By Business Insider Reporter
Africa’s tourism and hospitality industry is entering one of its most dynamic phases in years, with Tunisia, Egypt, Gambia and Tanzania emerging as the continent’s standout performers.
According to the latest assessment by Travel and Tourism Worldwide (TTW), these countries are powering a surge in hotel investments, driven by new construction, aggressive upgrades of existing resorts, and the rapid expansion of premium and luxury services tailored for an increasingly discerning global traveller.
From North Africa’s Mediterranean heritage destinations to East and West Africa’s wildlife, culture and coastal offerings, the continent is experiencing a reinvention of its tourism identity.
Tunisia and Egypt continue to leverage their rich history and coastal allure to attract millions of international holidaymakers. Gambia and Tanzania, on the other hand, are tapping into their natural beauty, world-class wildlife, and eco-tourism credentials to raise their profile as must-visit destinations for adventure and safari travellers.
TTW notes that the rise of modern infrastructure, high-quality accommodation and diversified visitor experiences is translating into stronger occupancy rates and longer average stays.
“Africa’s hospitality resurgence is being shaped by a combination of rising demand and bold investment,” a senior TTW analyst observed in the report. “In countries such as Tanzania, we are seeing the highest levels of tourism-driven capital inflows in more than a decade, signalling confidence in the sector’s long-term potential.”
Tanzania, in particular, embodies the continent’s upward trajectory. After the pandemic disrupted global mobility, the country’s tourism sector began an extraordinary rebound.
Bank of Tanzania (BoT) data shows that international arrivals rose to 1.8 million in 2023, a sharp increase from 1.45 million the year before. Earnings climbed even faster, reaching US$3.37 billion in 2023, compared to just US$1.31 billion two years earlier.
The momentum did not slow in 2024, with arrivals reportedly exceeding 2.1 million and revenue approaching nearly US$4 billion – the highest in Tanzania’s history.
In its September 2025 Monthly Economic Review (MER), BoT reports that travel receipts rose to US$ 3,845.4 million in the year ending August 2025, underscoring the sustained momentum of the country’s tourism sector. This growth aligns with the increase in international tourist arrivals, which climbed from 2,051,404 to 2,287,377 over the same period.
The trend strengthened further in the October MER, where BoT highlights that travel receipts continued to surge, supported by a notable rise in visitor numbers.
“The rise in travel receipts reflects the continued strong performance of the tourism sector, with tourist arrivals increasing by 11.9 percent to 2,315,637,” the report notes for the year ending September 2025.
This resurgence has had profound economic implications. Tourism is once again among Tanzania’s largest foreign-exchange earners, in some periods surpassing even gold. The sector’s contribution to GDP has strengthened, with independent analyses forecasting it could reach over 17 percent of GDP by 2024/25.
The industry is also a major source of employment. Directly and indirectly, tourism supports well over a million jobs, from hotel staff and safari guides to transport operators, artisans and small businesses that thrive around national parks and beach destinations.
The central bank captured the scale of this recovery in its monthly reviews of the national economy, noting that the surge in travel receipts reflects not only more visitors but a shift toward higher-spending tourists and longer stays.
“The rebound in tourism has been remarkable,” the central bank wrote in its analysis, highlighting “the steady rise in arrivals and earnings as a signal of sectoral resilience and renewed global confidence in Tanzania as a destination.”
What distinguishes Tanzania in the TTW ranking is not just the scale of its rebound but the depth of ongoing investment. New flagship hotels in Dar es Salaam, Zanzibar, Arusha and Serengeti are reshaping the hospitality landscape.
Upgraded airports, national-park facilities, and digital-service platforms have made travel easier. At the same time, Tanzania’s blend of safari and beach tourism continues to offer an unmatched value proposition: from the Serengeti’s Great Migration and Ngorongoro’s crater ecology to Zanzibar’s white-sand beaches and cultural heritage.
Together, Tunisia, Egypt, Gambia, and Tanzania illustrate what an increasingly competitive African tourism landscape looks like – one defined by innovation, investment, and rising global demand. But Tanzania’s trajectory stands out for its scale, consistency and economic impact. As TTW concludes, Africa’s tourism boom is real – and Tanzania is firmly at its heart, showing the continent’s capacity to become one of the world’s most compelling and competitive travel destinations.
From recovery to record-highs: Tanzania’s tourism by the numbers
- In 2023, international tourist arrivals skyrocketed to 1,808,205, up 24.3% from 1,454,920 in 2022.
- Tourism receipts reached a record US$ 3,368.7 million in 2023 — up from US$ 2,527.8 million in 2022, and just US$ 1,310.3 million in 2021.
- The rebound has been dramatic: after the COVID-19 slump (2020 revenues dropped to roughly US$ 1 billion, with arrivals at ~616,491), the sector rebounded strongly by 2021 and 2022.
- The momentum carried into 2024: international arrivals reportedly rose to 2,141,895, and tourism earnings surged to US$ 3.9 billion.
Economic impact — More than just hotel stays
Tourism has began to compete with gold as the country’s top foreign-exchange earner, underlining its critical role in strengthening external balances.
- It is a major driver of growth in service export earnings, helping service receipts surpass the US$ 5 billion-mark for the first time in history.
- In many analyses, tourism’s contribution to GDP is now being forecast to reach double-digit percentages. One consultancy report estimated tourism could account for as much as 17.2% of GDP by 2024/25, while supporting over 1.5 million jobs – directly and indirectly.
