is driven by the private sector. Subsequently, it is the role of government to create the climate in which: ‘ordinary people – whether they be small farmers or managers of large fi rms – can get on with their daily tasks untroubled, and feel that it is worthwhile investing in their future’ (ibid.: 28).
Conversely, ‘bad governance’ embraces corruption and the abuse of public offi ce for private gain, which undermines the legitimacy of government and reduces the availability and quality of public services, if fi nancial resources are instead misap-propriated for private use. Corruption may also take the form of excessive bureaucracy that can make it necessary for unoffi cial payments, a euphemism for bribes, to get things done. Alongside undermining faith in institutes, this system-atic corruption may also prevent the poor from starting small enterprises. For example, Holden et al. (2011) observed in Elmina in Ghana that a signifi cant barrier to the development of tourism micro- enterprises by the poor was the necessity to pay multiple incentives to offi cials to attain the necessary permits for their operation as is described in Box 6.5.
Whilst progress has been made in reducing poverty over the last 30 years, it is evident that there still remains a considerable amount of work to be done in achieving a reduction in poverty and improving human development in its widest sense of incorporating democracy and social justice. It is also evident that the paradigms, principles and procedures of political economy that have dominated since the 1980s are inadequate to meet the needs of the poor and alleviate poverty totally. There is a subsequent need to change the ‘rules’ of the global economy to ensure that they are favourable to development in the LDCs and critically to the poor within those countries. The important institutes for setting the parameters of global governance remain those established through Bretton Woods, that is, the World Bank and International Monetary Fund. Despite having reportedly placed poverty reduction at the centre of policy design through the PRSs, the simultaneous pursuit of neo- liberal ideals has meant that many developing countries remain pressurised into opening their markets to multinational and foreign companies, cutting state support of farming and industry, and deregulating their fi nancial sectors. There is little evidence to suggest that these measures have been benefi cial to those in chronic poverty.
The institutions and purpose of the IMF and World Bank themselves, created over 60 years ago in a different economic and political era in the context of post-Second World War economic reconstruction, require re evaluation and reform. A signifi -cant step forward would be for an enhanced voting power of the LDCs and devel-oping countries in the governing structures of the World Bank and IMF; for example, sub-Saharan countries comprise 27 per cent of the member countries but have only 8 per cent of the votes in the Division of the World Bank dealing with loan appro-priations (Green and Allen, 2008). The African perception of both the World Bank and the IMF is that they are highly rigid organisations with harmfully prescriptive approaches to development and one in need of a stronger African voice in decision- making and increased responsiveness (Commission for Africa, 2005).
There is also the issue of leadership and presidency of the World Bank and IMF.
The process of choice is hardly openly democratic, with the USA always choosing the head of the World Bank, always an American, and Europe selecting the head of the IMF, always a European. The confi dence of the voice of the political South was raised in 2012 with a call for the Nigerian fi nance minister, Ngozi Okonjo-Iweala, to become the fi rst African female director of the World Bank. Whilst she was unsuccessful in her candidature, it will be increasingly diffi cult in the changing global political economy of the rise of the South’s economic power during the twenty- fi rst century for the directorship of the World Bank and IMF to remain respectively in the hands of American and European ‘elects’ indefi nitely.
Simultaneously, the rules of the World Trade Organisation also need reform to shift them away from the protection and interests of developed countries and to help
protect those of developing countries. A change to the conditions of trade are neces-sary, to ensure that trade tariffs, that is, taxes on imports, are not used by rich coun-tries to ban exports from LDCs, whilst at the same time generous subsidies are given to agricultural production in the developed countries. This practice of subsidy allows farmers in the USA and the European Union to export their produce at approximately half the economic cost of production, undercutting developing-country producers (Green and Allen, 2008), a situation that is compounded through the removal of trade barriers that permit large Western agribusinesses to dominate productivity. Beside the general undermining of the agricultural sector in devel-oping countries, which is the most signifi cant economic sector in which the poor are employed, this practice also poses a challenge to strengthening the links between the tourism industry in LDCs and local agricultural producers if it is cheaper for tourism enterprises to purchase imported agricultural products from the developed countries. An inability to strengthen this supply chain link with local agriculture substantially reduces income and employment opportunities for the poor.
