This paper has five aims. First, to discuss the Travel and Tourism Competitiveness Index (TTCI) and the method of its construction. If the TTCI is to have policy significance it is essential that its components be identified and analysed as to their appropriateness. This task will involve a comparison with models of destination competitiveness developed by tourism researchers. Second, to assess the extent to which the TTCI meets the objectives of the WTTC and UNWTO which have supported its construction. Third, to explore the potential effectiveness of the initiatives emphasized by the WTTC in support of the TTCI as a tool to help reduce poverty in lesser developed countries. Fourth, to introduce a concept of ‘pro-poor tourism yield’ which can strengthen the TTCI as a tool for tourism development. Finally, the paper concludes with a discussion of the role that quality of life issues might play in development of models of destination competitiveness.