A report by Smith Travel Research (STR) shows that Hotels in the Middle East and Africa have posted growth across three key performance metrics in August. Hotels in the Middle East saw occupancy has increased by 2% to 63.4% this year with their average daily rate (ADR) also increasing 12.2% to US$169.63.
In Africa, occupancy is up by 2.2% to 63.1%, with a 10.8% increase in ADR to US$115.36. Revenue per available room (RevPAR) has also risen by 13.2% to US$72.77.
According to PwC Hotels Outlook, Kenya, Tanzania and Mauritius as the next fastest growing hospitality markets, with Kenya set to benefit from a rebound in tourism, new hotels and infrastructure upgrades – in addition to the expectation of political stability.
The Kenyan hotel industry is expected to benefit from this year’s tourism numbers. According to The World Travel and Tourism Council, the number of international visitors to Kenya is expected to reach a total of 1.4 million for 2018.
The report also states that Mauritius and Nigeria had the fastest growing markets in terms of hotel room revenue, with increases of 12.7% and 11.7% for 2017 while growth in South Africa cooled down from a 12.2% increase in 2016 to 4.6% in 2017.
Africa’s hotel industry has been the subject of increased investor interest from global quarters in recent months.