Assistant Secretary General Speech

REMARKS OF THE ASSISTANT SECRETARY GENERAL AT THE XXII XXII INTER-AMERICAN CONGRESS OF MINISTERS AND HIGH-LEVEL AUTHORITIES OF TOURISM

September 3, 2014 - Bridgetown, Barbados

It is a pleasure for me to welcome all of you to the 22nd Inter-American Congress of Ministers and High-Level Authorities of Tourism, here in Bridgetown. I would like to take this opportunity to thank the Prime Minister, the Rt. Honorable Freundel Stuart, for offering to host this Congress in Barbados. I also want to congratulate the Minister of Tourism for the extraordinary effort in hosting this important meeting. With its longstanding tourism industry, Barbados certainly is a most suitable place to talk about tourism competitiveness and sustainability in the Americas and I am sure we all are and will be hosted Bajan Style and enjoy Bajan hospitality.

Mr. Acting Prime Minister, distinguished Ministers and delegates, in many ways we live in uncertain times. The world, especially outside our own Hemisphere, is characterized by disturbing trends and violent conflicts that have the potential to negatively impact international peace and security and with that financial and economic stability in ALL parts of the world.

Recently, in Salzburg, Austria, I participated in a closed strategic brainstorming meeting on peace and security from a historical perspective. The meeting aimed at the lessons to be learned from the past for the promotion and maintenance of peace and security today. While it was disturbing to see the amount of wasted energy, finances, resources and capabilities and the psychological, emotional and human cost involved with the situation as it is developing in Eastern Europe, the Middle East, parts of Africa and in South East Asia, I was quite satisfied to note that on the map of the Western Hemisphere there were no red dots.

The Western Hemisphere has come a long way to establish relative stable and prosperous societies, and admittedly there is still a lot to be done to overcome inequality, social injustice and exclusion and fighting crime and violence in our region. But at least in our hemisphere existing conflicts and tensions are resolved through diplomatic means, dialogue and negotiations. Member states of the OAS have created functional inter-American instruments to address hemispheric instability and insecurity.

And now, you may ask yourselves why I am raising these disturbing global developments? Ladies and Gentlemen, the Caribbean and other parts of the Americas have experienced firsthand that global and regional political instability and crises result in financial and economic volatility, which in the end will negatively impact the movement of people and financial flows. These will have a direct impact on the tourism industry in our region, especially in the Caribbean as one of the most attractive destinations in the world.

So we need not only to be cognizant of the global and hemispheric developments that can result in instability and recession, I also believe that we diligently should exert influence and become part of the discussion on how to maintain peace and security and stability in the world and in our own neighborhood. This requires political insight, analysis of critical global and regional developments and a foreign policy that works diligently towards securing our interests regionally and globally. It requires assuming leadership and using every opportunity to exert influence. Consider it a necessary political investment in global and regional politics towards the present and the future economic well-being of this region and its population.

Ladies and gentlemen, this goes to the heart of the central topic in today's and tomorrow's discussion on how to enhance the competitiveness of the tourism industry. As I earlier noted, this is not only a technical and managerial exercise aimed at innovation, efficiency and modernization, it is also about creating the most attractive and appropriate political and social environment businesses have to operate in.

Honorable Minister, I applaud the theme that the Barbados authorities have chosen for this Meeting: “Tourism Competitiveness – An Essential Element for Sustainability”. It will give delegates the chance to discuss how their countries can respond to the challenges and opportunities of competitiveness including the value of being able to measure competitiveness, the importance of tourism infrastructure, maximizing tourism’s synergies and inter-sectoral linkages and critical elements of sustainable destination management. Elements of the discussions and conclusions here in Barbados should feed into the 8th Americas Competitiveness Forum, which will be held from 8 – 10 October in Port of Spain, Trinidad and Tobago this year.

Ladies and gentlemen, the OAS attaches great importance to the issue of sustainable tourism for its transformative value; generating employment, income and foreign exchange but also for its role in community development, and its linkages with other key productive sectors in the economy. Tourism has had, and continues to have an important role as a driver of economic activity and a catalyst for achieving other strategic development objectives. Furthermore, it is among the top three income earners in almost fifty percent of the OAS Member States. The discussions over the next two days will serve to provide considerable insight into tourism’s economic contribution, while at the same time highlighting other areas of the sector’s enormous potential.

