BERLIN — Zimbabwe will become the third fastest growing country on its travel and tourism economy’s Gross Domestic Product (GDP) buoyed by a stable political environment and the spin-offs from the World Cup, according to a report released on Thursday last week. The Travel & Tourism Economic Impact report for 2010 released by the World Travel & Tourism Council (WTTC), says Zimbabwe will grow by 9,4% this year behind Qatar (13,1) and Lebanon (10,5%).

From 2011-2020, Zimbabwe would record annual growth rates of 8,7% trailing China as the fastest growing tourism economy.

The report was done by WTTC in conjunction with Oxford Economics, a leading economic forecasting consultancy firm.

Adrian Cooper, Oxford Economic MD told Standardbusiness the forecast growth is premised on the normalisation of the environment which allows business to grow.

Since the formation of the inclusive government last year, the business environment has improved significantly.

Cooper said the spin-offs from the World Cup in South Africa will impact significantly on the travel and tourism economy component of the GDP.

The soccer World Cup will be hosted on the African continent for the first time in the tournament’s 80-year history.

Neighbouring countries such as Zimbabwe will benefit by hosting teams en route to the finals thus improving on the branding of a destination.

Using the rotation system the next World Cup will come to Africa in 2034.

The WTTC report said Zimbabwe would be the third fastest growing country on travel and tourism capital investment from 2010-2020.

At an annual growth rate of 10,7%, Zimbabwe will trail Sao Tome and Principe (22,9%) and Angola (13,7%).

Zimbabwe’s tourism industry is coming from a low base as the country’s economic problems took a toll on investment.

A liquidity crunch on the financial sector has left the sector looking for long-term credit across the borders to revive the tourism product.

The WTTC report estimates that the world’s investment in the travel and tourism sector is expected to hit US$2,7 trillion in 2020 representing 9,4% of total investment.

In 2010, the report forecasts that investment in the sector would be US$1,2 trillion (9,2% of total investment).

BY NDAMU SANDU

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