INVESTING IN COMMUNITY BASED INVESTING IN COMMUNITY BASED TOURISM (CBT)TOURISM (CBT)

GRANTS Vs. LOANSGRANTS Vs. LOANS

By Joseph RuhiuProgramme Manager

Community Environment Facility

SCOPE OF PRESENTATIONSCOPE OF PRESENTATION Introduction

Funding community based tourism in Kenya

Funding operations and performance

Limitations to the turn-key funding

The future of community based tourism

INTRODUCTIONINTRODUCTIONWHY CBTWHY CBT

Recognition of the important role that the community can play in biodiversity conservation

Approach to reduce human-wildlife conflict and enhance co-existence

Supporting communities exploit resources within their (communal) lands in sustainable manner

Localizing biodiversity management policies Empowering the communities – through

governance, rights and economically

The Scope of CBTThe Scope of CBT Enormous potential in spite of challenges A strategy to enhance biodiversity conservation Advocating responsible tourism income to the local poor

and the marginalized Notable efforts to CBT to recognize the important

contributions of the community – through ownership, rights and control over natural resources

Enhance livelihoods support of the communities through active participation in tourism and biodiversity conservation

Operating on commercial orientation and implemented through community – private sector partnerships

Conti…Conti…

Beliefs, community empowerment, improved governance, equity and income sharing

Practical and successful examples in Kenya – Kimana, Shompole, Il Ngwesi, Eselenkei, Koija, Koyaki, Lumo, Tana Delta Camp, Kijabe, Kalama, Namunyak, Ol Kiramatian, Ol Gulului, Elerai, Ol Gaboli

Other examples in Southern Africa – CAMPIRE in Zimbabwe; and LIRDP and ADMADE in Zambia

Funding Community Based Funding Community Based Tourism in KenyaTourism in Kenya

Overview Global value of Kenya’s wildlife protected areas – US$250

million annually Tourism is the 3rd foreign exchange earner – contributing

10% to the GDP (up to US$27 million annually) CBT support in Kenya dates to early 1970s – initial efforts

through by WCMD, latter KWS through COBRA (USAID, World Bank and other donors), succeeded by CORE

Supportive and facilitative role – KWS established Community Wildlife Service to increase community benefits from conservation and sustainable management of natural resources outside protected areas.

Conti….Conti….

CBT is almost 100% donor dependent and this scenario is not likely to change soon

Role of government; provision of security, infrastructure, development, marketing coordinator

Early CBT Initiative and Supporting Early CBT Initiative and Supporting Donors – Some ExamplesDonors – Some Examples

Kimana Community Wildlife Sanctuary – an electric fence with EC support of $8,000 – 10,000 while KWS aided infrastructure development with Kshs.4.2million through WDF

Mwaluganje – through Eden Wildlife Trust Sera Conservancy – established through Northern

Rangeland Trust with support from USAID Kalacha Bandas in Marsabit and rehabilitation of Il

Ngwesi Bandas – through Community Wildlife initiative (CWI) of CDTF through EC

16 community based conservation through BCP of EC

Donor Involvement in CBT in Kenya USAID – through the COBRA and CORE programmes (US$

43million ) through KWS, Pact Kenya inc., AWF etc. (all concluded) (USAID teamed up with World Bank and other Donors)

USAID/World Bank – PAWS (US$ through KWS Wildlife for Development Fund (US$ ) through KWS

(concluded) USAID – FORREMS through LWF, KEFRI (US$329,000 and

US$290,000) respectively USAID – through CORE committed some US$715,809 to

support community based tourism of which US$434,194 was disbursed in 2005 to 13 on going initiatives

USAID through the LEWA Northern Rangeland Trust programme provided US$400,000 to set up Sera Conservancy

Conti…Conti…

EC – Community Wildlife Initiative (CWI) (Euro 507,143) through CDTF (Concluded)

EC – Biodiversity Conservation Programme (Euro 5.5 million) through CDTF – covering 16 CBT projects among others (Concluded)

EC – Community Environment Facility (Euros 8 million) through CDTF (On going and expected to grant funds to some CBTs)

EC – Tourism Trust fund (Euros I billion) on going and granting CBTs ending in the year 2008

Other PlayersOther Players

Conservation based NGOs – WWF, ACC, AWF, EAWS, Pact Kenya, Nature Kenya, Lewa Downs

International bodies – UNDP (GEF and COMPACT)

National agencies – KWS, KEFRI, National Museum of Kenya

Trust, Foundations and Endowments Private Sector Operators

Funding Operations and Funding Operations and PerformancePerformance

Notable growth since 1970s – perhaps one of the fastest growing sub-sectors in tourism

Highest potential to contribute significantly in future – Vision 2030

About 100 CBTs established and operational compared to one or two in the early 1970s

Highest source of funding – donor community Emphasis – establishment of conservancies, bandas, etc.

