The domestic tourism expenditure on passenger transport services in South Africa has shown considerable fluctuation over the past decade. Starting from 71.39 billion South African Rands in 2013, it has experienced periods of both growth and decline, peaking at 108.27 billion in 2019 before a steep decline in 2020, likely due to the COVID-19 pandemic's impact. In the post-pandemic recovery years, expenditure revived significantly, reaching 118.5 billion in 2023. The year-on-year growth for 2023 stood at 3.58%, with a 5-year CAGR of 6.87% from 2018 to 2023, indicating a relatively steady upward trend.
Future forecasts suggest a moderate growth trajectory, with a 5-year forecast CAGR of 2.64%, projecting the expenditure to reach 139.23 billion by 2028. This indicates an anticipated growth rate of 13.92% over this period.
Future trends to watch for:
- The impact of improving economic conditions and potential increases in household disposable income on domestic tourism spending.
- Technological advancements and their influence on travel habits and expenditure.
- Policies and investments aimed at boosting domestic tourism by the South African government.
- Potential global and domestic events that could disrupt or accelerate growth trends.