There is a subsequent evident need for a re- orientation of development policy at global and national levels, one objective being to ensure that poorer countries have more power to determine their own economic policies. For this to happen will need a conceptual leap by many of those who hold power and the emergence of a new generation of leaders who are willing to tackle conservative mainstream paradigms and thinking. For Sachs (2005: 2), the approach to tackling global poverty extends beyond just government leaders and those of global institutions to become a collec-tive one, as he eloquently comments: ‘This task is a colleccollec-tive one –for you as well as me. Although introductory economics textbooks preach individualised and decen-tralised markets, our safety and prosperity depend at least as much on collective decisions to fi ght disease, promote good science and widespread education, provide critical infrastructure, and act in union to help the poorest of the poor.’ Implicit in Sachs’s statement is the level of inter- connectedness of today’s global society, that even if for no other reason than for our own self- interest, poverty is not an issue that can be ignored as it threatens everyone’s security. His vision also emphasises stake-holder partnerships and a wider social responsibility towards the world’s poor.
Chapter 5 evaluated the initiatives being taken in the pro- poor tourism arena, and the targeting of the poor within the private and public sectors is evidently a key part of the use of tourism for poverty reduction. Other initiatives taken by individuals – for example, philanthropic tourism and volunteer tourism – are indicative of a wider collective direct action that Sachs (ibid.) is referring to.
Sachs’s (2005) emphasis on collective action as an approach to tackling poverty has resonance to global security and the ability of individuals to be able to have and take opportunities to develop their own lives in a peaceful and secure environment. World history emphasises that poverty is a contributory factor to times of social upheaval, including political extremism, terrorism and wars over resources. Creating structures
of political economy that accommodate poverty reduction and the levelling of wealth inequalities is therefore in the interests of global society besides the poor. Against a backdrop of a world that is running low on natural resources, including water, oil and productive agricultural land, and faces an uncertain future from climate change at a time of increasing wealth inequalities within and between countries, it would be either foolish or brave to ignore this infl ammatory cocktail of shaken social spirits.
A key part of this re- orientation of development policy is to ensure the poor have enhanced representation in development decision- making at a local besides global level. Just as the Commission for Africa (2005) have advocated greater represen-tation in the World Bank and IMF, at a local level the poor need to be included in decision- making and not marginalised and excluded. Included in this re- orientation is a need to respond to the environmental pressures that are faced by the poor. As was explained in Chapter 3, the environment and resources of place typically provide the poor with their livelihood resources they depend upon for their well- being but many of the ecosystem services the poor rely upon have been placed under threat from ecosystem degradation. One approach to mitigating the likeli-hood of poverty is thus to arrest environmental degradation through resource conservation, combined with democratic participatory approaches to planning and development, and the use of environmentally renewable technologies.
The aims of this greater representative and participatory processes should be to develop a rich understanding of the poor’s economic aspirations and to raise the capacity of local people to realise them through sustainable resource usage. This combination of actions lends the poor substantially more power to be able to adapt to livelihood challenges and opportunities through giving them legal protection of access and control of use of the natural resources they require. Whilst an inclusive voice in the development decision- making process at a local level is important, the spatial geography and political resonance of this voice needs to extend beyond the local to the regional and national levels as decisions made at these levels have repercussions for local development, as is illustrated in Box 6.2 in the context of sustainable tourism development in the Annapurna region of Nepal.
BOX 6.2 ISSUES OF PARTICIPATORY DECISION-MAKING IN TOURISM DEVELOPMENT IN ANNAPURNA
Whilst a participatory and inclusive voice for the poor in the develop-ment decision- making process at a local level is important, the spatial geography and political resonance of this voice is also critical. Local and community based decision- making may be
undermined by decisions that are made beyond localised boundaries, exemplifi ed in the case of planned infrastructure development juxta-posed to the Annapurna Conservation Area (ACA) in Nepal, a country that is regularly ranked in the lower quartile of the United Nations Human Development Index (HDI). Nepal’s comparatively poor level of human development may be attributed to a combination of factors, including poor governance and its geophysical characteristics. The challenges presented to infrastructure construction by Nepal’s topog-raphy have contributed to its restricted development, whilst the harsh climatic conditions and diffi culties in communications make liveli-hoods marginal and vulnerable. Yet the geomorphology of the Nepal Himalaya that has traditionally exacerbated this undeveloped state is simultaneously a strong magnet and draw for tourists, as in the case of ACA. Given the topography and lack of transport infrastructure (there are no roads within ACA), the tourism industry is characterised by trekking, that is, mountain and hill walking.
