bank services for tourism development report 2010

AFRICAN TOURISM RESEARCH ACADEMY (ATRA) LTD.

BANK SERVICES FOR THE SUSTAINABILITY OF TOURISM INVESTMENT.

001/JAN/2010

A PURE RESEARCH COMPILED BY AFRICAN TOURISM RESEARCH ACADEMY (ATRA)LTD. TO ENHANCE SUSTAINABLE TOURISM INVESTMENT IN UGANDA.

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Table of contents:

Research Topic……………………………………………………………………………………………………… …. 3

Proponent Information……………………………………………………………………………………………… 3

Project Cost and Duration………………………………………………………………………………………… 3

Participating Organisations………………………………………………………………………………………. 3

Executive Summery………………………………………………………………………………………………….. 4

Objectives of the Research. ……………………………………………………………………………………… 4

Background of the Research……………………………………………………………………………………… 4

Sample Location of the Research………………………………………………………………………………. 4

Research Questions………………………………………………………………………………………………….. 6

Justification of the Research. …………………………………………………………………………………… 6

Respondents’ Views of the topic………………………………………………………………………………. 7

Recommendations from ATRA ………………………………………………………………………………. 11

Risks of the Research………………………………………………………………………………………………. 13

Staffing……………………………………………………………………………………………………………………. 13

Proposal Budget …………………………………………………………………………………………………….. 14

Budget Summery…………………………………………………………………………………………………….. 14

Early Questionnaire Answers …………………………………………………………………………………. 16

Self Administered questionnaire to Banks. ……………………………………………………………… 17

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BANK SERVICES FOR THE SUSTAINABILITY OF TOURISM INVESTMENT.

Date of proposal: 1 Dec 2009

The African Tourism Research Academy (ATRA) is an organization based on tourism and

business market research. ATRA missions to provide Africa’s most credible tourism related

research and information that enhances sustainable tourism idea generation, entrepreneurial

effort, wildlife species protection and poverty alleviation in Africa.

PROPONENT INFORMATION

Name Kiweewa Bernard – ResearcherOrganisation African Tourism Research Academy (ATRA) Ltd.Address Ntinda P.O.Box 33930 Kampala.Phone +256-712-524370 or +256-702-524373Email [email protected] sunseekers.com/atra

PROJECT COST AND DURATION

Total project cost : Ushs 3,170,000

Funding partly facilitated by ATRA Ltd: Ushs 250,000

Funding requested from Participating Respondents: Ushs 2,925,000

Project duration: 3 months.

PARTICIPATING ORGANISATIONS:

The African Tourism Research Academy Ltd.

Uganda Hotel Owners Association (UHOA)

DFCU Bank Uganda

Crane Bank Uganda.

Uganda Tourism Association (UTA)

Association Of Uganda Tour Operators (AUTO)

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mailto:[email protected]


Kenya Commercial Bank KCB

Uganda Investment Authority (UIA)

Classification of project

Category: Tourism Investment and Marketing

Type of Organsation: Tourism Research Company.

Geographic Location of proposed Project: Uganda, Kenya.

EXECUTIVE SUMMARY.

An undoubted endowment composition of Uganda’s natural, built and reserved tourism attracts investment that have yielded over…………to Uganda,s GDP. Several Information sources, elucidate Uganda as a very prospective area for tourism investment. ((((((Information on tourism investment.))))) ATRA seeks to enhance dialogue between the Tourism investors and the Banks in order to find solutions to the fears and risks of tailored banking between the sectors.

OVERALL GOAL OF THE PROJECT:

To seek the enacting of Banks’ policies that avail tailored marketing and loan solutions for tourism investors as an incentive to raise and sustainably invest capital to successfully operate in the tourism industry.

OTHER OBJECTIVES;

1. To identify the sources of tourism investor’s capital.2. To determine what services tourism investors need of their banks3. To establish what services are readily offered by banks to the tourism developers

and 4. To establish what services banks can negotiate and offer to registered tourism

association members.5. To identify the limiting factors in the collaboration between banks and tourism

investors.6. To monitor the success of the bank services according to the tourism industry

marketing trends.

