Since the Zanzibar Government opened the gates to private investment two years ago and enacted a law to encourage foreign private investment, some 19 applications have been received by the Ministry of Marine, Tourism and Forestry for permission to build tourist hotels in the islands. Five of the applicants have been allowed to proceed with construction while the rest have yet to comply with Government requirements before permission is granted. The Government now has in its hands 13 applications from people wishing to become tour operators and travel agents. Seven applications have been accepted and the Isles’ Tourism Director, Mr. Andrew Katema, hopes that the tourism industry will soon be able to contribute to the diversification of Zanzibar’s declining mono-crop economy.
Since 1984, the number of tourists visiting Zanzibar has increased threefold (to 22,753 in 1986). In that year tourism brought to the Islands’ Treasury some Shs 6.7 million compared with clove earnings of Shs 284.5 million – Daily News