COMMUNITY BASED TOURISM DEVELOPMENT FUND

The establishment of the City of Cape Town’s Community-Based Tourism Development Fund (CBTDF) stems from a commitment to the development and promotion of community-based tourism. The fund is operated under the auspices of the City’s Economic Development and Tourism Department and is fully funded by local government.  Other partnerships include the Local Tourism Bureaux and the community projects themselves.  The objective of the CBTDF is to increase the number of local people involved in providing services to tourists and the tourism industry so as to foster local ownership, power and participation in various tourist-related enterprises.
Innovation 

The innovative element of the fund is that community-based tourism must be government-led. Should no funding be available it would be unlikely that many projects would come to fruition.  Diversification of the tourism product in the region and extension of ownership, management and control to disadvantaged communities, thus boosting tourism in those communities, are important aims. Projects focus on cultural heritage and benefit all interested parties within the communities.  
Effectiveness 

Since 1999, 16 community-based tourism projects have been funded.  One such project, the Two Oceans Craft and Culture Centre had R200 000 flowing directly into the local community of Masiphumelele. Each of the projects has records of employment that are reported to the City during the project’s start up year. In 1999/2000 funding was provided to the Lwandle Migrant Labour Museum, Adventure Kalk Bay, Two Oceans Craft & Cultural Centre and the Look Out Facility. In 2000/2001 funds were forwarded to the Tourism Development Centre in Langa, Sivuyile Tourism Development Centre (Gugulethu), Tourism Development Centre (Khayelitsha) and the Mkhaya Music School in Nyanga. In 2001/2002, Imvubu Nature Tours, SMME development of Individual businesses in the Two Oceans Craft & Cultural Centre, Cafda Stables Craft & Cultural Centre and Community Women Action were given support. In 2002/2003 Beadwirecraftart, Lwandle Migrant Labour Museum Imbizo Kitchen Restaurant, The Langa Pass Office (Heritage Museum) and the Sonke Cape Route tourism information office were provided with funding.
Poverty Impact

Job creation and the acquisition of skills are the net effect of the CBTDF. Adventure Kalk Bay: provides employment and accredited Satour field guide training. Two Oceans Craft & Culture Centre: 4 people employed. Training included on-site training for labourers, small business skills and life skills.
Lwandle Migrant Labour Museum: 8 people employed. *Mkhaya Music School: 4 employed. Musical concept training. Sivuyile Tourism Development Centre: 2 permanent jobs and 10 for crafters. Sales of craft generate R3000.00 per month. Imvubu Nature Tours: 10 people employed. Training included field guide and environmental education. Small business skills, swimming training, boat handling skills, turbo cash training and 2 week business skills/business plan training (SAB). Cafda Stables Craft & Culture Centre: 9 employed. Training includes social skills and small business training. Arts and craft development, catering and baking. Langa Pass Office: 8 employed. Training in field guiding and theatre/drama. Sonke Cape Route: 6 employed. Business skills training, technical training, mentorship and SMME development. New Cross Roads Street Names Heritage Programme: 18 employed over 6 months. Community Women Action: 4 employed. 32 people have been trained as chefs, caterers, welders and in sewing, arts and craft. Small business skills also provided. Beadwire Artcraft: 12 short term jobs created. Income of R70 daily for crafters, and commission on sale. Look Out Hill – Khayelitsha: Crafters will receive product development training and business skills. A grant R1 million has been forwarded.
Sustainability

The City has a policy of job creation through tourism. Commitment from the city was needed to establish the fund and to ensure that it operates effectively. Problems encountered include lack of staff capacity in order to manage the funded projects from the City.  The fund may be expanded into a three-year phased funding programme to ensure sustainability of funded community projects instead of one-year kick-start financing. The fund is in the process of being reviewed as part of the Tourism Development Strategy that is being established for the City.
Replication 

The fund can be replicated elsewhere should the necessary funding be made available.  The main possible constraints are staff capacity issues and budget cuts.
Partnerships:
•    City of Cape Town
•    Local Tourism Bureaux