{"id":90932,"date":"2025-10-03T12:57:27","date_gmt":"2025-10-03T12:57:27","guid":{"rendered":"https:\/\/www.africa-press.net\/south-africa\/all-news\/south-africa-missing-out-on-billions-2"},"modified":"2025-10-03T14:42:19","modified_gmt":"2025-10-03T14:42:19","slug":"south-africa-missing-out-on-billions-2","status":"publish","type":"post","link":"https:\/\/www.africa-press.net\/south-africa\/all-news\/south-africa-missing-out-on-billions-2","title":{"rendered":"South Africa Missing Out on Billions"},"content":{"rendered":"

Africa-Press – South-Africa. <\/strong><\/span>South Africa\u2019s tourism sector continues to lag behind global and African competitors, with overseas visitor shortfalls costing the country billions.<\/p>\n

When it comes to tourism in South Africa, Lee-Anne Bac, advisory partner of tourism at BDO South Africa, said the numbers tell a sobering story.<\/p>\n

\u201cWhile South Africa welcomed 5.85 million international tourists from January to July 2025, a 14% increase over 2024, we remain frustratingly close yet far from our pre-pandemic peak,\u201d Bac said.<\/p>\n

South Africa is now just 33,000 visitors (1%) short of its 2019 figures. However, Bac said this apparent success masks deeper structural challenges that demand immediate attention.<\/p>\n

\u201cGlobally, international tourism returned to 2019 levels in 2024, experiencing over 12% growth. Meanwhile, South Africa\u2019s recovery crawled forward at just 5.1%, leaving us 13% behind our 2019 arrivals,\u201d she said.<\/p>\n

\u201cMore troubling still, we\u2019ve ceded ground to our African competitors.\u201d Kenya returned to 2019 levels in 2023, and Tanzania exceeded them in 2022 with 18% growth in 2024.<\/p>\n

Morocco, which is now Africa\u2019s leading destination with 17.4 million arrivals in 2024, achieved 20% growth.<\/p>\n

\u201cIn 2016, Morocco had 10.3 million arrivals, South Africa 10 million, and Tunisia just 5.7 million. Today, Morocco leads with 17.4 million, Tunisia holds second place with 10.3 million, and South Africa ranks third,\u201d she said.<\/p>\n

Bac said this raises the question of why South Africa\u2019s tourism industry has failed to keep pace with its competitors.<\/p>\n

\u201cThe most concerning trend lies in our overseas tourism performance, the jewel in tourism\u2019s economic crown due to high per-visitor spending,\u201d she said.<\/p>\n

\u201cWith just 1.3 million overseas arrivals in the first seven months of 2025, we\u2019re tracking 10% behind 2019 levels and 12% behind 2018 figures.\u201d<\/p>\n

Bac explained that the 183,000 \u201clost\u201d overseas visitors have cost South Africa approximately R4.3 billion in direct foreign spending for the first seven months of 2025 alone.<\/p>\n

\u201cFor the full year 2024, the shortfall in overseas visitors resulted in a staggering R13.3 billion loss in foreign direct expenditure, export earnings lost to our economy when we need them most,\u201d she said.<\/p>\n

Africa shines<\/b><\/p>\n

Radisson Collection Hotel, Waterfront Cape Town<\/p>\n

Although South Africa\u2019s tourism industry is lagging in some respects, the sector is also seeing positive strides on the continent.<\/p>\n

The Radisson Hotel Group recently explained that Africa\u2019s hotel industry is experiencing unprecedented growth. There are currently 577 new hotels and resorts under construction, which will add over 104,000 rooms.<\/p>\n

This 13.3% increase far outpaces global growth, with sub-Saharan Africa driving much of this momentum.<\/p>\n

\u201cWe\u2019re witnessing clear market signals across sub-Saharan Africa indicating significant expansion opportunities,\u201d said Daniel Trappler, Senior Director of Development Southern & Eastern Africa at Radisson Hotel Group.<\/p>\n

In particular, he pointed to the sector\u2019s potential to generate $168 billion in revenue and create over 18 million jobs by 2033.<\/p>\n

When it comes to South Africa, Trapler pointed out that the tourism sector is struggling with supply-demand imbalances.<\/p>\n

Other experts have similarly pointed out that although there is much demand from tourists, the market remains underserved. This is especially true for luxury tourism, which is still not being properly tapped into.<\/p>\n

Trapler said that, positively, South Africa shows a promising trajectory, driven by strong domestic spending at R445 billion (3.8% above 2019).<\/p>\n

The market reflects the broader African tourism renaissance, driven by natural beauty, cultural heritage, wildlife experiences, and strategic infrastructure investments that position these destinations for sustained growth.<\/p>\n

In cases where South Africa has made an effort to tap into its tourism sector, the rewards have been clear.<\/p>\n

For example, Cape Town\u2019s Air Access Strategy, a public-private partnership focused on increasing the city\u2019s international and continental air connectivity, has shown positive results.<\/p>\n

The strategy was primarily meant to boost tourism and economic growth by adding new routes and expanding existing ones.<\/p>\n

Cape Town International Airport\u2019s overseas air arrivals exceeded 2019 levels by 21% in the first seven months of 2025, while OR Tambo International Airport remained 21% behind 2019 figures.<\/p>\n

