FDI and Tourism

Many developing countries are looking to tourism as a potentially promising avenue for economic and human development, and foreign direct investment (FDI) is one of the routes through which they can carry out tourism. The study highlights the main findings with respect to the development impacts of foreign direct investment in tourism (TFDI) in five East and South African countries – Botswana, Kenya, Mauritius, Uganda and the United Republic of Tanzania on income, employment, technology and skills transfer, wages and linkages, as well as the social and environmental impacts among others. It also examines the salient policies that are in place, identifying those that have hindered and promoted TFDI.