Post 'Dudus' tourism money awaiting approval
BY ERICA VIRTUE Observer writer virtuee@jamaicaobserver.com
Thursday, July 15, 2010
THE Government is yet to approve the US$10 million (J$890m), which tourism industry operatives are seeking to improve Jamaica's image in the post Christopher "Dudus" Coke disaster that resulted in a massive blow to the island's tourism product.
Tourism officials present at yesterday's meeting of the Public Administrations and Appropriations committee (PAAC) of Parliament, disclosed that the additional funds being sought had not yet been approved, six weeks after the submission was made.
As a result, the aggressive marketing campaign by the Jamaica Tourist Board (JTB) has been pushed back to the end of the month, pending Cabinet approval.
"Cabinet gave some approval subject to the Ministry of Finance concluding its review. I don't think the ministry is complete, however, we had indicated to Cabinet at the time that indications were that the additional expenditure could be accommodated from the Tourism Enhancement Fund (TEF) resources," Ann Marie Rhoden, who is in charge of public enterprises at the finance ministry, told the committee.
"One may ask the question then, wouldn't there be any implications for the TEF in respect of the targets under the (IMF) standby arrangement, and the answer to that is yes," she said.
The Government's reluctance is linked to International Monetary Fund (IMF) directives barring new spending.
PAAC chairman Dr Wykeham McNeil, who is also the Opposition spokesman on tourism, asked where the additional funds for the new campaign under way were sourced.
The ministry, Rhoden said, was closely studying income and expenditures of other public bodies that have surpluses which could accommodate the request. She said that on the basis of the June quarter statistics, the ministry was now in a better position to make a decision.
The PAAC heard that on the basis of the informal response, Tourism Minister Edmund Bartlett and other officials were busy in the marketplace trying to woo visitors to the battered destination which has tourism as its main revenue earner.
"We had indicated informally, that it would and could be accommodated. However as I said the results for June have now just come in and I think we are going to be using that to better inform ourselves," Rhoden said.
The PAAC also heard that the requested sum may be less.
"Yes, there will be some accommodation. I am not sure it will be US$10 million or how much of it but I believe there will be some accommodation," she said.
Director General of the Jamaica Tourist Board Carole Guntley said that the lack of a formal approval had forced the agency to push back its new international marketing strategy.
"We would have wanted to start right after the July 4th weekend. We have been holding, in fact, chair (man) and members; they are in the field, as of July 12 doing normal field work. But the substantive programme which demands the US$10m, is awaiting the approval and the sign-off," Guntley told the committee.
She said that the new programme was a direct result of the "challenge" arising from the debacle in West Kingston.
Images of a city thrust into civil disobedience were flashed all over the world when the international press descended on Jamaica, after residents from Tivoli Gardens barricaded themselves in the community, in an attempt to prevent the police from serving an arrest warrant on Coke.
Coke had been indicted by a United States grand jury on drug-trafficking and gunrunning charges. A joint police/military operation in the community to arrest him, left more than 70 persons dead as well as police and military personnel.
The PAAC was told that increased activities were in anticipation that approval would be given. A stakeholders' meeting at the end of May heard of widespread cancellations and termination of forward booking, which necessitated an urgent programme to be put in place.
http://www.jamaicaobserver.com/news/Post--Dudus--tourism-money-awaiting-approval_7800173
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