BACKGROUND OF THE PROBLEM

57 years ago today, the government at that time gazetted the first national park- Murchison Falls ( Kabalega National Park) to protect and market its historical endowment of wildlife as commended by Sir Winston Churchill the historical explorer hence branding Uganda the Pearl of Africa.

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Government being the first investor into the then Uganda Hotels with examples of; Masindi Hotel (1923), White Hoese Inn Kabaale, the Apoka Lodge (1950), Paraa and Mweya Safari Lodges among others, government later then allowed privatization and liberalization where more investors could set up lodges and also tour companies sowed in the industry.

Banks have also passed through the same opportunity hole of the privation and liberalization policies as investors continue to invest in Uganda’s rejuvenating industrial development. Over 20 registered banks and several credit schemes are now operating in the Ugandan Market today serving over 5 million people.

There are over 300 Ugandan registered tour operators whose aim is to succeed in the quest and maximize profits from tourist trends from all over the world. Unfortunately most companies or investors have failed to sustain themselves in the business due to various reasons among which the capital rate of return seems practically unpredictable. Some investors blame failure on the speculative nature of the business. However, many tour operators have managed to succeed in just a short period of time and their failure is attributed to several factors among which insufficient funds for sustainable business reinvestment tops the list.

This research study digs deep to analyse what limits banks from offering tailored services to the tourism industry and click a strategy between Tourism operators at different levels (ie. Tour company developers, Safari lodge owners Hotel Owners, and potential investors, Community accommodation project developers among the like), and Banks to reach a win-win scenario between the two entities.

SAMPLE LOCATION OF THE PROJECT;

The project is to take effect in Uganda and the sample location base is Institutions, facilities and Tour Operations in Kampala City and the findings are to embed impact of the research on facilities in the towns of; Kasese, Masindi, Mbale, Gulu, Kalangala, and Fort Portal.

The project will engage banks, DFCU, KCB, Crane Bank, Standard Chartred, East Africa Development Bank these will act as samples whose data will reflect information expected from other banks in the East Africa.

The project will engage Tour companies in Uganda through the Association of Uganda Tour Operators, AUTO, the Uganda Tourism Association UTA, Uganda Tourist Board (UTB), the Uganda Hotel Owners Association UHOA representing hotels/Lodge operators in Uganda.

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RESEARCH QUESTIONS

1. Identify the services that banks offer to Tourism entrepreneurs.2. Define the future prospects of Banks services towards tourism entrepreneurs

Marketing sourcing Loans (interest) Customer surveillance

3. To determine what loans (types) tourism entrepreneurs are willing to partake. 4. To determine the role of associations in between the relationship of banks and

tourism players.5. Can it be possible to have East African banks support Uganda’s hotels and tourism

associations in terms of loans and marketing niching?

JUSTIFICATION OF THE STUDY

The demystifying state of what the entrepreneurs have in mind before they secure loans has many anomalies. One of these anomalies is how they can/will pay back the loan and what security will be placed in case of failure to pay the loan.

In this project, the African Tourism Research Academy seeks the innovative support of Banks in strategically aiding the sustainability of the Tourism business and in particular, tour companies, hoteliers, and lodge investors.

Statistically, 200 Hotel owners and over 100 Tour Operators are registered in the UHOA and AUTO respectively. Among these are large firms employing over 300 people, medium and small businesses. The businesses are all determined to thrive even in the hardest of times for reputation’s sake. These businesses are a gross potential of market to bankers, better yet when combined in the umbrellas of associations.

The market for tourism products, thanks to the available privatisation government policy framework, National parks, cultural sites hotels and numerous activities attract a number of clients. Some of these activities and attractions are dormant and soon do not pause any entrepreneurial potential if not marketed to consumer targets.

