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Trend: Increases in sophistication and segmentation of the international travel market creates opportunities for new destinations.
Trend: The need for diversified sources of foreign exchange and employment opportunities causes less developed nations to explore their tourism potential.
This report will discuss the present state and potential for tourism in West Africa, specifically the country of Cape Verde. Following a brief overview of tourism in West Africa, particularly from the United States, the report will focus on Cape Verde, including the role that tourism plays in its economy, its government's attitude toward tourism, its comparative advantages and disadvantages, and how these can be addressed. Because it is extremely difficult to find current information on the levels of U.S. tourism to West Africa, emphasis will be on underlying trends in the U.S. market, rather than on specific indicators. The report will examine how some of these trends, including increased travel to South Africa, increased ethnic awareness, interest in new destinations,and ecotourism can benefit Cape Verde's tourism development.
West African tourism is still in its early stages and is only a small part of even the African tourism market. According to the World Tourism Organization, of the 60 top tourist destinations and/or earners world wide, none were in West Africa. The share of West Africa of arrivals in Africa was only 7.8% in 1993, a decline from 9.4% in 1989. In absolute terms, there was an increase in total arrivals (1.4 vs 1.3 million) and receipts ($637 vs 508 million), although tourism expenditures declined slightly from $897 to $809 million. This may reflect devaluations in the host countries or other non-tourism factors. (Source: World Tourism Organization, Yearbook of Tourism Statistics, 1995). The minor role that West Africa plays in even the African market can be seen from the fact that in 1993 Ghana was the only West African country to be among the top ten destinations in Africa, with 233,000 arrivals, compared to 4.0 million for Morocco, 3.3 million for South Africa, and 783,000 for Kenya. (Source: WTO Commission for Africa and Regional Representative for Africa). The United States is not a major source of visitors to West Africa. Of the total tourist arrivals in West Africa in 1993, 40% were from Africa and 33% from Europe.
There are a number of reasons for this low level. Africa is still seen by many as primitive and dangerous. West Africa lacks the scenic and wildlife attractions of East and Southern Africa, and its tourist infrastructure is far less developed. One of the major attractions for European tourists, the beaches, are not competitive, for U.S. tourists, with the Caribbean. The U.S. lacks the European-African ties , although there are important historical ties for the African American population, and, in the case of Cape Verde, for Americans of Cape Verdean descent. Air travel between the U.S. and Africa is relatively expensive and flights are less frequent than those from Europe. There has been very limited marketing of West Africa as a tourism destination. The American market for travel to West Africa tends to be somewhat of a niche market, divided between three sometimes overlapping groups, sophisticated and affluent travels with specialized interest in African art and culture, "adventure" tourists, and the African-American community.
Cape Verde is a unique country in Africa. It is a archipelago of ten islands of about 4,000 square miles, located about 400 miles off the coast of Senegal. It has been an important air and sea refueling site. It was a Portuguese colony from its discovery and settlement in the 15th century until independence in 1975. Its population of about 380,000 people and their language (Kriolu) and culture are of mixed Portuguese and African origins. It's literacy rate (50%) life expectancy (63 years) and percapita income ($800) are high by African standards. Possessing almost no natural resources, the country must import most of its food, and is heavily dependent upon foreign aid and the remittances and the large overseas Cape Verdean community( 600,000, of which about half are in the United States). This group is a major tourist market. The need for foreign exchange and high unemployment (40%) highlights the need to attract new industries, including tourism.
Tourism is not yet a major contributor to Cape Verde's economy. It provides about 3% of the GDP, but has been growing steadily, increasing from 13,626 in 1986 to 22,470 in 1990 and 58,000 in 1995. (PROMEX statistics) Portugal is the major source of tourists, but the largest number of tourists (1988) were listed as non-resident Cape Verdeans, which may include citizens of other countries who are of Cape Verdean descent. (Source: Ministerio do Plano e da Coopercao, Direccao Geral de Estatistica, Cabo Verde em Numeros, Nov, 1990). Visitors from the United States (which includes more than "pleasure" tourists) rose from 632 in 1986 to 1,515 in 1990. Because Cape Verdean efforts to improve its tourist infrastructure and marketing efforts are still at a fairly early stage, it is difficult to correlate them with visitor increases. Indeed, many of these visitors may be non "pleasure" tourists, taking advantage of expanded business opportunities.