The ACA has thousands of people who live in its boundaries and consequently integrates aspects of development, conservation and tourism management, coordinated under the auspices of the Annapurna Area Conservation Project (ACAP). Emphasis is placed upon the participation of village peoples in the development decision- making to help realise self- directed opportunities, leading to the eventual self- management of ACA. Partnerships between ACAP and village representatives have subsequently been established; for example, with village development committees (VDCs), lodge management committees (LMCs) and women’s development commit-tees (WDCs). This ‘bottom- up’ philosophy of tourism planning and development based upon principles of participatory approaches, community empowerment and local governance has led to ACAP being cited extensively as an example of successful community development through tourism. The scheme has received various international agency, governmental and industry awards; for example, the British Airways ‘Tourism for Tomorrow’ Award in 1991 and the World Wide Fund for Nature Conservation Merit Award in 2000.
The future of ACA is uncertain as the construction of a major new road linking the settlements of Jomson and Beni that has recently been completed follows the principal trekking route of the Kali Gandaki valley, follows with the potential for the extension of the road beyond Jomson to the Chinese border. If this happens, the Kali Gandaki valley could again become an important trade route
between China and India, bringing increased development opportuni-ties to Annapurna, but also changing the character of tourism as Annapurna loses its remoteness. Local lodge owners consider that macro- political forces beyond ACA have had a major infl uence on its development, as exemplifi ed by this statement: ‘The road has been in the envelope for the last 30 years – it is a big political game between China and India – the power is not with the village develop-ment committees; it is more with what China and India want.’ Tourism to ACA had also been adversely affected by the civil war in the country, which, whilst now fi nished, demonstrated the vulnerability of the industry to events that were beyond the control of local develop-ment decision- making. Several lodge owners thought of tourism as a
‘young’ industry and less sustainable than traditional agriculture, one that was not necessarily economically secure for the long term.
In the face of these external political forces, planning for sustainable tourism development was viewed as being relatively inconsequential by the lodge owners, characterised in the following statement: ‘The future of tourism as we know it has a deadline– so long- term planning doesn’t have a future.’ There existed a consensus that once the road was opened, efforts to control access and development into the ACA would be diffi cult. There was also concern over an absence of previous government consultation and the lack of consideration of the road’s impacts upon their livelihoods. Whilst they perceived the road as being benefi cial for development, bringing increased trade and domestic tourism, they thought it would also cause a signifi cant decline in the more lucrative Western tourism market as Annapurna loses its remoteness and authenticity.
Source: after Holden, 2010
The necessity to achieve a sustainable resource usage model for natural resources that makes the poor active participants in development is also a theme of Maathai’s (2009) analysis of the required steps to create the environment in which African countries can alleviate poverty. She uses the analogy of the ‘traditional African stool’ to defi ne three legs of support that are required. Whilst drawing upon the post- imperialist experiences of African countries and having a strong cultural context, the principles have a symbiotic relation to key concepts of sustainable development, human development and the green economy. The fi rst leg is the creation of good governance, what she refers to as ‘democratic space’ in which individual rights are respected, including human, women’s, children’s and
environmental. This includes equitable access to resources, rather than them being apportioned by political leaders amongst themselves, their friends and their supporters. The need for governmental reforms has been dramatically demon-strated by the mass protests and changes in governance that swept through several North African countries and the Middle East beginning in spring 2011, possibly marking a seminal point in demand for change from autocratic to democratic governance.
Addressing the lack of capacity to design and deliver policies for sustainable development and poverty reduction is the theme of the second leg of Maathai’s stool, which is based upon the sustainable and accountable management of natural resources to ensure their continuance for present and future. An important dimension to the sustainable agenda is an emphasis on the intra- generational equity of resource usage across all age groups and classes in society, as Maathai (2008: 56) puts it: ‘in a manner that is just and fair, including for people on the margins of society’. To achieve this will require some degree of a political and economic restructuring of society and the development of participatory processes, and the ensuring of access to resources and the benefi ts of development for the poor. The third leg of the stool rests on the creation of ‘cultures of peace’, which encompass fairness, respect, compassion, forgiveness, recom-pense and justice. Maathai is also keen to emphasise that the three legs are not separate but interconnected. As she puts it: ‘Just as the African stool is made out of a single block of wood, each leg or pillar, is reinforced by the others and formed from the same gain, so the issues must be addressed together and simultaneously’ (ibid.: 57).