IMPACT OF CBTIMPACT OF CBTOLGABOLI WOMEN BANDASPRE BCP• Serious environmental degradation; High poverty and illiteracy level;Non-economic activities;Male dominance;Unexploited natural resource; Exploitation by

tour operators; Low leadership skills and Low bargaining power

WITH BCP

First Maasai women biodiversity conservation project where rural illiterate women have negotiated for land access rights and are First Maasai women biodiversity conservation project where rural illiterate women have negotiated for land access rights and are engaged in eco-tourism development aimed at introducing a new and more productive benefit avenue. Objective: reverse engaged in eco-tourism development aimed at introducing a new and more productive benefit avenue. Objective: reverse situation pre BCP: situation pre BCP: Sustainably utilize biodiversity for economic gains; Diversify sources and types of income;Reverse male dominance in enterprises; Reverse male dominance in enterprises; Empower women in matters of conservation; Reverse the deteriorating range condition; Reduce poverty through tourism; Provide an alternative source of income – Fall back position, Provide conducive environment for skills building – Literacy

POSITIVE IMPACTS:

Positive impacts:-

          Income increased from Kshs. 400,000 between 2005 and Kshs. 2million in 2007; BCP support attracted financial support for a sixth banda from USAID; Illiteracy level brought down through literacy classes; 10 people employed in the in the enterprise, mostly young men and girls; Cattle rustling reduced through radio network and vehicle (secondary impacts); Land rehabilitated; Partnerships build – community-private sector Rift Valley Adventures, Princeton University; Project attracted funding from USAID and 6th larger banda build; Piped water availed to local people; Value addition to local artefacts through training in beadwork; Community sensitised on HIV and AIDS; Donations provided

 Negative impacts:-

          Loss of grazing area to tourism;   Risk of attack by wild animals; Conflict between men and women – A case of economic empowerment on women; Leadership problems – coups and countercoups; Vested interest and interference by men – negative publicity; Interference with social values – Women abandoning core family activities to pursue training

Limitation to the Turn-key FundingLimitation to the Turn-key Funding Absence of a system to ensure equitable sharing of benefits

and opportunities of tourism with local communities Inadequate financial outlay to develop infrastructure Inadequate funding for tourism marketing and promotion Failure to integrate a business approach with communities

being keen to sell artifacts – Business not Welfare Weak governance – culture, elites, politics Over dependency and inability to graduate from CBTs an

attitude problem Traditional communities limited interest and slow to change

and adopt monetary economy Weak/skewed partnerships between communities and private

sector

The Future of Community Based The Future of Community Based TourismTourism

What can we do?What can we do? Creative resource mobilization – going beyond donorsCreative resource mobilization – going beyond donors Standards and regulations for environmental and cultural impact Standards and regulations for environmental and cultural impact

assessment, monitoring and auditing of existing developmentassessment, monitoring and auditing of existing development Explore new funding mechanisms Explore new funding mechanisms Build capacity for local people to negotiate with private sector Build capacity for local people to negotiate with private sector

and man CBT as businessand man CBT as business Marketing of the tourist product to be integrated in project Marketing of the tourist product to be integrated in project

developmentdevelopment Harmonize donor conditions while targeting the same communityHarmonize donor conditions while targeting the same community Explore how local communities can contribute more towards Explore how local communities can contribute more towards

infrastructure developmentinfrastructure development

Funding OptionsFunding Options

Allocate (national and donors) sufficient and sustainable financial resources to CBT

Focus on:-Improving existing sourcesExploring on new sources of fundingEncouraging tourism investmentSupporting joint and balanced ventures

Viable Community Based Tourism Viable Community Based Tourism Fund Raising StrategiesFund Raising Strategies

Advertisements Fun-fairs, walks and runs Opportunities in CRS Exhibitions and trade fairs Donations based on vision and negotiations Branding of certain products – Maasai culture,

Dust of Kilimanjaro Home stays

Thank youThank you