South Africa’s Hotel Sector Delivers Strong Growth in May 2025
South Africa’s hotel industry posted solid gains in May 2025, signalling continued recovery and rising demand across the country. According to the latest STR data, national occupancy rose to 59.5%, a 6.9% year-on-year increase. Average daily rate (ADR) climbed 8.5% to ZAR 1,747.04, driving a 16.0% increase in revenue per available room (RevPAR), which reached ZAR 1,039.81. Hotels also reported a 16.0% rise in total room revenue. Year-to-date performance showed further stability, with occupancy up by 1.7% and ADR by 9.8%.
Four-star hotels led in performance, with national RevPAR up 22.2%, propelled by strong demand from both leisure and business travellers. Regionally, Cape Town and Gauteng remained key drivers of hotel growth. Cape Town’s RevPAR increased 15.6%, while Gauteng reported a 16.0% rise, supported by solid business travel. Secondary regions such as the Free State and Limpopo also showed sharp RevPAR gains of 37.0% and 23.6%, respectively. These figures highlight growing momentum in South Africa’s tourism recovery, with both flagship and emerging destinations contributing to broader sector resilience.
Source: Tourism News Africa