4.10 Tourism

A. Overall Contribution to Economy

Tourism's overall contribution to the GDP has the potential to be quite high. However, the sector has not yet realized its full potential and is only providing 1.45% of the GDP. The wildlife contribution to the sector alone has a capacity of generating approximately $200 million annually. Tanzania has set aside 230,000 square kilometres or 26% of the total land area as protected and conserved areas, such as National Parks, Game Controlled Areas/Reserves and the Ngorongoro Conservation Area.

The size of the tourism sector is growing. For example, in the period 1991/2 - 1993/4, the number of tourist hunting companies increased from 22 to 29. In 1992, the sector's earning in foreign exchange comprised $140.17 million.

The types of services offered within the sector include: Operation of tourist hotels, provision of other services related to tourism, such as tourist safaris - including licensed hunting, restaurants, and photographic services.¹

1. National Investment Promotion Policy, GoT, 1995.