General

Tourism Fund targets Sh.8 billion revenue in five years

The Tourism Fund has projected a revenue base of Sh8.05 billion over the next five years as it seeks to ensure sustainable financing for the development of the tourism sector.

Tourism and Wildlife Cabinet Secretary (CS) Rebecca Miano said that the Tourism Fund has identified product diversification, capacity building and skill enhancement as key action points necessary for positioning Kenya as a premier and preferred tourism destination.

Speaking on Friday during the launch the Tourism Fund’s Strategic Plan for FY2024/25 to FY2028/29, Miano said that the blueprint is a roadmap set to guide the operations of the organization for the next five years and it is in line with the Kenya’s Vision 2030 and the Bottom-Up Economic Transformation Agenda (BETA).

‘I am particularly gratified to note that the Tourism Fund’s 2024-2029 Strategic Plan is advisedly curated to position tourism as a key driver of sustainable growth and development in Kenya,’ she said.

According to the CS, the plan underlines the need for enha
ncing capacity building initiatives to ensure the tourism and hospitality sectors thrive.

‘To that end, I am heartened that the Fund will breathe life fully to the Ronald Ngala Utalii College in Vipingo Kilifi County, Kenya’s second premier hospitality training institution,’ said Miano.

She added that the launch of a Tourism Training Revolving Fund- intended to provide financial support to workers and students in the sector and facilitate access to education and skills development-is an estimable first in the region.

‘Henceforth, the freshly unveiled revolving fund will support programmes that in turn will improve the quality of service in tourism and hospitality training institutions across the country,’ said Miano adding that this will entrench a culture that will boost competitiveness and embellish visitors’ experiences and immersions.

The CS highlighted that the Tourism Training Revolving Fund is an innovative resource pool that will offer affordable loans to individuals working in tourism or studying
courses related to tourism and hospitality.

‘By enabling access to skills development programmes, the fund will aid the expansion of a highly trained workforce that will transform Kenya’s competitiveness as a tourism destination, driving repeat visits and long-term sector growth,’ said Miano.

Tourism Fund CEO David Mwangi said that their aim in implementation of their Strategic Plan is to increase levy collections from Sh4.9 billion to Sh8.05 billion over the next five years.

‘One of the most critical aspects of the plan is resource mobilization. We have set a goal to raise an additional Sh3.4 billion in resources by the end of the strategic period. This will require innovative approaches, strong partnerships, and the efficient management of funds,’ said Mwangi.

He explained that they will work closely with stakeholders to ensure that these funds are directed towards projects that have the greatest impact on sustainable tourism development.

‘Capacity building is another pillar of this plan. We recognize
that a well-trained workforce is essential for the success of our industry. That is why we are committed to training 18,000 workers and managers in the tourism sector by FY2028/29. This will not only improve service delivery but will also create a more resilient and adaptable workforce,’ said Mwangi.

The CEO disclosed that for the Tourism Training Revolving Fund, they have allocated a seed capital of Sh280 million for the financial year 2024/25.

‘We have allocated the funds to cater for diploma and certificate students undertaking studies in tourism and hospitality who are not covered by the Higher Education Loans Board (HELB),’ said Mwangi.

Tourism Fund Board of Trustees chairman Samson Some said that the Board is particularly focused on ensuring good governance and accountability in all the Fund’s activities.

Some said that partnerships and linkages are also at the core of their strategic plan since they cannot achieve their vision in isolation.

‘We must continue to work closely with the private sector
, local communities, international partners, and all stakeholders who have a vested interest in tourism. Strengthening these relationships will allow us to collectively address challenges and leverage new opportunities,’ said Some.

Source: Kenya News Agency