On Tuesday, Minister of Tourism Patricia de Lille presented the Department of Tourism’s Budget Vote for the 2024/25 financial year on 16 July 2024. The speech, delivered before the House Chairperson, various ministers and deputy ministers, Tourism Portfolio Committee Chairperson Ms. Lungi Annette Mnganga-Gcabashe, PC members, and other dignitaries, outlined the department’s strategic plans and budget allocations aimed at boosting South Africa’s tourism sector.
Minister de Lille began by expressing her gratitude for the continued hard work of the tourism sector and acknowledged the vital role played by public sector entities, private partners, and communities in driving tourism growth. She emphasized the importance of tourism as a key driver of economic growth and job creation as identified in the National Development Plan (NDP) and the Tourism Sector Master Plan.
Key Initiatives and Plans
Tourism Sector Master Plan
The Minister highlighted the recently approved Tourism Sector Master Plan, which aims to guide the collaborative efforts of government and social partners in enhancing tourism’s economic activity and job creation. The plan focuses on protecting and rejuvenating supply, re-igniting tourism demand, and strengthening enabling capabilities to ensure the sector’s full recovery and growth.
Global and Domestic Tourism Performance
Minister de Lille provided an overview of the global tourism performance, noting a 33.4% increase in tourist arrivals globally in 2023 compared to 2022. For South Africa, 2023 saw a remarkable 48.9% increase in tourist arrivals, with 8.5 million tourists visiting the country, contributing significantly to the economy. The domestic tourism sector also showed robust growth, with revenue reaching R123.8 billion, marking a 19.2% increase compared to the previous financial year.
Budget Allocation
For the 2024/25 financial year, the Department of Tourism has been allocated a budget of R2.3 billion. Key allocations include:
- 2 billion to SA Tourism for marketing South Africa as a tourist destination.
- R266 million for the Expanded Public Works Programme (EPWP).
- R172 million for various Tourism Incentive Programmes (TIP).
The budget aims to support vulnerable groups, including unemployed youth and SMEs in rural areas, through targeted programmes like the Working for Tourism Programme and TIP.
Major Projects and Programmes
Tourism Infrastructure Projects
The Minister announced the implementation of 22 Community Based Tourism Projects, including Matsila Lodge and Tisane Lodge in Limpopo, Mthonsi Lodge in the Eastern Cape, and the Mdlui Gate Project in Mpumalanga. Additionally, R81 million has been allocated for maintenance projects in national and provincial parks to preserve wildlife and safari tourism.
Sector Transformation and SMME Development
The TIP, with an allocation of R172.1 million, will support various initiatives such as the Market Access Support Programme, Green Tourism Incentive Programme, and the Tourism Transformation Fund. These programmes aim to stimulate growth, development, and transformation within the tourism sector, with a focus on empowering women, youth, and people with disabilities.
Youth Skills Development
The Department plans to train 450 unemployed youth in various skills development programmes and 2,300 Tourism Monitors through EPWP funding. The focus will be on building essential and demand-led skills required in the tourism sector.
Tourism Safety and Air Access
The Department has prioritized tourism safety, investing R174.5 million in deploying 2,300 Tourism Monitors to key attractions. The National Air Access Strategy, developed to attract more air services, aims to enhance ease of access for international tourists. The Minister also noted progress in visa waivers and the importance of removing travel barriers.
Marketing Campaigns and International Outreach
Minister de Lille highlighted the success of domestic marketing campaigns, including the “It’s Your Country, Enjoy It” campaign, which created 914 jobs and supported 85 businesses. Internationally, South Africa’s tourism presence will be showcased at major events like the Holiday World Show in Dublin and ITB Berlin 2025.
In her closing remarks, Minister de Lille reiterated the importance of partnerships with social partners, communities, and the private sector in achieving the department’s goals. She expressed confidence that the initiatives outlined in the budget would drive economic growth, job creation, and transformation in South Africa’s tourism sector.