In 1988, the Government of Cape Verde (GOCV) began to encourage outside investment, including tourism. It was decided that the main role should be played by the private sector and that tourism's development be synchronized with public and private investment in related infrastructure. Legislation was passed to encourage tourism, including streamlining approval of qualified projects and a law establishing the potential for a gaming industry and setting up a regulation and enforcement framework. The standard service fee is levied on the users, rather than the providers, of services. (Report of the "Services Group", for the Agency for International Development, 1992). The recent assumption of responsibility for tourism by PROMEX, the quasi-governmental investment promotion agency, which is receiving U.S. support, should further streamline and accelerate the investment process in this sector. The GOCV Third National Development Plan (1992-95) envisages a direct investment of $45 million in tourism, mainly in hotel construction (1600 beds). The GOCV 15 year Tourism Master Plan recommends establishment of 7-10 tourism zones, with certain investments in each of them.
Cape Verde is accessible by air from nearby West Africa, Portugal (5x weekly), Amsterdam, Frankfurt, Russia, Brazil, Argentina, and the U.S. and South Africa (through South African Airways (SAA). There are charter flights in summer from Boston, center of the Cape Verdean American community. The SAA flights (which stop for refueling once a week going eastward and four times going west) offers Cape Verde an opportunity to capitalize on the rapidly increasing U.S. tourism to South Africa. At present, forty spaces per flight are reserved for people deplaning in Cape Verde, although there have been problems with people getting "bumped" from these flights. The NY-Cape Verde RT airfare is about $1264. Cape Verde has been recommended as an ideal rest stop en route to or from South Africa (Washington Post, "Alone with the Wind off the Atlantic", June 11, 1995), it is not included in any itineraries, and regulations even prohibit people from leaving the plane to stop at the airport. This regulation should be changed to encourage short stays in Cape Verde, and the Cape Verdeans should encourage tour companies to add a stop there to their itineraries. Because the airfare is high when compared to US-Europe fares, SAA or other airlines might consider special excursion rates.
A greater problem of accessibility is that caused by the poor state of inter-island transport. Cape Verde's attractions are scattered among several islands, with the attractions on Sal, the site of the international airport, limited to the beaches. There are fairly regular inter-island plane flights, but because of the small size of the planes, luggage usually arrives separately. Through checking of luggage has greatly reduced losses, but delays are still a problem. TACV (the national airline) has increased its number of internal flights, which should also ameliorate this situation. Regular airlinks with Dakar and Banjul on the African mainland are in full operation, and direct check-in from Lisbon to Praia (the capital) has been introduced. Boat trips between the islands are long and uncomfortable. The difficulties of inter- island transportation were cited by a Cape Verdean American as the main problem faced by tourists. An inter-island fleet of small quick boats must be developed if Cape Verde is to realize its tourism potential.
By West African standards, transportation (except for inter-island) and communications are relatively good. Cape Verde has the highest teledensity rate in Africa. Although lack of water is a serious constraint, this problem is being partially alleviated by desalinization and energy conversion projects. The World Bank and other international financial institutions are providing financing for infrastructure projects including airport construction.
The hotel situation is mixed. There has been a substantial increase in the number of hotels and other accommodations, from 24 in 1985 to 40 in 1994 (PROMEX). An additional 11 hotel and other hospitality industry investments are underway (European investors), totalling $33 million and expected to provide 415 jobs. The GOCV is selling shares in the HOTELMAR parastatal, which has invested in three Cape Verdean hotels and is selling its shares in another hotel on Sal. It must be noted that building materials and most of the food has to be imported, minimizing tourism linkages. Cape Verde's relatively high education levels should facilitate staff training. At the present time, only some of the hotels on Sal could be considered of international standard. Hotels on the other islands, including in the capital city, are adequate, but not an inducement for general vacationing tourist.
