Namibia’s tourism industry is showing signs of recovery, with the national hotel occupancy rate reaching 61% in July 2023, up from 51% in July 2022.
The Hospitality Association of Namibia (HAN) attributed the increase in occupancy rates to the commencement of peak season, which typically runs from July to September.
HAN also noted that July 2023 occupancy levels were the best over the last five years, having surpassed July 2018’s occupancy rate by 0.12%.
Simonis Storm researcher Angelique Bock said that the increase in hotel occupancy rates is positive for the country’s economy, as it means that more tourists are spending money in Namibia.
“Additional tourists translate to higher general consumer spending in the country and support accommodation and tour operator businesses as well,” Bock said.
She added that the increase in occupancy rates is being driven by a number of factors, including the recovery of the global economy, the easing of travel restrictions, and the depreciation of the Namibian dollar.
The tourism sector is a major contributor to Namibia’s economy, accounting for around 10% of GDP. The sector is expected to continue to grow in the coming years, as Namibia’s tourism infrastructure continues to improve.
According to Simonis Storm, Germany, Switzerland and Austria accounted for the largest stake of occupants (33.5%), being the usual main tourist source market for Namibia.
At the same time, locals were the second largest driver of visitors at nationwide hospitality establishments, accounting for 25.1% of occupants, followed by South Africans at 9.0% year to date.
In terms of tourist arrivals, the number of arrivals at Hosea Kutako International Airport (HKIA) are close to general pre-pandemic levels, primarily driven by international and regional arrivals.
“1H2023 underperformed compared to 1H2018 (7.9%) and 1H2019 (2.8%), but outperformed 1H2017 (0.9%). This reinforces the point that the tourism sector has not yet recovered fully to pre-pandemic levels but is expected to do so by 2024,” said the firm.
According to the latest data, HKIA received 16,472 international arrivals compared in June 2023 to 11,952 in June 2022 and 141 in June 2020.
Meanwhile, Namibia Airports Company said it has reached breakeven point according to the preliminary results of FY2022/23, operating at about 78% of pre-pandemic levels.