The tourism industry saw a growth in the past year, a continuation of the recovery observed in previous years. Tourism goods and services – direct, indirect and inducted represented 9% of the Gross Domestic Product (GDP), 1 in 11 jobs, and accounted for US $1,075 billion in international receipts worldwide in 2013. Data from the United Nations World Tourism Organization (UNWTO) indicate that in 2013, the Americas received 168 million international arrivals or 15 % of worldwide arrivals. International tourism receipts in the region were US$229 billion, or 20% of total worldwide tourism receipts, so the Americas represent a significant chunk of the world’s tourism business.

Despite this, competitiveness remains a critical issue for many countries in the Americas. Ensuring that destinations in OAS member states optimize their attractiveness, and ability to deliver quality, innovative and sustainable tourism services to consumers in an increasingly competitive market place is a matter of crucial importance. This Congress provides an important opportunity to explore these issues and look at practical solutions to better help the region compete.

Mr. Acting Prime Minister, I welcome the recently announced amendment, or more precisely expansion, of the Barbados Tourism Incentive Legislation, which will provide more permanent tax benefits to the domestic private sector. I believe that this is an example of exactly the role Governments need to play: enact the regulatory framework and facilitate the growth of critical economic infrastructure. Of course the response of the benefitting business community has to be one of increased investments and creating more jobs, and putting in place practices that are innovative and environmentally friendly.

Ladies and Gentlemen, one aspect that continues to be of great concern is the relative limited transportation options and connections between OAS member states. Recently we have seen an improvement in this regard and this development should be encouraged. With sustained economic growth in our region and a growing middle class with increasing purchasing power, promoting tourism among the member states of the OAS represents an attractive market on its own, and at the same time facilitating more knowledge about each other, fostering more understanding and recognition of our respective cultures, norms and values and strengthening the foundation for a stronger Western Hemisphere.

Another issue that continues to raise concern is the anticipated impact of climate change and sea level rise on the societies and economies of island states and low lying coastal countries. Much more progress is needed to start implementing adaptation policies and reduce the risk. I hope that the meeting of the Small Island Developing States meeting which is taking place as we speak in Samoa will lead to concrete measures to address the severe concerns associated with climate change.

Next April, when leaders of the Americas will meet in the 7th Summit of the Americas, I believe member states of the OAS, especially the Caribbean nations, together with interested partner countries in the Americas, will have a unique opportunity, to present a strong position on climate change and as well signal in no uncertain terms the need to continue foster political and economic stability in the Americas.

Honorable Acting Prime Minister, Ministers, ladies and gentlemen, this past March, here in Barbados, the OAS in coordination with other public and private institutions: the Caribbean Tourism Organization (CTO), the Central American Secretariat for Tourism Integration, the global non-governmental organization “Sustainable Travel International,” Royal Caribbean Cruises Ltd., and the United States Government through its permanent mission to the OAS; launched the Sustainable Destinations Alliance for the Americas (SDAA), an initiative created to help tourism destinations in Latin America and the Caribbean safeguard their natural and cultural assets, while enhancing the life of communities and securing a vibrant regional economy. This initiative is critical to the Organization’s support for member states’ efforts to increase tourism competitiveness through sustainable destination management and capacity-building while providing more practical, actionable and tangible cooperation.

Ladies and Gentlemen, It is indeed time to redefine and diversify the tourism industry, and to develop a more sophisticated product beyond the attractiveness of sun, sand and beach. There are real opportunities to vertically develop the industry, capitalizing on the unique qualities and niche opportunities in our region.

I hope this 22nd Congress will also succeed in reaffirming the value of tourism as a powerful and dynamic sector, its contribution to strengthening the social fabric of our societies, and its role as a common denominator for the integral development of the peoples of the Americas.

But, distinguished Ministers and ladies and gentlemen, let us remind ourselves, that it is not enough to continue sharing the developments and challenges in our countries and sub-regions, it is not enough to exchange information and best practices, it is not enough to continue analyzing trends and threats, it is time to primarily focus on developing individually and collectively new and transformative responses, it is time to ACT, and to act NOW !

I thank you.