Plive.co.ke Logo
Go

Finance Nairobi leads the pack for having the lowest hotel occupancy among African cities

  • Published:

The Kenyan capital's occupancy performance was the weakest of the 14 cities assessed

Nairobi hotels recorded their lowest occupancy in a rating of 14 African cities last year according to a report on Africa's Hospitality Market by industry researcher HTI Consulting.

The Kenyan capital's occupancy performance was the weakest of the 14 cities assessed with a decline of 11.1 per cent despite a rise in Kenya’s total bed space thanks to new establishments.

play There was high growth in new supply in Nairobi with an 8.7 per cent increase in rooms available despite the political uncertainties witnessed during last year's General election. (BI SSA)

The cities surveyed included Addis Ababa, Accra, Cape Town, Dakar, Dar es Salaam, Lagos, Lusaka, Monrovia, Gaborone and Windhoek.

Lagos and Accra led the pack on the back of a gradual economic recovery in their respective countries (Nigeria and Ghana) that saw them benefit from increased business demand.

Election jitters

There was high growth in new supply in Nairobi with an 8.7 per cent increase in rooms available despite the political uncertainties witnessed during last year's General election.

Supply grew by 478 rooms of which 334 were internationally branded (Four Points Sheraton, Park Inn),” notes the study.

play Four Points Sheraton, Nairobi (Courtesy)

 

According to the HTI study, Dar es Salaam followed Nairobi with a decline in occupancy of nine per cent.

Data from the Tourism Ministry indicates that the contribution of visitor arrivals from East Africa helped grow Kenya’s overall tourism arrivals to 1.47 million last year, up from 1.34 million in 2016.

New hotels are expected to open in Kenya over the next four years adding 2,400 rooms and expanding the hotel capacity by 13 percent, according to a report by consultancy firm PwC.

The firm estimates the number of available rooms to increase from 18,600 in 2016 to 21,000 in 2021, a 2.5pc compound annual increase.

Top 3

1 Finance Kenyan workers to have their salaries chopped by up to $50 after...bullet
2 Finance Zambia is reportedly in talks with China over acquiring its...bullet
3 Finance China is tightening its grip on Kenya's economy as loans to...bullet

Go to Pulselive.co.ke

X
Advertisement