Impact of the RDIA and the building of the Blaise Diagne International Airport on tourism demand and economic growth in Senegal

Abstract

The place of airports in the economics of development is poorly understood. So, in this research, we assess the impact of the construction of the International Blaise Diagne Airport (BDIA) and the fee for the development of airport infrastructure (RDIA) on tourism demand and economic growth in Senegal. For this purpose, we use a dynamic computable general equilibrium model (CGEM) based on the 2005 social accounting matrix. The results show that the increase in public investment in the airport construction sector associated with increases in RDIA negatively affects foreign demand for tourism services. The variation in GDP is positive but of small amplitude. Thus, a reduction in the level of taxation of the RDIA after the airport is operational would be appropriate to boost the tourism sector, related sectors and GDP.