Cape Verde offers a number of attractions that can help it capitalize on the trend of a more segmented travel market. For those interested in new destinations for beach vacations (in this case mainly a European market), Cape Verde has some beautiful, unspoiled beaches, most of which are conveniently located near to the Sal international airport. Cape Verde's year round warm weather makes it competitive in the winter with the beaches of Spain, Portugal and the Canaries. Cape Verde has much less crime and higher health standards (although a recent cholera epidemic hurt tourism) than Senegal and Gambia, which have developed beach tourism. Hotels, predominantly on Sal, are being built for this market, including a $7.5 million Italian resort to serve 400 people. The main challenge to Cape Verde is to maximize the funds staying in-country, minimize the increase in crime, drugs and prostitution which often accompany tourism development, and improve and make more accessible attractions outside the beach "enclaves". Cape Verde should also capitalize on its reputation as one of the world's best windsurfing destinations. Scuba diving tourism packages for intermediate and advanced professional divers is another niche which can be developed. More publicity and better facilities are vital.
The expanding market for historical and eco-tourism, both from the U.S. and Europe can also be exploited, both through general improvements in tourist infrastructure and better maintenance of, and publicity about, these attractions. Cape Verde played an important role in the age of exploration, and could become a stop on upscale tours and cruises (ie the Smithsonian and National Trust for Historic Preservation). Its importance in the trans-Atlantic slave trade could make it a candidate for inclusion in tours geared to the African American market which now concentrate on Senegal, Ghana and Benin. Also, because of the important role of Sephardic Jews in Cape Verde's early settlement, the "niche market" of Jewish tourism could be explored. The remains of the first European fort and cathedral in sub-Saharan Africa are on the main island of Santiago. They are fairly accessible, but have not been well maintained. The designation of the fort area (Cidade Velha, about a 15 minute drive from Praia) as a UNESCO World Heritage site and the improvements being undertaken should make this landmark more accessible to tourists. There are ecotourism potentials in the turtles of Boa Vista and the volcanos of Fogo island, while the carnaval and other cultural attractions on the island of Sao Vicente could also appeal to visitors.
The dispersion of these attractions again emphasizes the need for better inter-island transportation. The relative lack of souvenirs and other craft items is a problem, especially for visiting Cape Verdean Americans, who want to bring back something from "the old country". The craft schools have mostly shut down, and natural resources needed to produce cloth and wood items are scarce. There is some revival of local crafts such as coconut shell carvings, weaving, ceramics and imports from Senegal are attractive to tourists who do not go to mainland Africa.
A very significant tourist market for Cape Verde, and the major U.S. market, is the Cape Verdean diaspora, which shares the increased U.S interest in ethnic "roots". There are at least 300,000 people from Cape Verde, or of Cape Verdean descent in the United States, concentrated in southern New England. Even among those whose families have lived in the United States for many years there is a strong interest in their Cape Verdean heritage, and a desire to visit Cape Verde. People go both as individuals and on community (ie neighborhood or interest group) tours. Cape Verdean- born Americans tend to go back to their island of origin and stay with relatives, while those born in the U.S. tend to visit other islands and stay in hotels and pensions. Many of these visitors have "adopted" schools or other institutions in Cape Verde, and want to see the progress being made. Others are looking at investment possibilities. While not a major focus of their visits, the Cape Verdean Americans also like to spend time on the beaches and visit some historic sites.
The main deferent to increased travel by Cape Verdean Americans is the still underdeveloped state of inter-island transport. The high international fare tends to discourage travel by young people. Charter flights (about $900) and occasional special fares make the trip somewhat less expensive, and people tend to save to finance an obviously important trip. The mediocre hotels outside of Sal, poor sanitary conditions (better than most of Africa but poor by western standards) and the lack of local crafts to bring home have also been cited as deterrents to greater travel.
In conclusion, a number of trends in the U.S. and international markets favor an increase in tourism to Cape Verde. The Cape Verdean Government has taken a number of steps to increase tourism. It must continue its efforts to improve infrastructure and attract foreign investment in the tourist sector. It also needs to publicize its attractions much more. For example, Cape Verde did not systematically follow up on the publicity generated by the highlighting of Cape Verde at the 1995 Smithsonian Institution Festival of American Folklife. Cape Verde could also work more closely with its West African neighbors in regional promotion, and take greater advantage of its position as a transit stop to South Africa. If these actions are taken, tourism could become an important contributor to Cape Verde's economy.
Note: In addition to the sources cited in the text, extremely helpful information was provided by Mr. Beningo Rodrigues (PROMEX Project Manager, USAID/Cape Verde) and Ms Yvonne Marie Smart of the Cape Verdean American community of Providence, Rhode Island.