The use of Dollar by our nighbouring African Countries Accom and park fees





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  1. #1
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    Default The use of Dollar by our nighbouring African Countries Accom and park fees

    Morning Forumites,

    Please forgive if these has been discussed somewhere but I need a bit of some schooling or Economic lecturing on the use of US Dollars especially by some of our neighboring African Countries.

    These is in relation to the Accommodations or Camping sites that are charged in Dollars e.g Zambia, Zimbabwe because it has become so expensive to overland as a family.

    Two questions?

    1. Why are we paying their accommodations/Camping sites in Dollars not with their Local Currencies?
    2. What is the reason behind this whole thing of dollars?
    3. Why are they not charging us with their local currencies?

    I am raising these as I see or in my observation in years to come it will be difficult to overland as their accommodations or Park fees are becoming so expensive for one to can afford especially when charged in dollars.

    Regards,

    Rustic Camp

  2. #2
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    Default Re: The use of Dollar by our nighbouring African Countries Accom and park fees

    The short answer is they ran their local currency into the ground.

    US dollar has buying power anywhere.

    The Zim dollar doesn't exist anymore.

  3. #3
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    Default Re: The use of Dollar by our nighbouring African Countries Accom and park fees

    Hi,

    Zim have not had a currency for a while .

    In Zambia I'm usually able to pay in kwacha.

    In fact a coiple of places in Livingstone were not accepting dollars from tourists and people had to go and change dollars into local currency.

  4. #4
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    Default Re: The use of Dollar by our nighbouring African Countries Accom and park fees

    The simple answer is three fold:
    1 if operators quote in local currency most europeans have no idea of what a Kwacha is
    2 the kwacha is so volatile that if an operator quotes in Kwacha in February for a booking in August then they could lose out big time. All operators will let you pay in Kwacha at the days currency rate on arrival
    3 Government entities may insist foreigners pay in USD to try to get some forex

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  6. #5
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    Default Re: The use of Dollar by our nighbouring African Countries Accom and park fees

    Two questions?

    1. Why are we paying their accommodations/Camping sites in Dollars not with their Local Currencies?
    Because they say so and it's law. you don't have a choice!

    2. What is the reason behind this whole thing of dollars?
    You have the currency they want, it's an easy way to force people to bring fresh foreign currency into zim, a country that can't get their hands on dollars, the legal route.

    3. Why are they not charging us with their local currencies?
    No country outside of zim wants zim dollars, so zim can't get dollars via the usual route of swopping currencies. Foreign currency is harder to get than local currency. if you paid with local currency, no new money comes into the country, they are banking that you crossing the border with cash and bringing in new dollars not recycling useless/worthless pieces of paper.
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  7. #6
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    Default Re: The use of Dollar by our nighbouring African Countries Accom and park fees

    Quote Originally Posted by Rustic Camp View Post
    Morning Forumites,

    Please forgive if these has been discussed somewhere but I need a bit of some schooling or Economic lecturing on the use of US Dollars especially by some of our neighboring African Countries.

    These is in relation to the Accommodations or Camping sites that are charged in Dollars e.g Zambia, Zimbabwe because it has become so expensive to overland as a family.

    Two questions?

    1. Why are we paying their accommodations/Camping sites in Dollars not with their Local Currencies?
    2. What is the reason behind this whole thing of dollars?
    3. Why are they not charging us with their local currencies?

    I am raising these as I see or in my observation in years to come it will be difficult to overland as their accommodations or Park fees are becoming so expensive for one to can afford especially when charged in dollars.

    Regards,

    Rustic Camp
    Hi Rustic I can only talk about Tanzania but would assume the same applies across the board.

    1) most locals cannot afford to go to camps and parks and there is a special local rate mostly in the local currency. Park fees are also in local currency for locals and a fraction of the price tourists pay
    2) the target market is mainly European and American as that is where the wealth is, South Africans make up a very minor percentage of tourists.
    3) they need the forex
    4) the USD is traditionally stable as opposed to the local currency, just look at the Rand!
    5) most expats in the country are on dollar salaries so seems fair to pay in dollars
    6) overseas agents are quoting dollars or euros on there sites and to clients, most wouldn't know a shilling if it slapped them in the face.
    7) the main parks, in TZ that's the Serengeti, Ngorongoro and Manyara, are paying for all the other parks so prices are high. Serengeti was getting around 1000 tourists a day on average, Ruaha 60

    Don't be to supprised to see the same happening in SA in the future.
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  8. #7
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    Default Re: The use of Dollar by our nighbouring African Countries Accom and park fees

    things might change a bit after this Chinese virus thing.
    Most tourists from US and Europe are older people who will also be the ones that are a bit more frightened to fly and come to these parks.
    These rip off places might have to relook there pricing strategy to try and get more people to come.

  9. #8
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    Default Re: The use of Dollar by our nighbouring African Countries Accom and park fees

    Quote Originally Posted by AfriqueDS View Post
    things might change a bit after this Chinese virus thing.
    Most tourists from US and Europe are older people who will also be the ones that are a bit more frightened to fly and come to these parks.
    These rip off places might have to relook there pricing strategy to try and get more people to come.
    These rip of places are usually full and it's difficult to get bookings so no I don't think the prices will change in the long term, in fact it will get more expensive.
    Visiting a park is not a right it's a privilege that needs to be paid for.
    National parks cannot generate enough money to sustain themselves, they are subsidized by government (if they are lucky), NGO's, donor's etc.
    The more popular parks are paying for the less visited parks that are equally important to wildlife conservation.
    In Tanzania they are changing some of the hunting areas into parks, these are all off the beaten track, how are they going to generate income? Usangu was incorporated into Ruaha about 8 years ago there is still not a single camp in it! The cost of running the area falls on the park that is already stretched financially. 20 000+ square kilometers with 11 camps and a few camp sites!!!!
    Conservation costs and the money generated is from entry fees, camping fees, bed night fees etc and this is not getting cheaper nor should it.
    In South Africa you are still in a position where there is a large middle to upper class market to support your parks, the rest of Africa is not that lucky and a price drop will not see an influx of South Africans that will compensate for the loss in fees.
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  11. #9
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    Default Re: The use of Dollar by our nighbouring African Countries Accom and park fees

    I don't think international tourism will resume soon, not without flights.

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