Almost there: Tourism emerges from the shadow of Covid disaster

Pre-Covid-19, tourism arrivals had reached 1.54 million in 2019, having grown from 1.50 million in 2018.

The recovery has been steady, but remains below pre-Covid-19 levels. It, however, tells the story of a sector that has risen from near collapse.

Before Covid-19, tourism arrivals had been growing by an average of 2.5 percent per annum.

However, the growth post-Covid-19 has been higher, with arrivals growing by an average of 7.12 percent in the last five years since government reopened the tourism value chain in October 2020.  

The Tourism Trends and Statistics report 2025 by the Ministry of Tourism, released last Thursday, indicates that arrivals have been growing, with recovery levels reaching 89.2 percent of pre-Covid-19 levels.

The report indicates that during 2024, international arrivals rose to 1.37 million, up from 1.27 million in 2023. 

Thus, the arrivals earned Uganda Shs4.8 trillion ($1.28b), a 25.9 percent increase.

The growth was largely fuelled by longer average stays of 8.7 nights and increased daily spending of $125 (Shs457,466) per visitor.

Government projects international arrivals to grow to above pre-Covid-19 levels to 1.6 million next year.

Domestic tourism

Internally, domestic tourism rose by 5.2 percent, with nearly 2.8 million Ugandans exploring national parks and cultural sites such as Uganda Wildlife Education Centre and the Source of the Nile.

The growth reflects a rising appeal in local travel and experiences.

Uganda now boasts 83 star-rated hotels. Kampala leads the way, with a 68.3 percent occupancy rate, which demonstrates improved capacity for hospitality.

Average hotel room occupancy now stands at 53.2 percent, with Kampala recording the highest occupancy rate, driven by business and MICE tourism. 

In 2024, tourism directly contributed 3.2 percent to gross domestic product (Shs6.06 trillion), supported 803,000 jobs (7.2 percent of employment), and attracted 17.2 percent of total national investments.

2033 earnings target

The figures above directly feed into government’s plan under which it seeks to more than triple annual tourism earnings in the next 10 years under the Tourism Policy for Uganda.

The policy, which forms the bedrock of government’s legal instruments, strategies, and plans for developing the tourism sector, notes that in the 10 years to 2033, tourism receipts will grow to $3.9b (Shs14.5 trillion), by increasing tourism competitiveness and building a strong brand, promoting sustainable tourism, facilitating strong public-private-community partnerships, empowering Ugandans to participate in and benefit from tourism, and decentralising tourism, to improve capacity at the district level.

The policy notes that under the targeted earnings, the share of leisure tourism must increase from 15.7 percent to 30 percent, arrivals grow to 3.8 million, and an increase in inbound tourism expenditure per visitor.

The policy also seek to ensure that Uganda exceeds Africa’s average tourism growth in the leisure and meetings, incentives, conferences and exhibitions tourist sectors, as well improve the length of stay and expenditure, improve the diversity, quality, and sustainability of tourism services, strengthen tourism human resources, ensure convenient and affordable access to and within Uganda, provide a conducive tourism business and investment environment.

Shorter stays 

However, whereas government has so far achieved inbound tourism revenue per visitor of $1,052, and further targets to increase it to $1,500, leisure tourists, who are typically the highest spenders, spend shorter periods.

The Tourism Trends and Statistics report shows that majority of visitors (29 percent) come to Uganda mainly to visit friends and relatives, with leisure and MICE (meetings, incentives, conferences, and exhibitions) tourists trailing behind. Yet the two categories remain the anchor on which higher earnings can be achieved.

While releasing the report, Tourism permanent secretary Doreen Katusiime, said there was need to work on measures to attract more high-value tourists. 

“We must develop more world-class tourism products, improve our infrastructure, and aggressively market our attractions. This will increase the number of leisure and MICE visitors, extend their stay, and raise their spending,” she said, noting that this is the only way the tourism value chain will benefit in terms of increased spending on accommodation, food and beverages, transport, and shopping, among others.

However, infrastructure gaps remain a key challenge to the targeted growth.

Projections for 2025

This year, government expects tourist arrivals to grow to 1.6 million and focus, according to Ms Katusiime, will be on improving tourism infrastructure, increasing destination visibility, strengthening skills across the value chain, advancing conservation efforts, and safeguarding Uganda’s cultural heritage.

Several flagship events are also lined up, including the Pearl of Africa Tourism Expo next month, World Tourism Day, Wildlife Day, International Museums Day, and Martyrs Day, which will be key in driving the numbers. 

The Ministry of Tourism will target both traditional and emerging markets, including North America, Japan, China, the Gulf States, UK, Ireland, Germany, Austria, and Switzerland, in pursuit of the targeted earnings. 

2024 Uganda’s tourism trends

In 2024, Uganda’s main overseas tourist source markets were India, US, China, UK and Canada. India retained the top position as Uganda’s tourist source market, while China overtook UK for third place. 

However, Africa continues to dominate Uganda’s inbound tourism, accounting for 89.2 percent, while Asia contributes 4.7 percent, Europe 2.7 percent, and the Americas 2.1 percent. 

From within Africa, Kenya, Rwanda, South Sudan, Burundi, and Eritrea were Uganda’s highest tourist source markets.  

Uganda’s leisure tourists primarily come from US, UK, Kenya, Germany, and Rwanda, which indicates a healthy mix of long-haul and regional interest in leisure offerings. 

Uganda’s top five overseas source markets

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