The Impact of Remittances on the Development of Domestic Tourism in Ghana. A Mediating Role of Cultural Exchange.

Michael Kojoe Amoah Tackie; Thelma Frimpong Mensah; David Mensah Awadzie

doi:10.47747/ijbme.v5i3.1805

Authors

Michael Kojoe Amoah Tackie Accra Institute of Technology
Thelma Frimpong Mensah Accra Institute of Technology, Department of Business, Accra, Ghana
David Mensah Awadzie 2Wisconsin International University College, Department of Business, Accra, Ghana

DOI:

https://doi.org/10.47747/ijbme.v5i3.1805

Keywords:

Tourism

Abstract

The primary aim of this research is to investigate the influence of remittance on local tourism development in Ghana. The study used a survey research approach to gather data from the DuBois Center and the diaspora African forum in Accra. Five hundred questionnaires were distributed; notably, 453 questionnaires were successfully retrieved, yielding a response rate of 90.6%. The study examined four hypotheses using partial least squares structural equation modeling (PLS-SEM). The results indicate that remittance positively and significantly impacts cultural exchange and local tourism development. Additionally, the findings suggest a positive relationship between cultural exchange and local tourism development, with cultural exchange mediating the association between remittance and regional tourism. Policymakers should invest in tourism infrastructure development, such as transportation networks and housing options, to maximize the benefits of remittances and cultural exchange. Collaboration between the public and private sectors can maximize the benefits of remittances and cultural exchange for local communities by fostering synergies in tourism development

Downloads

Download data is not yet available.

References

Blake, A., Arbache, J S., Sinclair, T., & Teles, V K. (2008,). Tourism and poverty relief. Annals of Tourism Research, 35(1), 107-126. https://doi.org/10.1016/j.annals.2007.06.013.

risBrown, S S. (2006). Can Remittances Spur Development? A Critical Survey1. International Studies Review, 8(1), 55-76. https://doi.org/10.1111/j.1468-2486.2006.00553.

Christie, I T. (2002). Tourism, growth and poverty: Framework conditions for tourism in developing countries. Tourism Review, 57(1/2), 35-41. https://doi.org/10.1108/eb058377.

Clément, M. (2011). Remittances and household expenditure patterns in Tajikistan: A propensity score matching analysis. Asian Development Review, 28(2), 58–87. https://doi.org/10.2139/ssrn.2001145.

Cohen, J. H. (2011). Remittance outcomes and migration theories: Testing relationship between types of capital and migration. International Migration Review, 45(2), 308-338.

Comerio, N., & Strozzi, F. (2018). Tourism and its economic impact: A literature review using bibliometric tools. Tourism Economics, 25(1), 109-131. https://doi.org/10.1177/1354816618793762.

Das, D., & Sharma, S. (2009). An assessment of the impact of tourism development at Varanasi: perspectives of local tourism businesses. International Journal of Tourism Policy, 2(3), 167-167. https://doi.org/10.1504/ijtp.2009.024551

De Haas, H. (2010). Migration and development: A theoretical perspective. International Migration Review, 44(1), 227–264.

Dou011fan, H Z. (2015). Forms of adjustment: Sociocultural impacts of tourism. https://www.sciencedirect.com/science/article/abs/pii/0160738389900698.

Docquier, F., Rapoport, H., & Salomone, S. (2012). Remittances, migrants' education and immigration policy: Theory and evidence from bilateral data. Regional Science.

Faist, T. (2008). The mobility turn: A new paradigm for the social sciences? Ethnic and Racial Studies, 31(4), 757-777.

Forms of adjustment: Sociocultural impacts of tourism. (2015). https://www.sciencedirect.com/science/article/abs/pii/0160738389900698

Genç, M. (2013). Migration and tourism flow to New Zealand. In Á. Matias, P. Nijkamp, & M. Sarmento (Eds.). Quantitative methods in tourism economics (pp. 113–126).

