Global tourism faces human resources crunch as sector eyes $3.4tr revenue: Kenyan tourism minister

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Updated 09 June 2022
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Global tourism faces human resources crunch as sector eyes $3.4tr revenue: Kenyan tourism minister

JEDDAH: The global tourism sector is facing a human resource crunch even as it is recouping from the pandemic and eyeing global revenues of $3.4 trillion a year, said a senior member of the United Nations World Tourism Organization.

In an exclusive interview with Arab News on the sidelines of the 116th Executive Council of the UNWTO, Kenya’s Minister of Tourism and Wildlife Najib Balala disclosed that the human resource challenges in the tourism industry in the aftermath of the pandemic were for real.

“We have realized the shortage of human resources in tourism. Because when the pandemic happened, many people went to other sectors. We need to bring back, retain and reskill young people to come into the industry,” Balala told Arab News.

He also said that the cost of doing business in the tourism sector is high due to the rising fuel prices. However, despite the overall situation, the UNWTO has targeted revenue of $3.4 trillion a year. He further urged all countries to work toward this goal.

While speaking about the initiatives being undertaken in Kenya, the minister said the country would invest $100 million in tourism in the next five years.

“Tourism in Kenya is about 8 to 9 percent of the gross domestic product. It employs 9 percent of Kenya’s population out of 50 million people. So it’s a huge sector. We need to facilitate and improve the infrastructure,” said Balala.

It is also banking on technology to build its digital infrastructure. For example, the country is launching a digital visa card next week, which will allow people to make payments using their phones without using a physical card.


Gold rises on Iran war safe-haven bid; firm dollar limits upside

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Gold rises on Iran war safe-haven bid; firm dollar limits upside

BENGALURU: Gold prices rose on March 5, lifted by safe-haven demand amid an escalating war in the Middle East, while a stronger dollar and concerns around the US Federal Reserve’s monetary policy capped gains.

Spot gold was up 0.6 percent at $5,168.43 per ounce, as of 11:55 am Saudi time. US gold futures for April delivery were up 0.9 percent at $5,179.20.

Israel launched a large wave of strikes on Tehran on March 5, targeting what it said was infrastructure belonging to the Iranian authorities, after Iranian missiles sent millions of Israelis rushing into bomb shelters.

“On the one hand, there may be greater safe-haven demand for gold given the ongoing conflict in the Middle East. On the other hand, the risk of a prolonged period of higher energy prices that takes rate cuts off the table, and adds to the chance of rate hikes, could be capping further gains,” said Hamad Hussain, a climate and commodities economist at Capital Economics.

The US dollar rose about 0.3 percent after briefly retreating from three-month highs, as the fallout from the war roiled global markets and kept sentiment fragile.

Concerns about energy supply continued to drive up oil prices and stoke inflation fears.

Gold is considered a hedge against inflation in the long run, but also tends to thrive when interest rates are lower, as it is a non-yielding asset.

President Donald Trump, on March 4, officially nominated former Federal Reserve Governor Kevin Warsh to be the US central bank’s next chair.

US economic activity grew slightly, prices continued to increase and employment levels were stable in recent weeks, the Federal Reserve said on Wednesday in its latest “Beige Book” report.

Markets expect the Fed to keep rates steady at its next policy meeting on March 18, according to CME Group’s FedWatch tool.

Investors are looking out for the weekly US jobless claims data, due later today, and the US employment report for February on March 6 for further clues on monetary policy this year.

Spot silver rose 0.5 percent to $83.80 per ounce. Platinum gained 1.1 percent to $2,172.20, while palladium lost 0.7 percent to $1,662.07.