Role of Tourism Industry in Generating Foreign Exchange
1.1What is foreign exchange?
Where money from one country is exchanged for that of another. Thesystem by which one currency is exchanged for another; enablesinternational transactions to take place. The Indian foreign exchangereserve position continues to be buoyant with reserves standing atUS$1,35,658 million in the week ending Feb 25,2005.Foreign currency assets were US $ 129844 million, US $ 2,692 higher than previous week's figure. Compared to their last year figure this variation isof the amount US $ 22,699 million, RBI weekly statement reported.Exchange reserves have continued to rise for over some months except for week ended Feb 5, 2005, when it fell marginally to Us $ 1,28, 914 millionfrom previous week's US $ 1,29,720 million
In tourism, when a foreign tourist spends even a rupee, that is consideredas a foreign exchange earning for the country.
1.2History on Tourism.
The first nomad, who wandered with his movable dwelling in search of food and shelter from one place to another, must have been struck by thevariations of ecology. This must have been a pleasant experience for him.The shift from unintended pleasure out of travel to traveling exclusively for pleasure constitutes the history of tourism, which is closely related toman’s economic growth, cultural and political development. Once the manhad settled on the land or found a place under the sun, which he calledhome, movement from that to any other place brought out the meaning of travel into the open.