Consumers of the products are targeted through the registered tour companies, and Hotels which market through the internet i.e., websites, TV, and Exhibitions and trade fares. But if such are too expensive to partake then entrepreneurs have to stand still and use the little finances for the scopes of markets they can attend to.

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According to this research, banks have a wide role to play in helping their customers to target the consumers of their products by and tailoring services that go an extra mile to pull customers and win their loyalty. For example, banks can charge lower interest rates on loans to encourage sustainable development in the tourism sector.

Investors in tourism therefore could perform much better when their opportunities have been widened by banks and in the same way, banks can yield long term profits and more international trust from potential investors from different sectors of the economy.

Respondents’ views information;

According to the main aim of this research, interviews were made, consultations, and questionnaires are in circulation and being gathered to provide a general perception of the research among different players in the tourism and banking lines.

The data below has been compiled and scrutinized to provide baselines for the research concluding workshop.

List of names to Questioned or Interviewed

Mr. Amos Wekesa President UTA Mr. Aron Aguma Marketing DFCU Miss Helen – Marketing Department - Standard Chartered Bank Marketing Department KCB Mr. Lawrence Lubanga- Marketing Coordinator Crane Bank The EU Delegation Uganda Miss Hilda from the Association of Uganda Tour Operators.

1. Interview with Mr. Amos Wekesa, President UTA.

The majority banking sector staff has little understanding about tourism. This limits the development of tourism where, operators find difficulty in identifying which bank to rely on in terms of assistance.

Question about the Sources of capital;

Tourism entrepreneurs use personal property to put up structures and facilities. The banking sector needs to be fed with various articles commending the tourism progress in the country(Uganda)so as to increase entrepreneur’s sources of capital.

The government of Uganda also needs more enlightenment about the profitability of the tourism sector and its contribution to the GDP through articles and advertisement within the press.

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Banker’s perception about Tourism services;

Bankers tend to value profitability made from tangible goods more than the intangible services. In this case, it is the tourism services that won’t visibly yield profit to the bankers.

Banks should seek tourism information to understand the origin and progress of tourism in this way they will enhance advice to clients.

Quality service;

Tour operators through their association and operations need to emphasize on quality standards of service production in order to win banks trust and legibility to qualify for extra bank services.

Organization in the Tourism Associations umbrella;

- There is a need for more dialogue between bankers and tour operators to share different opinions about the benefits of cooperation between the two sectors. Aspects of solidarity and bargaining power of tourism associations can be well emancipated in the dialogues.

- When only a few bankers understand the potential yield from tourism, workshops help to reinforce the fundamentals of tourism through which banks will understand tour operators’ business.

- The high interest rates and pressure exerted by the banks limit entrepreneurs from getting loans yet the associations are still very young and most members raise capital from family and friends and through support from other businesses to sustain themselves in within the tourism business.

The impact of pricing on the general tourism yield to investors;

According to the most tourism entrepreneurs, the pricing of tourism products is fair enough and should be able to be utilized by both local and foreign visitors.

The above pricing should hence attract more business investment with the support of banks. Prices fixed on the attractions are indicators of the potential of the sector.

2. Interview with the Association of Uganda Tour Operators.(AUTO).

AUTO adds that banks have limited information on tourism and they therefore charge a high interest on loans rendered to individual tourism operators.

The association does not/ has not engaged with banks in its associate with tour operators but there are future prospects of negotiating low interest loans from selected banks.

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Since(Local) banks charge high interest rates(20-30%) on individual tour operator’s loans, the operators have resorted to sourcing loans from banks and credit schemes outside the country(Uganda) which charge a little over 5% on loans.

The association in its time of existence has not solved or intervened between Banks and Tour operators/ members since the members keep their bank affairs personal and independent from the association.

The association cannot guarantee support to members who have problems with Banks since it is not informed about the members relationship with banks.