Giango, M K., Hintapan, R., Suson, M., Batican, I., Quiño, L., Capuyan, L., Anoos, J M., Batoon, J., Aro, J L., Maturan, F., Yamagishi, K., Gonzales, G., Burdeos, A., & Ocampo, L. (2022). Local Support on Sports Tourism Development: An Integration of Emotional Solidarity and Social Exchange Theory. Sustainability, 14(19), 12898-12898. https://doi.org/10.3390/su141912898.

Giuliano, P., & Ruiz-Arranz, M. (2009). Remittances, financial development, and growth. https://doi.org/10.1016/j.jdeveco.2008.10.005.

Guha, P. (2013). Macroeconomic effects of international remittances: The case of developing economies. Economic Modelling, 33, 292-305. https://doi.org/10.1016/j.econmod.2013.04.016.

Gunawan, Y., Eko, B R., Yudistyana, R., & Putri, D T. (2020). Independent Community Building Model through Environmental-based Tourism Management in "Masdarling" Program. Economics Development Analysis Journal, 9(2), 208-219. https://doi.org/10.15294/edaj.v9i2.39339.

Guttentag, D. (2009, March 26). The possible negative impacts of volunteer tourism. International Journal of Tourism Research, 11(6), 537-551. https://doi.org/10.1002/jtr.727

Hair Jr, J. F., Hult, G. T. M., Ringle, C., & Sarstedt, M. (2017). A primer on partial least squares structural equation modeling (PLS-SEM). Sage Publications.

https://doi.org/10.1016/j.annals.2017.01.011.

Kumar, R. R. (2014). Exploring the nexus between tourism, remittances and growth in Kenya. Quality & Quantity, 48(3), 1573–1588. https://doi.org/10.1007/s11135-013-9853-1.

Kumar, R. R., Naidu, V., & Kumar, R. (2011). Exploring the nexus between trade, visitor arrivals, remittances and income in the Pacific: A study of Vanuatu. Acta.

Levitt, P. (2004). Social remittances: Migration-driven local-level forms of cultural diffusion. International Migration Review, 38(3), 970-1001.

Levitt, P., & Lamba-Nieves, D. (2010). Social Remittances Revisited. Journal of Ethnic and Migration Studies, 37(1), 1-22. https://doi.org/10.1080/1369183x.2011.521361.

Liu, Y., Chiang, J., & Ko, P. (2023). The benefits of tourism for rural community development. Humanities and Social Sciences Communications, 10(1). https://doi.org/10.1057/s41599-023-01610-4.

Mack, E A., Sauls, L A., Jokisch, B D., Nolte, K., Schmook, B., He, Y., Radel, C., Allington, G., Kelley, L C., Scott, C K., Leisz, S J., Chi, G., Sagynbekova, L., Cuba, N., & Henebry, G M. (2023). Remittances and land change: A systematic review. World Development, 168, 106251-106251. https://doi.org/10.1016/j.worlddev.2023.106251.

Marschall, S. (2017b). Transnational migrant home visits as identity practice: The case of African migrants in South Africa. Annals of Tourism Research, 63, 140–150.

Mora‐Rivera, J., Monroy, H C., & García‐Mora, F. (2019). The impact of remittances on domestic tourism in Mexico. Annals of Tourism Research, 76, 36-52. https://doi.org/10.1016/j.annals.2019.03.002.

Mulyawati, L S., Adrianto, L., Soewandi, K., & Susanto, H A. (2020). Factors of Coastal Tourism Management with DPSIR Analysis (Case Study: Tanjung Lesung Special Economic Zone, Pandeglang Regency, Banten Province). ECSOFIM (Economic and Social of Fisheries and Marine), 008(01), 123-137. https://doi.org/10.21776/ub.ecsofim.2020.008.01.10 org/10.1016/j.worlddev.2005.05.004.

Portes, A., & Rumbaut, R. G. (2014). Immigrant America: A portrait. University of California Press.

