Hotels and other tourist accommodations made more money in November compared to the same month in 2023. Their income grew by 12.1%.
The latest data from Stats SA shows tourism is bouncing back strongly after being hard hit by Covid-19 lockdown restrictions with income now exceeding pre-pandemic levels.
Investec economist Lara Hodes noted: “Income derived from tourist accommodation rose by 12.1% year on year in November to R2.922.7bn (current prices), ahead of pre-pandemic levels, evincing the resilience of a sector that was one of the hardest hit by Covid-19-related lockdown restrictions. All accommodation types surveyed increased year on year during November, with hotels leading the charge.”
Hotels, in particular, contributed 7.4 percentage points to the overall 12.1% year-on-year growth in accommodation income.
Stats SA’s tourist accommodation survey is conducted monthly covering a sample of public and private enterprises involved in SA’s short-stay accommodation industry.
Tourism’s contribution to GDP has fluctuated over recent years due to the impact of the pandemic.
In 2019, before Covid-19, the sector directly contributed 3.7% to SA’s national GDP. However, this figure fell to 2.1% in 2020 before rebounding slightly to 2.3% in 2021.
It is important to note these figures represent the direct contribution of tourism to GDP. When considering both direct and indirect contributions, the sector’s total economic effet is much larger. According to the World Travel and Tourism Council, tourism’s total contribution to SA’s GDP stood at 9.5% in 2019.
The growth seen in Stats SA’s data aligns with global trends. The World Tourism Organisation (UNWTO) recently reported that international tourism in 2024 had virtually recovered to pre-pandemic levels, driven by strong post-pandemic demand and robust performances by major source markets worldwide.
The recent UNWTO report, International Tourism Recovers Pre-Pandemic Levels in 2024, estimated 1.4-billion tourists travelled internationally in 2024, marking a 99% recovery of pre-pandemic levels.
Stats SA data reflects this positive trend domestically, with tourist arrivals to the country rising by 5.1% year on year in 2024. Overseas tourist arrivals grew by 3.7% year on year.
“Notably, travellers from Central and South America grew by 60.4% year on year in 2024, buoyed by arrivals from Brazil, which increased by 94.2% when compared to 2023,” Hodes said, highlighting significant regional growth.
“Moreover, arrivals from African countries outside the Southern African Development Community (SADC) grew by 25.1% year on year, with tourist numbers from West Africa jumping 57.5%.”
According to the National Development Plan (NDP), tourism is one of the fastest-growing economic sectors, with the potential to create substantial employment opportunities.
As part of the tourism department’s five-year plan, the government aims to increase international arrivals to 15-million by 2030, aligning with the NDP’s objectives.
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.