3. Mr. Laurance Lubanga – Crane Bank marketing coordinator CRANE BANK

Procedure of acquiring loans differs in several banks. According to Crane Bank, the types of loans offered are dependent on the customer’s legibility in terms of qualifications among which are

Customer for more than 6 months Transacting sizable sums of money that could encourage the bank to offer

loans to the client.

Other incentives to the investors can be the use of Visa card where Tourists and business people can access money using visa facility. In a way, it is easier for upcountry lodges to access money from tourists who visit the attractions.

Crane Bank has supported tourism as being part of the Imperial hotels’ umbrella investment e.g. Kabira, Munyonyo and the like. The bank has also been part of the City Tyre Gorilla Rally in which local marketing of the Gorillas has been extensively done by the Uganda Wildlife Authority.

Crane bank is positive with the idea of Tourism Associations and is willing to offer support to their cause. The bank is positive to support activities in that bring economic importance and yield to the bank.

4. Mr. Aron Aguma DFCU Bank Uganda.

Banking and marketing for the Tourism niches

- Banks need to first establish how much they can earn out of such investment as tourism marketing niches.

- How will the bank’s services be boosted by inflows from working with tourism.

There is a need of proposal fine tuning for example through analysis of different research (e.g. this research on “Bank services for Tourism investment”).

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The risks/ fears arising from loaning a seasons and speculation prone tourism sector;

o The Tourism sector is like the agriculture sector because of the seasons

effect. But the Banks would like to invest in sectors where there is sure security over the risk.

o The evaluation of Bank’s risk policy by the central bank authority (Bank of

Uganda) insufficient and unreliable securities that backup the loans borrowed by individual companies in cases of seasonal and force majeure factors comprise of the major fears of investing in tourism Loans.

o Hotels are seasonal and are not doing well in Uganda.

The question of Associations and their bargaining power;

- If associations can ably secure the individual companies in securing loans, then banks will have a secure way of supporting Associations. Associations should be able to keep their members in good reputation so as to keep a formidable security and sustainable relationship with the banks.

- Banks in general have a negative experience on the stability of associations in that their policies on banking have not been recognised if any.

- The Bank’s interest rates on loans offered to the operators in the tourism sector are high, not because of the profit maximization need, but because the individuals and their companies and even the associations do not have strong national policies which the bankers can depend on when offering loan services. For example, individuals do not have national ID’s that the bankers can use to monitor their clients and the companies are not policed with licenses that can be revoked in case they fail to deliver as agreed when acquiring loans.

- Banks need Equal terms in the negotiation with tourism associations.

The question about bankers’ awareness of tourism business;

- Mr. Aaron admitted the little exposure of tourism dynamics to banks.- There is need of awareness to make the banks understand more about tourism for

example through the use of news paper articles and other informative advert articles.- Information does a lot to reduce the effect of the negative domestic traveling culture

and hence ignites the trust and ensures that local people travel more.- When people are more informed and detached from culture (indigenous) they will

travel more therefore Uganda’s modern culture gives tour operators an opportunity to advertise more to the local metropolitan community.

- Putting market segmentation in practice will help operators to advertise to local markets.

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- Tour operator should endeavor to meet clients (local) where they work/ stay so as to market the services offered to our local market.

RECOMMENDATIONS FROM THE AFRICAN TOURISM RESEARCH ACADEMY

1. Banks, like any domestic tourism concerned party, need to have a constant (monthly) feedback on the several opportunities offered to tourism promoters in terms of newsletters and info-sites.

Observation: banks’ marketing staff has client targets to meet when opening up accounts. This means their goal is to open up/hit the monthly target.

This way they account dealers should assist the sales/marketing management to understand the clients’ need and hence the bank can support the clients on an intimate relationship.

2. Account application forms help the banks to know their clients. It is from this stage that banks can analyze, monitor and follow up the clients so as to qualify those who are legible for investment. In terms of loans, and marketing advise in their businesses. The presence of tourism associations should make it easier for banks to monitor and trust in their clients.

