOA option, especially those from countries without Nigerian embassies or missions.

    In a statement released on Monday, Princess Audu acknowledged these concerns and assured the international community that PEBEC is actively engaging with the Ministry of Interior to find a balanced and effective solution.

    **“We understand the anxiety this has caused among the foreign community and would like to assure all stakeholders that PEBEC is actively engaging with the Minister of Interior to find a solution,”** she stated.

    Princess Audu emphasized that the VOA policy has played a vital role in promoting tourism, trade, and foreign investment in Nigeria.

    She expressed optimism that through dialogue and collaboration, the security issues raised could be resolved without compromising the ease of doing business in the country.

    **“Our primary objective is to strengthen security around the VOA process while maintaining the policy, which has been instrumental in promoting tourism, trade, and investment in Nigeria.

    We believe that with collaboration and dialogue, we can address the security issues identified and achieve a secured and efficient VOA process that benefits all parties involved,”** she added.

    PEBEC, known for driving reforms aimed at improving Nigeria’s business environment, reaffirmed its commitment to ensuring that the country remains an attractive destination for investors and tourists.

    The council has been at the forefront of simplifying business procedures and reducing bottlenecks, making it easier for businesses to thrive in Nigeria.

    The Minister of Interior had announced plans to replace the VOA policy with a system of landing and exit cards, which visitors would be required to pre-fill before arriving in or departing from Nigeria.

    However, PEBEC’s intervention suggests that a more collaborative approach is being considered to balance security and investor-friendly policies.

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