 Fishing is the primary source of income , although coconut palm , <unk> coloring , cashew nuts and fruits are produced for trade . Because of its reef and extensive beaches , the snorkeling industry is gaining in popularity in Msambweni , and holiday cottages and hotels have sprung up in the area , such as the Msambweni Beach House . The town is noted for its leprosarium and contains the Msambweni District Hospital . The <unk> Dam is immediately north of the town . 
