Vol. 11(1), pp. 9- 20, February 2023 , 2023.

ISSN: 2384-6151

https://doi.org/10.14662/ijebm2023010

 

 

Full Length Research

 

Tourism Development, Financial Development and Remittances in Kenya

 

Susan Moraa Onuonga

 

Lecturer, School of Business, Economics and Toursim, Kenyatta University, Kenya Email:okeri.susanm@ku.ac.ke Phone:+254-0728154042  

 

 

 

Accepted 19 February 2023

Abstract

 

This study investigated the impact of financial development and international remittances on tourism development in Kenya .The study used time series data for the period 1988-2021. There is scarcity of studies that have used these variables in the travel and tourism industry. Ordinary Least Squares method was used to estimate both the short-run and the long-run the regression models. The short-run results suggest that financial development, openness, economic growth and inflation determine growth of the tourism industry in Kenya. The long-run findings of the paper suggest a positive significant impact of both financial development and international remittances on tourism development in Kenya. The results suggest that the government of Kenya need to provide favorable environment for the migrants to continue sending the remittances to the country as this impact positively to the development of the travel and tourism sector in the country. The government should continue implementing policies and programs that will continue boosting development of the financial sector as this will enhance the growth of the tourism sector.

 

Keywords: Financial development, international remittances, Tourism sector, Kenya

 

Cite This Article As: Onuonga, S.M (2023). Tourism Development, Financial Development and Remittances in Kenya. Inter. J. Econ. Bus. Manage.11(1): 9-20