CENTRAL AMERICAN TOURISMPresented By:

Joe, Tim, Dusty, Kyle, & Ryan

Introduction

• Focus on Costa Rica, Guatemala, Panama, and Belize

• Turmoil in the 1980’s led to increased interest in the area by tourists in the 1990’s and beyond

• Costa Rica has the largest growth, which may be due to the fact that they have no army and are seen as a more peaceful country

Introduction (cont’d)

• Ecotourism has become quite popular

• In addition, the beautiful weather in the area still lends itself to the more traditional resort towns

Costa Rica

Background Statistics

Costa Rica United States

Area (km2) 51,000 9,629,000

Population (millions) 3.8 290

Population Density (per km2) 82 30

GDP $32 billion $10.45 trillion

GDP (per capita) US$8,260 US$36,300

Capital: San JoseOfficial Name: Republic of Costa Rica

Tourism Statistics

1998 1999 2000

Costa Rica 943 1032 1106Belize 177 181 N.D.Guatemala 636 823 826Panama 431 457 479

1998 1999 2000

884 1,002 1,102

108 112 N.D

394 570 518

494 538 576

Tourist Arrivals (thousands) Tourist Receipts (US$ millions)

Tourism arrivals and receipts

Tourism Statistics (cont’)Tourism in the economy

(2000)

Receipt per capita

(US$)

Receipt per arrival

(US$)

Percentage of GDP

Costa Rica 276 996 7.1

Belize 450 619 14.2

Guatemala 46 629 2.7

Panama 206 1203 5.7

Factors that have led to Costa Rica having the most established and mature tourism

industry the region• 1980s Privileged position relative to its neighbors.

• 1985 The Law on Tourism Incentives

• Late 1980s The world trend towards environmental conservation and ecological issues gathered new momentum.

Guatemala

Guatemala Fast Facts

• Capital – Guatemala City

• Language – Spanish

• Population – 11.1 million

• Currency – Quetzal (1 Quetzal = .12USD)

• Largest economy in Central America

• Recently tourism and agriculture have boomed.

Guatemala

• The Guatemalan Economy has been booming over the past several years.

Over 50% of Guatemala's GDP comes from services such as Tourism.

Guatemala

• Tourism has steadily increased in Guatemala after internal conflicts were resolved in 1985.

• Guatemalan Tourism Receipts (US$)

1985 13.3 Million

1990 117.9 Million

1992 186.0 Million

1995 212.5 Million

1997 266.1 Million

Guatemala

• Modern and Colonial Cities

• Mayan Ruins• Natural Paradise• Pacific Ocean

Tourist Attractions

Guatemala

• Ecotourism - The demand for the visit of unmanaged natural landscapes in their natural environments.

• Sustainable Tourism Paradox – The increase in visitors makes it dificult to preserve the natural beauty for future tourists.

The Future of Guatemalan Tourism

Panama

Where the canal is

Full country name: Republic of Panama

Area: 30,420 sq mi

Population: 2.8 million

Capital city: Panama City (pop 700,000)

People: 65% mestizo, 14% African descent, 10% Spanish descent, 10% Indian

Languages: Spanish (Official), English and Indian languages

Religion: 85% Roman Catholic, 10% Protestant, 5% Islamic

Government: 85% Roman Catholic, 10% Protestant, 5% Islamic

Currency: Balboa = $1.57

Some Facts About Panama

•The service industry is the biggest source of revenue in Panama’s economy.

•Tourism is one of Panama’s primary services

Panama’s Economy

Year $ (in millions)

1993 225.6

1994 261.6

1995 310.4

1996 343.1

1997 374.2

Panama’s Tourism Receipts

Tourist Attractions

Panama Ruins

This is the one bridge that crosses the Panama Canal

La Amistad International Park

Belize

“Central America’s Diamond in the Rough”

Overview•Belize is located on the Caribbean Sea

between Mexico and Guatemala•Slightly smaller than Massachusetts•Population of 266,000 people•English official language•Government is parliamentary

democracy •Natural Resources: fish, timber, hydro-

power, potential arable land – only

2.8% used

History• Heavily populated by the Mayans from 250-900A.D.• First settlement 1638 by British for logging - followed by

fights of British and Spanish for ownership• British won supremacy in 1798 and est. as colony in

1871• Loosely governed by natives and achieved

independence Sept. 21, 1981 – constitution introduced and accepted by UN and Commonwealth of Nations

Dangers of FDI in Tourism• Coastal flooding esp. in the south• Frequent, devastating hurricanes (June to

November)• Crime – due largely in-part to illicit drug trade (major

transshipment point for cocaine)• International Disputes – land disagreements with

Guatemala – laid claim to Southern Belize• Labor Shortages – 90,000 force but shortage of

skilled labor and all types of technical personnel – 43% of population under age 18

• High Trade Deficit - $290mil. Export/$430mil. Import• High Nation Debt - $435mil. External• Poverty – 33% of population below poverty line

Room for Improvement• Stable exchange rates – remained relatively constant

since 1998• Major ports source of income/trade/transportation• Continued increase of arable land production• Support from US/UK - $21mil last year• Gov’t expansionary and monetary policies initiated in

Sept. 1998 cause led to 6.5% increase in 1998, 10.8% in 2000, 4.6% in 2001, and 3.7% in 2002 – mostly in tourism

• Short-term objective is reduction of poverty via international donors

• GDP real growth rate – 3.7% per year• Inflation rates – 1.9%

Tourism• Recent times – GDP growth in 2001 was

4.6% compared to 10.8% increase in 2000 result of two nat. disasters, declining export

prices, and Sept. 11th – esp. in tourism- Tourism is number one source of income for

country – represents 20.2% of GDP- Gov’t is spending lots time and money in

attempts to reinitiate growth via growth plans with help of US & UK

- Protecting natural resources = main tourist attractions: Mayan ruins, beaches, parks, etc.

Ancient Ruins• Mayan ruins located throughout Belize – main

attractions on coastline• Government has spent large amounts of

money revitalizing areas and making them more tourist accessible – trails & protection

Hotel Accommodations• Much time and money spent increasing

and improving resorts and hotels – via Colonial Development Corporation (CDC)

• Considered lower than average – number of rooms has more than tripled from 1990

Overall• With continued gov’t assistance in

tourism and related businesses and increases of foreign money flow the Belizean tourist industry is bound to flourish and become one of the most successful in Central America and the world

Bibliography

http--www.incae.ac.cr-ES-clacds-investigacion-pdf-cen607.pdf.url

2http--www.icdf.org.tw-web_pub-20030429165348C2-4.pdf.url

http://www.cia.gov/cia/publications/factbook/geos/us.html

The Young Dr. Boggs

The End