Diversification of tourism products could double revenues
Monday, November 19, 2018

There is a growing need for partnership between government and private sector to diversifying tourism attractions and products to boost revenues generated from the sector, Rwanda Development Board officials have said.

Belise Kariza, the RDB Chief Tourism Officer, made the remarks while speaking to women entrepreneurs in the tourism sector last week at an investment roundtable discussion.

"We need more partnership with the private sector to diversify tourism products. We need to carry out market analysis on tourism products, discerning the existing products. We need to evaluate who are involved in current activities and then think of what innovations to be promoted. We have to expand to new products beyond the existing ones,” she said.

She explained that generating tourism revenues should not be only looked at through visiting gorillas, Nyungwe and Akagera national parks, stressing that, "there is more to be done for products diversification”.

She cited an example of a tourism product ‘MICE: Meetings, Incentives, Conferences and Exhibitions’ that the Government launched in 2014 to diversify tourism products.

"Since then revenues from MICE tourism have grown by 16 per cent annually.  For instance, in 2017 it generated $48 million, delegates increased from 23,804 in 2016 to 28,308 in 2017, which is an increase of about 5,000 delegates,” she said.

The RDB projects the revenue from the sub-sector will grow to over $70 million this year.

"Revenues from MICE tourism last year contributed 15 per cent of all revenues generated by tourism sector. If tourism products diversification is considered, there are multiple options, including cultural and community tourism such as Kigali Innovation Village, where tourists can get to experience Rwanda’s cultural attractions as well as adventures such as hiking, cycling,” she said.

Kariza called on the women entrepreneurs to assume more active roles in developing Rwanda’s tourism sector so as to increase revenues and creating jobs.

"We promote women entrepreneurs in tourism investment and hospitality sector in general. We wish to have more women in the sector. We now have female guides contrary to the past where there was a dominance of men, we work well with them in Tembera U Rwanda, they work as tour operators, among other aspects,” she said.

Viable investment

Women in the sector are committed to diversifying tourism products as well as serving as role models to young entrepreneurs.

 "Before investing in business related to tourism, an entrepreneur must carry out research so as to come up with a product that is needed, unique and affordable. One can also learn from those who started businesses earlier,” said Nicole Bamukunde, the founder of 4Blooms Restaurant

Rica Rwigamba, the Program Manager at Hanga Ahazaza a Mastercard Foundation initiative, said that the $50 million project is working to support over 30,000 Rwandan youths to get jobs in the tourism sector which, however, requires diversification to create more jobs.

The project seeks to support those already in the sector to build capacities, set up viable investment as well as expand emerging businesses by young people in the sector, she said.

Hanga Ahazaza initiative focuses on increasing employment opportunities for young people in the tourism and hospitality industry.

By enhancing access to financial services and business development skills training, it will allow small tourism and hospitality sector enterprises to expand and create jobs.

Natalie Niyonzima, the Managing Director of Inkomoko, a local entrepreneurship support organisation, said the initiative will support young entrepreneurs in the tourism sector, adding that they have supported over 3,000 young entrepreneurs in different sectors since they established a presence in Rwanda six years ago.

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