Pizam, A. (1978). Tourism's Impacts: The Social Costs to the Destination Community as Perceived by Its Residents. Journal of Travel Research, 16(4), 8-12. https://doi.org/10.1177/004728757801600402.

Ramayah, T., Cheah, J., Chuah, F., Ting, H., & Memon, M. A. (2018). Partial Least Squares Structural Equation Modeling (PLS-SEM) using SmartPLS 3.0: An Updated Guide and Practical Guide to Statistical.

Ratha, D. (2013). Leveraging migration and remittances for development. UN Chronicle, 50(3), 26-29. https://doi.org/10.18356/b1d84fc4-en.

Reyes, R. G., Mata, N. D., Gijón-Cruz, A. S., Cruz, A. C., & López, S. (2009). Impacto del turismo nostálgico y las remesas familiares en el desarrollo de comunidad rural oaxaqueña. Migración y desarrollo, 12, 69–88. Retrieved from http://www.redalyc.org/articulo.oa?id=6601231300.

Sadler, P G., & Archer, B. (1975). The economic impact of tourism in developing countries. Annals of Tourism Research, 3(1), 15-32. https://doi.org/10.1016/0160-7383(75)90015-8.

Saif‐Alyousfi, A Y., & Saha, A. (2021). Do tourism receipts affect bank profitability? Analytical evidence from 85 tourism economies. Research in International Business and Finance, 58, 101437-101437. https://doi.org/10.1016/j.ribaf.2021.101437.

Sharma, R. (2008). Tourism and the Value System: An Impact Assessment from Sociocultural Perspective. Himalayan Journal of Sociology Anthropology, 3, 106-125. https://doi.org/10.3126/hjsa.v3i0.1499.

Shepherd, R J. (2002). Commodification, culture and tourism. Tourist Studies, 2(2), 183-201. https://doi.org/10.1177/146879702761936653.

Sridi, D., & Guetat, I. (2020). The direct and indirect risk impacts on remittances: A cross‐regional specific effects. African Development Review, 32(3), 288-302. https://doi.org/10.1111/1467-8268.12439.

Syah, D O., & Rustanto, A E. (2018). Tourism to Socio Culture and Economy of Community in Panusupan Purbalingga. Trikonomika Journal, 17(1), 14-14. https://doi.org/10.23969/trikonomika.v17i1.438.

Timcák, G. M., Jablonská, J., & Ondrejová, B. (2017). Migration and tourism. Journal of Environmental Management and Tourism, 7(4), 706–716.

Vertovec, S. (2007). Super-diversity and its implications. Ethnic and Racial Studies, 30(6), 1024- 1054.

Vujko, A., Stanojević, O Z., Zečević, L., Nedeljković, D., & Zečević, M. (2021). Rural residents' perceptions on economic impacts of cultural and promotional aspects of tourism. Ekonomika Poljoprivrede (1979), 68(1), 155-172. https://doi.org/10.5937/ekopolj2101155v.

Yang, D. (2011). Migrant remittances. Journal of Economic Perspectives, 25(3), 129–152. https://doi.org/10.1257/jep.25.3.129.

Zhou, M., & Li, X. (2018). Remittances for Collective Consumption and Social Status Compensation. International Migration Review, 52(1), 4-42. https://doi.org/10.1111/imre.12268.

Zhuang, X., Yao, Y., & Li, J. (2019). Sociocultural Impacts of Tourism on Residents of World Cultural Heritage Sites in China. Sustainability, 11(3), 840-840. https://doi.org/10.3390/su11030840.

Zhuckovskaya, I., Краснова, М В., & Yares, O. (2020). On the Influence of Population Income and Foreign Exchange Rate on the Development of a Tourism-Recreational Country's and Region's Facilities. Proceedings of the "New Silk Road: Business Cooperation and Prospective of Economic Development" (NSRBCPED 2019). https://doi.org/10.2991/aebmr.k.200324.070