The latest mathematical equation one hears, in relation to the economy, and employment in Anguilla, is that 100% of the island’s workforce, rather that about 65%, is provided for by the tourism industry. To actually come up with that exaggeration is to exclude other lucrative job opportunities in the public and private sectors. Yet, when one considers the overall impact of the tourism industry, on all other sectors of the economy, and their reliance on that industry, it is almost altogether difficult to argue against the claim except, perhaps, with some modification.
What that claim does is to place the economy in a position where tourism is its overall contributor and bedrock. According to a now popular phrase, “If tourism fails, Anguilla fails” – and that is the extent of our dependence on that industry. But recovery of the sector is slow and uncertain, and is a far cry from the boom days when Anguilla captured a sizeable and comfortable portion of the industry compared with most, if not all, of its neighbouring competitors. That is not to say that they do not also have their own share of economic woes with declining tourist numbers, partly due to the global recession and its impact on some of the main international tourism markets.
Anguilla’s position has been worsened by the fact that with the 2012-2013 season well underway, Cap Juluca,once the island’s flagship of the industry, remains in a state of partial operation and therefore low occupancy and low income generation. And the Anguillan public is yet to know what is happening at Malliouhana Hotel and Spa, another once famous and high-ranking property which has been closed since around the middle of last year or thereabout. Every now and then there are reports of a sales deal – to a would-be investor – and then nothing further is heard.
In the good days of prosperity, between those two hotels there were close to six hundred workers employed. Today, the overwhelming majority of them have joined the ranks of the unemployed. Whatever may be the cause of the two unfortunate situations, the people of Anguilla must look to Government for some of the answers and solutions. As the governing body of the island, Government must encourage and facilitate some action and forward movement at the hotels.
Another dilemma, facing Anguilla, is the worsening case of air access, now that LIAT has cutback some of its flights. This, in all likelihood, is posing some travelling difficulty for European tourists, en-route to the island through Antigua on particular days. There is also a need to boost air travel between Puerto Rico and Anguilla – and St. Maarten and Anguilla – to realise a greater number of visitors to the island.
With Tourism Week now being observed in Anguilla, there are various problems facing the island which need to be urgently addressed. If we are not careful, over a period of time, they may seriously affect the industry which is so vital to the island’s economic development and the well being of our people.
For some reason, Anguilla has been very slow in diversifying its economic base. The development of offshore financial services, as a second industry, is still basically in its embryonic stage although there have been some marketing successes, notwithstanding a great deal of stringent, but necessary, legislation and regulations. Cottage industries, and other related sources of employment, seen in other islands, but offering low levels of income, have not been attracted to Anguilla where wages are among the highest in the region.Thus tourism continues to be the main stay of Anguilla’s economy.
We are an island matching the proverbial phrase of having “all our eggs in one basket”. Consequently, it is difficult to see how we can escape from this situation unless, by some stroke of good fortune, we are able to effectively diversify our tourism industry.
There is a great need to preserve what we have. It means, therefore, that we must do all that is possible to further develop and strengthen the tourism industry; to spread an awareness of its importance among our citizenry; and to set achievable and sustainable goals to ensure its buoyancy and longevity, thus saving it from failure.