In the five years to 2029, South Africa will host 25 big international events. According to the South African National Convention Bureau, the conferences and exhibitions will generate about R240-million to add to the national economy. The successful bids were achieved out of a total of 48 bid submissions that were made, less than half the number of bids that were made in 2021, the year before Covid hit. In that year South Africa made 119 bids, of which 58 were successful.
South Africa won top spot for meetings and conference destinations in the Middle East and Africa region in the 2023 rankings published by the International Congress and Convention Association (ICCA). In that year, the country hosted 98 international events that met the criteria set by the ICCA, and these had an estimated economic impact of R2-billion.
Between January and May 2024, 3.8-million tourists visited South Africa, an increase of nearly 10% over the comparable period a year before. Total foreign-direct spend went up in 2023/24 to R95.1-billion, an increase of 27.5%, and the total combined contribution of tourism to GDP was calculated to be R458.9-billion in 2023.
Sun International’s bid for Peermont is opposed.
Sun International’s bid to purchase Peermont, owner of Emperors Palace, is being resisted by the Competition Commission which will recommend to the Competition Tribunal that the merger be blocked. The proposed purchase, for R7.3-billion, would combine the 11 casino complexes of Sun International with the eight run by Peermont.
Another hotel matter is being decided in the South Gauteng High Court in Johannesburg. A minority shareholder in Legacy Hotels is trying to buy it, stating that relations between itself and the majority shareholders have irrevocably broken down. What makes the conflict rather more interesting than an ordinary commercial dispute is that the bid is coming from Ensemble Hotel Holdings, a subsidiary of Libya’s sovereign wealth fund. Two investment vehicles controlled by South African hotelier Bart Dorrestein hold the majority of shares in Legacy Hotels, which includes The Leonardo, Michaelangelo Hotel and Michaelangelo Towers, DaVinci Penthouse Suites, The Portswood Hotel, four lodges in the Pilanesberg and two in the Kruger National Park in its 17-property portfolio.
South African National Parks (SANParks), which runs nearly 70% of South Africa’s 509 state and protected areas, has a number of public-private partnerships (PPPs) and has held an investment summit to showcase a further 100 opportunities in 12 national parks. There are currently 60 PPPs in operation in South Africa.
There are 711 745 people employed in the tourism industry nationally, with road transport (29%), food and beverages (20%) and accommodation (19%) absorbing the largest numbers. The sector contributes 9% to South Africa’s gross domestic product (GDP).
Tourism Sector Resources:
- African Business Travel Association: www.abta.co.za
- South African National Parks: www.sanparks.org
- South African Tourism: www.southafrica.net