3. FNB Namibia (one of the most prominent bank in Windhoek – Namibia) recognizes the vital role that tourism is playing in the development of the Namibian economy and the bank is proud to be the first Namibian bank to show commitment to the Tourism Industry by way of establishing a dedicated Tourism Desk, wanting to make it our business to understand the industry's unique needs and helping to grow our clients' tourism business.

The bank’s dedicated team at the FNB Tourism Desk in Windhoek are specialists in the fields of tourism operations and financial needs of the tourism industry.

Key features & benefits of the Tourism FlexiLoan offered by the FNB bank.

Loan repayments are flexible and based on historical overview of customer's peak inward cash flow periods.

Maximum value is dependant on nature of assets being financed, repayment term and projected cash flow available

If prepaid deposits are made into the loan account, a drawdown can be made against it

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More specialized tourism solutions

1. Foreign Exchange

The tourism industry deals with visitors from abroad and requires specialist foreign exchange solutions

Customer Foreign Currency Accounts (CFC)

Tourism businesses can deposit and hold foreign currency for up to 90 days before it has to be converted into local currency

CFC accounts can be held in US Dollars, Euros or GB Pounds and will earn interest in that specific denominated currency

2. Speed points

Short Term Insurance

Insurance Brokers should offer flexible and affordable choice of insurance options developed to address every conceivable setback across all tourism sectors.

Other specialized insurance covers can include;

Passenger Liability, General Public Liability and Professional Indemnity, and Mortality Insurance.

Money, ie, the insurance Covers the loss of money through illegitimate means.

Insurance that covers for loss of, or damage to your business' vehicles, accessories and spare parts Public Liability

Covers against any damages for which the company could be held legally liable due to accidental death, injury or illness of a client or employee, or accidental loss of damage to their property

3. The Banks- Investor Brokerage Solution.

Hodges Ward Elliott (HWE) is a brokerage and investment banking firm dedicated solely to the sale and financing of lodging properties.

Since 1975, HWE developed a truly unique combination of focus and experience, resulting in becoming the nation's leading hotel real estate brokerage and investment banking firm. Focus on the lodging industry and history of successful sales and financing transactions enabled HWE to meet the objectives of the widest array of hospitality investors.

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HWE agents have a broad understanding of the forces which shape the hospitality industry. Their depth of experience with the full spectrum of ownership and transaction structures has allowed the firm to successfully negotiate transactions of all types, including portfolios, resorts, landmark urban hotels, major suburban properties, individual mid-scale and budget hotels, and mergers and acquisitions.

In conclusion therefore, the above solutions and many more can be the solutions that bridge the gap between Banks and Tourism investments if analytically tested for their practical implementation in today’s era.

RISKS OF THE RESEARCH STUDY

This research is carried out in Banks, Hotels and Tour Operators, each of which has discrete information in their competitive world. In most cases, some information may not be availed to the public or even to the cause of this research. This will therefore not only delay the data collection process but also limit the findings of the entire research. However, the research process will encourage dialogue between parties concerned to discuss the findings in the research concluding workshop and even on an individual consultation basis.

STAFFING

Position Role Name/Title M/F Country/Organization

1.Programme Director

Project, DirectionMr.Ismail Sekandi Executive Director UHOA

MUganda Hotel Owners Association

2. Project Leader Project SupervisorMr. Kiweewa, Bernard, ATRA, Research Affiliate

MUganda African Tourism Research Academy

3. Project AdminFinancial Accounting, Admin

African Tourism Research Academy

4.Steering Committee

Local Project Direction

Miss Molly Mpiriirwe , Mr. Amos WekesaMr. James Bahinguza

FMM

UTBUTAUTB

5. Tourism Advisor AdviseMr. James BahinguzaMrs. Grace Awulo

M F

UTBMTTI

6. Social Mobilizer Social mobilization ATRA Staff M/F ATRA

7. EnumeratorsField Data Collection

Mr. Derick KigoziMr. Denis Turyagenda

m ATRA

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Proposal Budget.

