April 17, 2008	Thursday	Rabi-us-Sani 10, 1429

PESHAWAR, April 16: The Sarhad Tourism Corporation (STC) has asked the NWFP government to claim $40 million from the federal government as compensation for financial losses suffered by the province’s tourism industry due to terrorism emanating from the Federally Administered Tribal Areas.

“Terrorism and militancy during the last five years have destroyed the tourism industry of the province. We have requested the provincial government to ask the federal government for a compensation of $40 million so that we replenish our communication network and get tourism going again,” NWFP Minister for Sports and Tourism and Culture Syed Aqil Shah told Dawn.

“Our tourism industry has suffered and we have a legitimate claim.” The STC in a summary sent on Wednesday asked the provincial government to approach the federal government to seek compensation for the negative fallout of the so-called war on terror on the once-thriving tourism industry in the NWFP, an official source said.

He said there was a precedent for the same in the context of Afghan refugees when in the 1990s the federal government provided a handsome amount to compensate the NWFP government for the pressure and damage caused to its infrastructure on account of the presence of over five million refugees in the province. There was no reason why the province should not be compensated now, he added.

The amount would be used by the provincial government to revive the tourism industry through research, opening of new areas, training of guides, promotion of tourist sites, improving soft image of the province on national and international level and to subsidise private tourism-related sectors, he said.

“We have taken it up with a good intention with the federal government,” the official said, adding:

“The NWFP economy has suffered due to militancy. Poverty and unemployment fuels militancy and terrorism further, so by investing the compensation money into reviving tourism industry we will be eliminating the root cause of terrorism.”

“This claim pertains only to foreign tourists and the amount was calculated on the basis of tourist figures complied by the federal tourism ministry,” he said.

According to statistics compiled by the federal ministry of tourism, the number of tourists visiting the NWFP is about 5-6 per cent of the tourists visiting the country. Based on these official figures, the financial cost to the province came to $40 million for the years 2003-2008, at the rate of $8 million per annum, the official said.

He, however, disputed the ministry of tourism figures regarding the number of tourists visiting the NWFP, insisting that the number was far more than what was being claimed by the federal government.

“It does not add up. Even their own figures contradict each other. How could it be that only 5% visit the NWFP while most of the features the ministry claims to attract tourists in Pakistan are found only in this province? It doesn’t make sense,” he said.

The official report “Pakistan Tourism Facts & Figures 2007” mentions that approximately 25 per cent of tourists coming to Pakistan are interested in scenic places, mountains and climate.

The official said the STC would like to “revisit” the number of tourists visiting the NWFP as provided by the ministry of tourism by proposing a joint team of federal and provincial ministries of tourism.

“Think of the tourist rupee, where it comes from, where it is going next. The tourist rupee circulates among every individual related and even not related to the tourism industry. So, reviving tourism could bring more investment and prosperity for the province,” said the official.