Egypt, Nigeria, and Morocco Lead Hotel Development in Africa, New Report Reveals

Jordan Vega

Jordan Vega

January 16, 2025 · 3 min read
Egypt, Nigeria, and Morocco Lead Hotel Development in Africa, New Report Reveals

The 16th edition of the annual Hotel Chain Development Pipelines in Africa report has been released, providing valuable insights into the continent's hotel development landscape. According to the report, Egypt, Nigeria, and Morocco are among the top countries by the number of rooms in the hotel development pipeline, with a total of 68,203 rooms across 361 hotels.

The report, published by W Hospitality Group, covers all 54 African countries, including North Africa, sub-Saharan Africa, and Indian Ocean islands. It offers consistent, reliable, and comparable data on hotel development pipelines in Africa, capturing the activities of hotel chains already operating on the continent and those looking to enter for the first time.

The hotel development landscape in Africa has evolved significantly over the years, positioning the continent as one of the most prominent regions globally in terms of hotel growth. However, the industry faces challenges, such as economic difficulties, political turmoil, and natural and man-made disasters, which often create negative perceptions of certain African countries and, at times, the continent as a whole.

Despite these challenges, African hotel chains are growing as investments, new developments, and rising tourism boost demand. Local chains are capitalizing on a growing middle class and improved infrastructure, offering a mix of cultural authenticity and modern amenities. This growth reflects the continued potential of Africa's hospitality sector.

According to the report, hotel chains have signed deals in 41 African countries. West Africa takes the lead, with pipeline development activity in 14 of the 18 countries in the region. The Southern and Indian Ocean sub-region closely follows, with 11 countries showing pipeline activity.

The top 10 countries by the number of rooms in the pipeline are Egypt, Nigeria, Morocco, Ethiopia, Cape Verde, Tunisia, Kenya, South Africa, Algeria, and Ghana. These countries represent 69% of the total hotels in the survey.

Egypt's unique regional charm and well-established tourism industry make it an attractive location for hotel development and operations. The country's numerous cities, resorts, and economic hubs, combined with its proximity to European and Middle Eastern markets, multiple airports, and robust airlift, further enhance its appeal.

Nigeria has climbed to second place in the rankings, driven by nine new hotel deals signed in 2023. International hotel chains such as Hilton and Radisson are increasingly investing in Nigeria's burgeoning hotel sector.

The report's findings highlight the significant growth in Africa's hotel development sector, with local chains capitalizing on a growing middle class and improved infrastructure. As the continent continues to evolve, it will be interesting to see how the hotel development landscape adapts to changing trends and challenges.

For more information on the report and its findings, visit the W Hospitality Group website.

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