Deliverable/Activity AmountUnit Cost Subtotal

Allocated cost

Proponent Funding Other funding

DATA COLLECTION Shs % Shs %Interviews 6 2000 12,000 20,000 20,000 100% Quetionaires 20 300 6,000 30,000 30,000 100% REPORT Proposal 10 10000 100,000 100,000 30,000 30% Final Report 10 15000 150,000 150,000 45,000 30% Evaluation & Consultation 20,000 20,000 100% WORKSHOP 1 Venue National Theatre 1 300000 300,000 500,000 Invitations 50 2000 100,000 100,000 Lunch &Refreshments 20000 1,000,000 1,000,000 Presenters 4 800,000 Projector equip hire 2 100000 200,000 200,000 100,000 50% Staff 5 50000 200,000 200,000 Stationary 50people 1000 50,000 50,000

Grand Total 3,170,000 Totals Funded 245,000 8% Totals not yet funded 2,925,000 92%

Budget summery

Deliverable/ActivityAllocated cost

Proponent Funding

Other funding

Explanatory note.

DATA COLLECTION Shs % Shs % From ATRA, a team of 3 enumerators are being facilitated by the Company to deliver questionnaires, follow them, Interview respondents and collect the questionnaires in the sample area of Banks and the tourism sector.

Interviews 20,000 20,000 100%

Questionnaires 30,000 30,000 100%

REPORT ATRA has allocated funding upto 30% of the cost of the proposal and the report. ATRA requests For support from the stake holders of the research to facilitate the remaining 70% on both the proposal and the final report. ATRA also has allocated 100% transportation for the proposal evaluation.

Proposal 100,000 30,000 30%

Final Report 150,000 45,000 30%

Evaluation & Consultation 20,000 20,000 100% WORKSHOP The workshop sums up the aim of the

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research study where Banks and Tourism investors will be engaged in a dialogue.

Venue National Theatre 500,000

One of the suggested venues will provide enough and affordable space for the Banks and Tourism investor’s dialogue. ATRA will be delighted for any forwarded sponsorships of the venue.

Invitations 100,000

50 representatives from the Tourism Sector and the banks will be invited to share the ideas from each party. However, each attendee will pay a fee of Ushs 50,000 to join the dialogue.

Lunch &Refreshments 1,000,000

Lunch will be provided to all attendees who will have cleared the registration fees above.

Presenters 800,000

Presenters are willingly expected from the ATRA research Report, the banking sector and the tourism associations.

Projector equip hire 200,000 100,000 50%

ATRA pledges 50% provision of the Projector equipment and requested the stake holders of the research to (through sponsorship and registration) provide for the other 50% of the presentation equipment.

Staff 200,000

In collaboration with the venue staff, ATRA will provide the staff that will help in the organization of the Workshop.

Stationary 50,000

The needed stationary will provide easy record taking for all attendees and data organization for ATRA.

Grand Total 3,170,000

Besides over head costs, the available facilitation of this research from ATRA is 8%. Sponsorship and cooperation is needed from the stake holders of this research and workshop to make it a success in covering Totals Funded 245,000 8%

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the 92%.

Totals not yet funded 2,925,000 92%

Self administered questionnaire to Uganda Investment Authority UIA.

Miss Rebecca Namono, the Investment Executive - Market Research from the Uganda Investment Authority

1. Please state ways in which your institution has enhanced tourism in East Africa.UIA

- Promote and market investment opportunities in the tourism sector.- Through the presidential investor Round table, the sector has prioritized for

improvement and resulted in many successes e.g. Tourism bill increasing finding to UTB.NTV

- By covering areas that have nice tourism sites and findings about nature i.e. Eco Talk and sights and sounds.

- Prepaid advertisements through the sales and marketing department are showcased on the broadcast and programmed as discussed with clients.

