Africa-Press – Tanzania. TANZANIA Tourism Sector Safety and Protection (TTSSP) has called on the government to establish a tourism investment policy, mandating that all new tourism projects maintain at least 51 per cent local ownership.
The recommendation is part of a broader strategy to address the persistent challenge faced by developing nations, where a significant portion of tourism revenue flows out of the local economy due to the dominance of foreignowned companies and reliance on imported goods and services.
In an interview with the ‘Daily News’, TTSSP Chief Executive Officer and founder, Dr Majaliwa Maswila, stressed the need for deliberate measures to ensure that Tanzanians benefit more substantially from the tourism industry.
Among his proposals is the creation of a Tourism Development Bank to provide low-interest loans to local investors in tourism-related enterprises.
“Studies indicate that in some developing countries, as little as five per cent of every 100 dollars spent by tourists remains within the local economy,” Dr Maswila noted, adding, “In Tanzania, that figure is slightly higher but still concerning, only about 15 per cent of total tourism earnings stay in the country.”
To increase local retention of tourism income, Dr Maswila urged the government to promote the use of Tanzanian payment systems and limit foreign currency transactions.
He also called for a review of booking practices by international tour operators.
“Travellers and tour operators should be encouraged to verify whether operators use Tanzanian bank accounts and to clearly disclose payment terms in advance,” he said.
He further advocated for stricter enforcement of the Foreign Exchange Act (1992), which requires monitoring of financial transfers exceeding 10,000 US dollars for residents traveling abroad. All tour operators, he added, should be required to register their transactions through local banks.
TTSSP also recommends prioritising the purchase of locally made products, souvenirs and food from domestic markets.
Tourists should be encouraged to stay in locally owned accommodations and to dine at Tanzanian restaurants and cafés instead of patronising international chains or hotels.
The organisation has introduced the concept of “Eat Local” as part of its broader campaign to support local economic development.
Dr Maswila also emphasised the importance of increasing indigenous ownership in tourism infrastructure and services through financial incentives and supportive policies.
He warned that the growing influence of multinational corporations could undermine local businesses and called for strategies to limit their dominance.
To reduce dependency on tourism, Dr Maswila stressed the importance of diversified economic development and leveraging digital platforms to promote locally owned businesses and unique Tanzanian experiences.
Listed as a key stakeholder on the Tanzania Tourism Board (TTB) website, TTSSP plays an essential role in enhancing safety and welfare within the sector.
The organisation works closely with the government on tourism registration, offers technical guidance and collaborates with security agencies to create a secure and welcoming environment for visitors.
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