The study - "Tourism Investment Policies, Regulations and Incentives in the Greater Mekong Sub-region" - was presented by Randi Alampay and Ludwing Rieder to investors and tourism bodies at the Mekong Tourism Investment Summit held in Luang Prabang last week.

The United Nations Economic and Social Commission for Asia and Pacific (Unescap) has commissioned a survey of the policies, procedures, rules and regulations pertaining to foreign investment in tourism for each of the six countries - Cambodia, China, Laos, Burma, Thailand and Vietnam.

Tourism is one of 11 flagship programmes in the region's 10-year strategic framework for using cultural and historical resources.

In 2004, the Greater Mekong Sub-region (GMS) attracted 16.4 million international visitors, or 11 per cent of total international arrivals to Asia-Pacific.

International tourism in 2004 generated US$14.8 billion (Bt575 billion) in receipts and $2.3 billion in government revenue, while sustaining 3.8 million jobs.

Based on global industry trends and other foreseeable growth factors, international tourism to the GMS is expected to grow threefold, to 46 million arrivals by 2010, and up to 52 million arrivals by 2015.

The bulk of these arrivals is expected to come from key markets such as Japan, China, Asean, South Korea, the United States, France, Germany, Australia and India.

Despite these positive conditions, a review of the current situation in the sector reveals that tourism's contribution may not be optimal.

Rieder said GMS countries should develop and promote the Mekong River as a single destination, offering a diversity of good quality and high-yielding sub-regional products that help to distribute the benefits of tourism more widely and add to the tourism development efforts of each GMS country.

The GMS identified seven core strategic programmes.

They are marketing activities, human resources development, heritage and social impact management, pro-poor tourism development, facilitation of tourist movement to and within the GMS, private sector participation, and development of tourism-related infrastructure.

Over the next 10 years, private sector investment will be needed not only in the existing tourism hubs of the region - capital cities, gateways, and major resort and cultural destinations - but also in new tourism zones to be promoted and developed under the tourism sector strategy.

GMS countries need to invest in some important facilities, including new aircraft and upgraded airport terminals, roads, water transportation equipment, ground transportation, food, incentives, and convention and exhibition facilities.

Suchat Sritama

The Nation

LUANG PRABANG, LAOS