PUBLIC PRIVATE PARTNERSHIPS IN TOURISM

Tourism in Madhya Pradesh: - Pilgrimage - Heritage - Cultural (Recreation and Leisure) - Adventure - Economic (Nature and Wildlife) - Rural

Sustainable Tourism – Poverty Alleviation 7 mechanisms suggested by UNWTO: 7 mechanisms suggested by UNWTO: 1. Employment of the poor in tourism enterprise; 2. Supply of goods and services to tourism enterprises by the poor or by enterprises employing the poor; 3. Direct sales of goods and services to visitors by the poor (informal economy);

4. Establishment and running of tourism enterprises by the poor - e.g. micro, small and medium sized enterprises (MSMEs), or community based enterprises (formal economy); 5. Tax or levy on tourism income or profits with proceeds benefiting the poor; 6. Voluntary giving / support by tourism enterprises and tourists; 7. Investment in infrastructure stimulated by tourism also benefiting the poor in the locality, directly or through support to other sectors.

PUBLIC PRIVATE PARTNERSHIP  To overcome infrastructure bottlenecks  to hasten infrastructure development Government provides the statutory/administrative backup to infrastructure projectsGovernment provides the statutory/administrative backup to infrastructure projects Private sector provides finances and manages these projectsPrivate sector provides finances and manages these projects

TOURISM – PPP BENEFITS develop new destinations develop new destinations provide / augment necessary amenities provide / augment necessary amenities preservation of heritage sites preservation of heritage sites promotion and marketing of destinations promotion and marketing of destinations

PPP SEGMENTS Infrastructure improvement; Infrastructure improvement; provision of support services and equipment; provision of support services and equipment; Information dissemination and marketing; Information dissemination and marketing; Training/capacity building of personnel (e.g. in eco-tourism areas) Training/capacity building of personnel (e.g. in eco-tourism areas) Civil Societies management and organizational development Civil Societies management and organizational development

Role of Government  Enabling policy formulation;  Legislative and institutional reforms;  Administrative capacity building; Identification of thrust areas / projects; Identification of thrust areas / projects; Risk assessment and mitigation; Risk assessment and mitigation; Project clearance; Project clearance; Ensure transparency and welfare; Ensure transparency and welfare;

Private partner’s responsibilities  Efficient project management;  Corporate and social responsibility;  Ecological sustainability;

Sourcing finances  Project development funds  Public equity participation  Viability gap funding (20% - 40%)  Financial institutions Funding mechanisms Funding mechanisms

so let’s set the ball rolling….