However, Bac cautioned that this success comes with a caveat. \u201cWe\u2019ve shifted rather than increased total international arrivals. The strategy worked for Cape Town but highlighted systemic challenges in growing the overall market,\u201d she said.<\/p>\n

Urgent actions needed<\/b><\/p>\n

Bac explained that tourism\u2019s traditional model has fundamentally changed. \u201cCompetition has intensified from previously unrecognised destinations, and markets are increasingly defined by lifestyle and life stage rather than geography,\u201d she said.<\/p>\n

However, Bac added that South Africa\u2019s tourism infrastructure appears inadequately structured for these realities.<\/p>\n

To address these challenges, she stressed that immediate action is required. Bac offered the following recommendations:<\/p>\n

Brand South Africa campaign: A comprehensive national campaign is needed to improve South Africa\u2019s global image, addressing geopolitical perceptions that deter investment and tourism.<\/p>\n

Air access development fund: Establish an economy-wide approach to improving connectivity, particularly to underserved, high-potential regional and overseas markets.<\/p>\n

Implement meaningful public-private-community partnerships, including city improvement districts, to address urban decay that drives away domestic and international visitors.<\/p>\n

Economic growth focus: Prioritise overall economic development to drive business tourism from domestic, regional, and overseas markets.<\/p>\n

Welcoming environment: Develop systematic approaches to ensure that South Africa\u2019s naturally welcoming culture is consistently experienced across the country.<\/p>\n

Product innovation: Develop unique tourism products offering diverse experiences while ensuring delivery through skilled, passionate workforces.<\/p>\n

\u201cThe tourism sector must recognise it operates within a broader economy,\u201d Bac said. \u201cChallenges require economy-wide solutions supported by all economic sectors.\u201d<\/p>\n

\u201cTourism cannot recover in isolation from manufacturing weakness, energy constraints, or governance challenges.\u201d<\/p>\n

Most critically, she said South Africa must position tourism at the centre of its economy, recognising its unique capacity to create employment opportunities across skill levels.<\/p>\n

\u201cThe sector\u2019s multiplier effect on job creation, foreign exchange earnings, and regional development makes it indispensable to South Africa\u2019s economic recovery,\u201d she said.<\/p>\n

Bac explained that the statistics paint a clear picture. While competitors surge ahead, South Africa\u2019s tourism recovery remains frustratingly incomplete.<\/p>\n

The African market\u2019s success and Cape Town\u2019s air access achievements prove that strategic, coordinated interventions work.<\/p>\n

\u201cNow we need the political will, private sector commitment, and public support to scale these successes nationally,\u201d she said.<\/p>\n

\u201cThe choice is clear: adapt our strategies to new market realities and competitive dynamics, or watch other destinations claim the growth that should be ours.\u201d<\/p>\n

For More News And Analysis About South-Africa<\/span> Follow Africa-Press<\/span><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Africa-Press – South-Africa. South Africa\u2019s tourism sector continues to lag behind global and African competitors, with overseas visitor shortfalls costing the country billions. When it comes to tourism in South Africa, Lee-Anne Bac, advisory partner of tourism at BDO South Africa, said the numbers tell a sobering story. \u201cWhile South Africa welcomed 5.85 million international […]<\/p>\n","protected":false},"author":84,"featured_media":90931,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,5],"tags":[275],"class_list":["post-90932","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-economy","tag-south-africa-2"],"yoast_head":"\nSouth Africa Missing Out on Billions - South Africa<\/title>\n<meta name=\"description\" content=\"South Africa\u2019s tourism sector continues to lag behind global and African competitors, with overseas visitor shortfalls c ...\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.africa-press.net\/south-africa\/all-news\/south-africa-missing-out-on-billions-2\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"South Africa Missing Out on Billions\" \/>\n<meta property=\"og:description\" content=\"South Africa\u2019s tourism sector continues to lag behind global and African competitors, with overseas visitor shortfalls c ...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.africa-press.net\/south-africa\/all-news\/south-africa-missing-out-on-billions-2\" \/>\n<meta property=\"og:site_name\" content=\"South Africa\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/AfricaPressTunisiaa\" \/>\n<meta property=\"article:published_time\" content=\"2025-10-03T12:57:27+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-10-03T14:42:19+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2025\/10\/sm_1759489856.232382.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"675\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"cfeditoren\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"cfeditoren\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"5 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/south-africa-missing-out-on-billions-2#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/south-africa-missing-out-on-billions-2\"},\"author\":{\"name\":\"cfeditoren\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\"},\"headline\":\"South Africa Missing Out on Billions\",\"datePublished\":\"2025-10-03T12:57:27+00:00\",\"dateModified\":\"2025-10-03T14:42:19+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/south-africa-missing-out-on-billions-2\"},\"wordCount\":1024,\"commentCount\":0,\"image\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/south-africa-missing-out-on-billions-2#primaryimage\"},\"thumbnailUrl\":\"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2025\/10\/sm_1759489856.232382.jpg\",\"keywords\":[\"South-Africa\"],\"articleSection\":[\"all news\",\"economy\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.africa-press.net\/south-africa\/all-news\/south-africa-missing-out-on-billions-2#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/south-africa-missing-out-on-billions-2\",\"url\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/south-africa-missing-out-on-billions-2\",\"name\":\"South Africa Missing Out on Billions - 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