This study investigates the nexus between security and tourism within the development context within political structures and institutions examining specifically the impacts of security issues on the tourism industry of the Philippines. The latest global security events and the country's volatile security situation caused by political instability issues, terrorism and incidence of crime have together posed serious threats to the government's efforts to promote the country as a premiere tourist destination While tourism may be perceived by many social science and development writers as just a western mechanism to propagate capitalism, it has, for most Third World countries like the Philippines, nevertheless contributed significantly to their economies in terms of foreign exchange earnings, taxes and jobs generated. In examining the impact of security events and issues on Philippine tourism, a quantitative analysis which compared arrivals before and after security events led to the finding that terrorism caused the biggest declines. The fieldwork results which were based on surveys of tourists (both foreign and domestic), hotel management staff, and officials from government and the industry itself also led to a similar proposition that terrorism has affected travel decisions more than political instability and crime. However, fieldwork also revealed that internal conflicts caused by clashes between the government and Muslim and communist rebels have influenced tourists' choice of tourist destinations both in the countries they travel to and among the destinations in the Philippines. While political instability and incidents of crime within the Philippines did not seriously concern tourists on the whole, problems of corruption and a perceived weak government system to solve local security incidents have surfaced indicating the need for strategies to address problems within political institutions and structures. There were also differences in perceptions of fear and security between foreign and domestic tourists, and also among foreign tourists of different nationalities. Considering these observed perception levels in promoting tourism to these different groups may be more effective in attracting tourists to the country. This study concludes that Philippine tourism can recover from the consequences of both global and local security events provided that the government imposes stricter and more effective security systems, engages in more effective promotional strategies which target particular nationalities, and continues to cooperate with its ASEAN neighbors and international organizations like the WTO and WTTC to resolve security issues at hand. Utilization of risk management plans and crisis management plans implemented by countries that were affected by security problems in the past should provide some valuable means to the Philippines, and any other country with security problems. Overall, a combination of factors such as the active involvement of the Philippines in regional activities, constant dialogues with rebel forces and other insurgent groups, prosecution of perpetuators of terrorist acts and crimes, and a government of good integrity will enable tourism to lead to development.