The Role Of Information And Communication Technology (ICT) In Tourism On Economic Growth

Many developing countries today have been able to increase their participation in the global economy through the development of international tourism.Tourism development is increasingly seen as an important tool for promoting economic growth.The application of modern information and communication technology(ICT)has created a new way of doing business in tourism and conducting its activities.ICT has transformed tourism globally and offered a number of new development opportunities.It is now noted that the acceleration and collision between technology and tourism has brought about fundamental changes in our understanding of the tourism industry and,in Cape Verde are the sector with the most attractive short-term FDI in terms of the Beach,resorts,real estate tourism and complementary industry,particularly attractive in the geopolitical context of Cape Verde.Tourism can be seen as an open door to economic growth / development.Little research has been done to explore how the adoption of ICT and the Internet has influenced the tourism sector in other countries and the impact of ICT on the structure of the sector.Tourism generates an important and growing contribution to economic growth and has been seen as one of the best opportunities to generate income and jobs for our country The tourism sector has undergone several changes over the years,one of which was the arrival of the Internet and the application of Information and Communication Technologies(ICTs).This paper will investigate the relationship between ICT,tourism and growth in Cape Verde,using Granger's causality tests,models of cointegration,error correction and using annual data from the last two decades.The main objective is to test the existence of a long-term equilibrium between international tourism,ICT and economic growth.The results suggest that governments should focus on economic policies to promote tourism as a crucial source of economic growth.The VECM and Johansen cointegration test showed that the explanatory variables are significantly correlated and share a positive causality relationship with GDP.The multiple linear regression results revealed that among the independent variables,tourism had the strongest effect on the country GDP,As the sector that contributes significantly to individual regional economies in terms of GDP,employment,export earnings and investments.