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Home Business & Economy

Political rallies boost Northern Namibia room occupancy

by editor
November 26, 2024
in Business & Economy
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Northern Namibia recorded the highest occupancy rate at 72.38% in October, rising from 68.67% in September, largely due to increased demand from political rallies held in the area, latest data shows.

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Central Namibia saw an improvement of 55.00%, supported by various social events in Windhoek.

Meanwhile, the coastal region, which led in September with a 74.45% occupancy rate, dropped to 62.56%, reflecting a seasonal decline in international tourism.

The southern region also saw a slight dip, with occupancy falling to 60.37% from 60.78% the previous month.

This comes as leisure travellers continued to dominate Namibia’s tourism sector in October 2024, contributing 96.44% of total room occupancy, according to Simonis Storm.

The research firm said business travel accounted for 3.33%, reflecting a slight month-on-month increase, while conference stays remained minimal at 0.23%.

This comes as the national occupancy rate for October stood at 65.15%, slightly lower than the 65.54% recorded in October 2023 and below the pre-pandemic level of 69.87% from October 2019.

“Month-on-month, the rate dropped marginally by 0.35 percentage points from 65.50% in September 2024. The year-to-date (YTD) occupancy rate for 2024 averaged 54.17%, falling just short of the 54.76% seen in 2019, highlighting a steady, though incomplete, recovery,” said Simonis Storm in a report. 

“Business travel accounted for 3.33%, showing a modest increase from prior months, while conference stays remained minimal at 0.23%, consistent with October 2023,” said the firm. 

The coastal region attracted most business travellers, driven by international representatives from the energy sector engaging in Namibia’s expanding oil and gas industry. This region also saw the highest conference occupancy rate at 0.88%, supported by tourism events.

“The reinstatement of FlyNamibia’s daily flights between Windhoek and Lüderitz has further improved accessibility for business travel. Despite these gains, leisure travel remains the primary driver of Namibia’s tourism sector, with business and conference travel still playing smaller roles,” noted the firm.

Although the national occupancy rate remains below pre-pandemic levels, the varying performance across regions and the gradual increase in business travel signal an evolving tourism landscape. 

This shift could open new opportunities for investment and strategy in key regions, particularly those benefiting from infrastructure improvements and diversified travel demand.

As in previous months, most visitors to Namibia in October 2024 came from Germany, Austria and Switzerland, collectively accounting for 43.86% of international tourists. 

Local travellers followed with the highest domestic occupancy rate of 12.93%, a decline from 14.63% in September. 

“Visitors from France contributed 7.97% of total tourists. Interestingly, the Benelux Union countries Netherlands, Belgium and Luxembourg showed an increase in visitor numbers, with their occupancy rate rising from 6.93% in September to 8.10% in October 2024,” said the firm.

The firm further noted that the strong presence of tourists from Germany, Austria, Switzerland and Benelux countries can be attributed to direct flights between Frankfurt and Windhoek, which continue to facilitate travel from these key source markets.

Local travel showed a downward trend, with domestic visitors accounting for 12.93% of hospitality occupancy in October 2024, down from 14.63% in September and 17.5% in August.

Meanwhile, South African tourists decreased their share, from 5.53% in September to 3.19% in October. This highlights a shift in the regional travel dynamic, with South Africa emerging as a less significant contributor to Namibia’s tourism sector.

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