2. Have you heard of associations like; The Association of Uganda Tour Operators (AUTO), The Uganda Tourism Association (UTA)? (These enforce best practices of

Tour Operators)Yes

3. Some starting Tour Operators are scared away by high interest rates in sourcing bank loans. What advice would you offer such investors?They should pull their resources together and borrow from the pool at an agreeable interest rate.

4. In what ways can the services of your institution promote/ encourage tour operators to market through international trade fairs and exhibitions?UIA is associated with the Uganda Tourist Board and Private Sector Foundation Uganda among others when opportunities such as international trade fairs or business forums abroad cause we ask the said organizations to invite their members.NTV showcases the work of tour operators and creates awareness for them through various programs.

5. What procedures should our Research Academy (ATRA) undertake to seek your organisation’s support of such kind of research studies?

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We prepare information profiles on tourism. These are available on the UIA website.

SELF ADMINISTERED QUESTIONNAIRE

The African Tourism Research Academy (ATRA) is an organization based on tourism and

business market research. ATRA missions to provide Africa’s most credible tourism related

research and information that enhances sustainable tourism idea generation, entrepreneurial

effort, wildlife species protection and poverty alleviation in Africa.

We offer tailored Research Services, Short courses in Documentary making, Internet marketing

and Unlimited Tourism Safaris to both local and international groups.

In our first edition of research, we have embarked on enhancing Bank services towards Tourism

entrepreneurs in Uganda. We henceforth need the cooperation of your Organisation / Company

in collecting data to enable the success of our research. We believe that through this research

we can reach a desired win-win scenario between Banks and Tourism developers.

It is our ethical responsibility to observe and respectfully handle the data content given to us

with discrete instruction as given by respondents.

Topic: BANK SERVICES FOR SUSTAINABILE TOURISM INVESTMENT.

Research Questions to Bank Sales and Marketing as well as other institutions in the tourism sector.

Organisation name……………………………………………………………………

6. What is your name?(Optional).………………………………………………………………………………………

7. What is your position in this organisation?………………………………………………………………………………………

8. How do you rate your level knowledge about tourism? (tick one)a. Not at all……………..b. A little…………………c. Satisfactory ………….

9. Please state ways in which your institution has enhanced tourism in East Africa.………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

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………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

10.Are there any services you directly offer to the tourism industry developers (Tour operators, Safari Lodge developers among the like) for example Loans, marketing consultation etc? Please list them below if any.………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

11.Have you heard of associations like; The Association of Uganda Tour Operators (AUTO), The Uganda Tourism Association (UTA)? (These enforce best practices of

Tour Operators)Yes…………..No……………

12.If yes, would you trust and use such Associations in forwarding direct loan services to individual member tour operators to specifically develop their tourism ventures?Yes…………..No……………Please elucidate on your answer………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

13.Some starting Tour Operators are scared away by high interest rates in sourcing bank loans. What advice would you offer such investors?………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

14.In what ways can the services of your institution promote/ encourage tour operators to market through international trade fairs and exhibitions?………………………………………………………………………………………………………………………………………………………………………………

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………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

15.What procedures should our Research Academy (ATRA) undertake to seek your organisation’s support of such kind of research studies?………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

We gladly appreciate your cooperation.We will inform your institution more about the 15th January 2010 workshop where the full compilation of this research study will be unveiled publically.

BANK SERVICES FOR SUSTAINABLE TOURISM INVESTMENT WORKSHOP The pre-researched baselines of presentation and discussion suggested by ATRA in accordance with the Justifications of the above proposal include the following.

This work shop will be open to all tourism stake holders and the registration fee is Ushs 50,000 for each person. The fee includes lunch. The workshop will take place on the 15th January 2010.

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Topic Suggested Discussants.

Analysis of the guarantee that tourism investment is financially feasible in Uganda/East Africa.

MTTI

The role of associations in encouraging member bargaining power in sourcing affordable loans from banks.

AUTO, UTA, UHOA.

Discussion on the interest rates for tourism and Hotel Business loans.

BOU

Banks willingness to understand and invest in tourism niches and loans.

Banks.