Port Moresby, Papua New Guinea, October
30, 2017— IFC, a member of the World Bank Group, has launched the
market-size findings from the Tourism Demand Assessment, in partnership
with the Tourism Promotion Authority of Papua New Guinea, today. Adventure,
cultural, and historical tourism, are three strong areas for potential
growth in Papua New Guinea (PNG), the initial findings reveal. The full
report will be launched in November.
IFC is supporting the government of
PNG to identify high-spending niche markets for future tourism activities.
With the country currently capturing less than one percent of global travelers
in these markets, the aim of gathering this data is to identify ways to
boost the numbers, improve tourism products and create jobs.
Adventure travel is the largest niche
market. Around 238 million travelers spend over USD469 billion globally,
with 15,400 of them visiting PNG annually. Cultural tourism, too, represents
a large chunk of the market. While 184 million travelers spend over USD452
billion globally every year, 11,000 of those tourists travel to PNG annually.
Around 3.8 million historical tourists specifically travel to see World
War I and II sites and relics annually, spending USD5.7 million. PNG draws
16,500 of these tourists.
“While targeting niche markets can
be challenging given their fragmented nature, the pay-off is substantial,”
said Neal Donahue, IFC’s Head of SME and Value Chain Advisory. “Attracting
a greater percentage of these high-spending markets will result in more
tourists, greater tourism revenue for operators, and job opportunities
in rural areas of the country where a range of these tourism activities
With international arrivals in PNG growing
by an average of 13% since 2002, the International Visitor Survey shows
that tourists have contributed $105 million to the economy in the first
half of 2017. Given the numbers, targeting a niche market can prove to
be timely for PNG’s tourism sector.
“Understanding the potential market
size of these niche markets gives a clear pathway to planning how we need
to develop the services, infrastructure, itineraries and marketing campaigns
to attract new tourists,” said Jerry Agus, CEO of Tourism Promotion Authority.
“PNG offers a host of products and attractions that can meet the needs
of these high-spending niche market travelers,” he added.
IFC’s tourism project in Papua New
Guinea is focused on supporting the development of tourism businesses,
improving tourism-related conditions, and helping to attract investment
in the tourism sector.
IFC, a member of the World Bank Group,
is the largest global development institution focused on the private sector
in emerging markets. Working with more than 2,000 businesses worldwide,
we use our capital, expertise, and influence to create markets and opportunities
in the toughest areas of the world. In FY17, we delivered a record $19.3
billion in long-term financing for developing countries, leveraging the
power of the private sector to help end poverty and boost shared prosperity.
For more information, visit www.ifc.org.
IFC’s work in the Pacific is guided by the Pacific Partnership. Australia,
New Zealand and IFC are working together through the Pacific Partnership
to stimulate private sector investment and reduce poverty in the Pacific.