Tourism generates two main economic benefits for the Bahamas, injection of foreign money into the economy and jobs creation for locals. The Bahamas’s GDP is 46% derived from tourism industry in 2010 and tourism employs 56% of the total labour force1. Steady growth in tourism receipts and a boom in construction of new resorts and residences had led to solid GDP growth.
Over 80% of all visitors are from the US or reside in the US. Therefore, overall growth prospects in the short run rest heavily on the fortunes growth in the US. However, the downturn of
American economy in the beginning of 2007 leads to a significant impact in all forms of tourism in the Bahamas.
The example of fishing can examine how the Bahamas was affected by the US economy. Fishing tourisms2 generates $141million in total economy; fishing visitors spent nearly $70million directly in island economies and supported an equivalent of 2500 full-time jobs from direct expenditures.
In the downturn of American economy, fishing tourism was also affected. A business report of guides’ shows a declination around 40% for fishing