The tourism industry is thriving, although many sectors in the economy are struggling with low growth. According to Anton Roelofse, regional general manager of specialist risk finance company Business Partners, recent figures showed the tourism sector to be one of the country’s best-performing and stable industries.
Despite tough economic conditions, there were opportunities in the sector for ambitious and determined entrepreneurs, he added. The sector is forecast to grow from a 9.5% contribution to national GDP in 2015 to 10.5% by 2025.
“The weakened rand is favourable for local businesses within the tourism sector as it makes South Africa an even more attractive holiday destination for those with foreign currency,” said Roelofse.
“Similarly, the weaker rand also means more South Africans are opting to travel locally as international holidays become increasingly more expensive.
“The tourism sector continues to offer stable business conditions for small business, especially now, as tourism figures continue to increase year-on-year.”
He said that in South Africa, the local tourism industry offered a vast array of micro sectors, from large-scale tour operators to smaller guest houses, adventure sports, nature, conservation, student and medical tourism.
“There’s an opportunity for just about any idea within the industry.”