The inbound tourism expenditure on tourism characteristic products in South Africa has shown significant fluctuations between 2013 and 2023. Notably, the values expressed in Billion South African Rands saw a notable increase from 2013 to 2016, with double-digit year-on-year growth rates in several years. The trend continued mostly positively until 2017, but there was a slight contraction in 2018. The global pandemic in 2020 significantly affected tourism, resulting in a substantial year-on-year decline of 13.53%. However, the sector rebounded in 2021 and has shown consistent growth up to 2023 where it stood at 92.57 Billion Rands, marking a year-on-year increase of 2.71%.
Looking forward, from 2024, the forecast shows a steady increase in inbound tourism expenditure, with the forecasted CAGR over the next five years predicted at 2.06%, indicating a stable recovery and growth trajectory. By 2028, the expenditure is expected to reach 104.8 Billion Rands, highlighting a 10.76% growth from 2023.
Future trends to watch for include the potential impacts of global economic conditions, visa policy changes, international travel restrictions, and investment in tourism infrastructure in South Africa. These factors could influence the inbound tourism market significantly in the coming years.
