Impact of Corruption and Insurgency on Tourism Performance: A Case of a Developing Country

Abstract

Insurgency and corruption have consistently remained the bane of economic growth and development of a tourist destination. As such, the impact of corruption indices and insurgency on tourism development in Nigeria is examined by using the Autoregressive Distributed Lag (ARDL) approach. The finding posits a significant long-run relationship of insurgency-corruption indices-tourism receipts nexus. Also, the result reveals that insurgency significantly hampers tourism performance by causing a decrease in the number of tourism arrivals. The impact of corruption on tourism receipts in the long-run depends on the characteristics of the index. For instance, only the social protection and quality of public administration indices exhibit a long-run, positive and significant impact on tourism receipts. The study presents contemporary policy mechanisms to unlock the country’s tourism opportunities. © 2019 Taylor & Francis.