Performance Assessment of Tourism Sector as a Vital Tool of Economic Growth in Nigeria

Abstract

Over the years, tourism has proven to be a surprisingly strong and resilient economic activity and a fundamental contributor to economic growth, generating billions of dollars in exports and creating millions of jobs. This paper theoretically appraises the economic contribution of the tourism sector to the Nigerian economy alongside the constraints militating against the development of the sector. The trend analysis of the tourism sector’s total contribution to Gross Domestic Product, employment generation, and visitor exports fluctuated in the years reviewed. Poor funding, poor infrastructural facilities, insecurity, and an unfriendly business environment are among several impediments to the growth of the sector. The paper therefore recommends that more funding to the sector, in addition to improvements in infrastructure and removal of multiple tax regimes for hoteliers, would be the right strategies to enhance the repositioning of the sector as a vital tool for the growth of the nation’s economy.