Mitigating Economic Leakage: The Economic Impact of Sustainable Tourism on Island Communities
A. For many small island developing states (SIDS), tourism is not just an industry but the very backbone of the national economy. It promises employment, foreign exchange earnings, and infrastructure development. However, a persistent paradox plagues these idyllic destinations: despite burgeoning visitor numbers and high revenues, a substantial portion of the economic benefits fails to reach the host communities. This phenomenon, known as 'economic leakage,' presents a significant challenge to achieving genuine, long-term prosperity. It is within this context that sustainable tourism, particularly models emphasizing community-based enterprises (CBEs), has emerged as a critical framework for ensuring that tourism's economic rewards are more equitably distributed and retained locally. B. Economic leakage is the process whereby revenue generated by tourism is lost to other countries' econom...
Topic: The Economic Impact of Sustainable Tourism on Island Communities · 819 words · intermediate