These three legs form the solid support for the stool’s seat, which can be visual-ised as the place and space in which development can take place. If a country’s citizens feel that their country is founded on secure democratic principles that permit an equitable distribution of resource across cultural, ethnic and social groups, and has transparent accountability of government, there is a much greater opportunity of a culture of peace within which people can be educated, produc-tive, and creative; a space within which they can realise their potential. A notable further advantage of the creations of a ‘secure seat’ is that it provides a much more attractive environment for inward investment from the private sector and global agencies. Subsequently, if the stool can be created, not just in African countries but in other LDCs that also suffer from poor governance, there is an opportunity to concentrate resources into strategic areas to help communities climb out of extreme poverty.
One major initiative that has been taken forward that combines many aspects of Maathai’s ‘stool’ is the Millennium Villages Project (MVP) in ten African coun-tries to demonstrate how the MDGs can be achieved as is described in Box 6.3.
BOX 6.3 MILLENNIUM VILLAGES PROJECT (MVP)
The Millennium Villages Project (MVP) is a partnership between the Earth Institute at Columbia University, Millennium Promise and the United Nations Development Programme (UNDP), which aims to demonstrate that even the poorest and most remote communities in rural sub-Saharan Africa can escape poverty traps and attain the Millennium Development Goals (MDGs). Poverty is understood within the MVP as being multidimensional to include hunger, education, access to health care, water resources and environment. Emphasis is placed on tackling the root causes of poverty in partnerships between governments, civil society and businesses with the purpose of empowering communities and providing them with solutions to lift themselves out of poverty. Project staff work in the villages with the local communities to meet their specifi c needs and to design action plans that will help them achieve the MDGs. Simple solutions, such as the use of high- yield seeds, fertilisers, and anti- malarial bed nets, combined with infrastructure improvements of key public facilities, such as clinic and schools, and capacity building at the local level are employed to combat extreme poverty. The project wants to demon-strate that through low- cost investments in agriculture, education, health, business development and infrastructure, greater changes can be made to fi ght extreme poverty, hunger and diseases.
To date the MVP has benefi ted almost 500,000 people in 14 sites located across ten African countries (Ethiopia, Ghana, Kenya, Malawi, Mali, Nigeria, Rwanda, Senegal, Tanzania and Uganda). The sectors covered by the project are: food, water and energy, environment, technology and innovation, gender equality, mother and child health, education, and business entrepreneurship. The four key pillars of the MVP are: (i) increasing sustainable agricultural crop production; (ii) improving food and nutrition security; (iii) farm diversifi cation for income generation; and (iv) underpinning sustainability by restoring and conserving the natural resource base. Since the project started there has been a decrease by 30 per cent in the levels of chronic nutrition and a fall of 50 per cent in the proportion of under-weight children below two years of age across the villages. Supporting rural economies in their transition from subsistence farming to commercial agriculture is also a crucial element of the project, including facilitating access to loans and providing links between farmers and farmer cooperatives. A successful case was the
organisation of banana farmers in Ruhiira in Uganda into producer groups, which increased the benefi ts of sales to almost twice the price for their bananas, compared to when they were sold individu-ally. The overall aim of the Millennium Villages Project is to develop capacity- building within the communities so that these initiatives can be continued and a solid foundation provided for sustainable growth into the future.
Sources: http://www.millenniumvillages.org/ ; http://www.unmillenniumproject.org/mv/index.htm
‘TILTING TOURISM’: THE USE OF TOURISM FOR POVERTY REDUCTION
The emergent trends towards a green economy and the shifting geographical dyna-mism of the global political economy presents opportunities for the comparative advantages of the natural and cultural resources of many LDCs to be used in a sustainable approach to tourism that can reduce poverty. A major consideration in tourism’s use for poverty reduction is its geographical scale and the political economy within which it operates. To play an effective role, tourism policy targeting poverty reduction needs to be able to work within different development paradigms.
One is the alternative development paradigm – a typical type of low-scale develop-ment project that would fulfi l many of the criteria inherent to this paradigm, described in Box 6.4, on tourism development in Kerala in India.
BOX 6.4 THE DEVELOPMENT OF GOODEARTH COMMUNITY-BASED TOURISM IN KERALA, INDIA
Renowned for their beauty, cruising the backwaters of Kerala on houseboats has become a popular tourist activity with hundreds of boats transporting tourists around the lagoons, canals and rivers.
The development of the industry has led to negative environmental and social effects, including the pollution of the waters from engine and toilet waste. Several of the boats are also multistorey affairs blasting music through the beautiful scenery that fi rst attracted tourists.
In 2011 four villages – Vayalar, Chenganda, Perumbalam and Kodamthuruthu – established the Keyal Gramodhaya (Backwater