South Africa's tourism sector is facing significant challenges in attracting visitors from its key Brics trade partners China and India. According to a report by multinational professional services firm BDO, the country lost out on R6.5bn in foreign spend last year. The report highlights that Chinese arrivals reached only 18,000 for the first seven months of 2026, a 67% decline from 2019 levels.
The introduction of the trusted tour operator scheme in February 2025 and the electronic travel authorisation system have not been enough to boost tourist numbers from China and India. The BDO report notes that Australia welcomed over 1-million Chinese visitors in 2025, underscoring South Africa's missed opportunity. The Indian market also presents alarming figures, down 49% against 2019 levels and declining a further 31% compared to the same period in 2025.
Limited direct flights and the Middle East geopolitical crisis have compounded the challenge, leaving South Africa increasingly disconnected from the world's fastest-growing source markets. The Operation Vulindlela progress report notes that the country has made significant progress in areas such as visa reform, with half of the reforms in this area met, and the rest on track to meet their objectives.
Some of the achievements in visa reform include the introduction of the trusted tour operator scheme, the trusted employer scheme, electronic travel authorisation, and the meetings, exhibitions, events, and tourism scheme. Since the introduction of the trusted tour operator scheme, 114 tour operators have been approved, enabling visa applications to be finalised in five days. The scheme has supported the issuance of visas for more than 77,000 tourists from China and India.
Morocco and Tunisia have increased their appeal to tourists, with South Africa losing ground. A decade ago, Morocco and South Africa were on par, both welcoming about 10-million visitors a year, while Tunisia was a distant third with 5.7-million. However, Morocco welcomed 17-million visitors last year versus South Africa's 10-million, while Tunisia welcomed 11-million visitors.
South Africa has set a target of attracting 15-million tourists by 2030 and creating 1-million direct jobs from the sector. However, BDO said achieving those targets would not be easy without decisive intervention in some of the bottlenecks in the system. Lee-Anne Bac, director in advisory services at BDO South Africa, said that while African arrivals have surged 17% above 2019 levels, overseas tourism remains a significant concern.
Bac noted that the tourism industry in South Africa has changed significantly since the country's heyday in 2018 and 2019. A return to the industry of old is unlikely, and players need to adapt their strategies accordingly. The market is more nuanced now, not necessarily defined by country but rather by lifestyle and life stage. Cape Town continues to be the mainstay of South Africa's tourism industry, while Johannesburg continues its downward spiral.
Key points
- South Africa lost out on R6.5bn in foreign spend last year.
- Morocco welcomed 17-million visitors last year, compared to South Africa's 10-million.
- South Africa's tourism industry needs decisive intervention to address bottlenecks and achieve its targets.