- Tourism in Kenya is the third-biggest foreign exchange earner after remittances and agricultural exports.
- The tourism sector’s performance has been impressive, with earnings reaching $ 2.7 billion in 2023, a 32 per cent growth from $1.8 billion recorded in 2022.
- In 2024, the sector is projected to recover to pre-pandemic levels per the strategy for tourism in Kenya 2021-2025.
Tourism in Kenya
Tourism is Kenya’s third-highest foreign exchange earner after remittances and agricultural exports.
According to the Tourism Research Institute, the industry accounts for about 10 per cent of Kenya’s gross domestic product and about 5 per cent of its formal employment.
Kenya has been a significant tourist destination in East Africa, attracting visitors worldwide to its wildlife parks, sandy beaches at the coast, diverse flora and fauna, cultural heritage, and scenic landscapes, to name a few.
However, the outbreak of COVID-19 sent shockwaves to the tourism sector, bringing it to a halt globally and scarring the Kenyan tourism sector greatly.
Gross domestic product from the tourism sector dropped from 8.8 per cent of total GDP in 2018 to 8 per cent in 2019 and continued to plummet throughout 2020.
However, In 2021, the tourism industry bounced back, contributing about 5.4 billion dollars to Kenya’s Gross Domestic Product. The amount increased by nearly 35 per cent compared to 2020.
In 2022, Kenya’s tourism performance continued on a recovery path. International tourist arrivals were 1,483,752, representing a 70.45 per cent increase compared to 2021 arrivals of 870,465. Inbound receipts in the year grew to $1.8 billion compared to $1.1 billion in 2021, a growth of 83 per cent.
Read also: Tanzania upbeat to become Africa’s top tourism destination
Impressive Recovery in the Tourism Sector
The tourism sector’s performance has bounced back strongly, with earnings reaching $ 2.7 billion last year, a 32 per cent growth from $1.8 billion recorded in 2022.
Last year’s performance also marked a significant milestone, with the earnings surpassing the pre-COVID pandemic numbers of $2.2 billion recorded in 2019, which has until now been the industry’s best year.
Visitors to the East African nation accelerated by 32 per cent to 1.95 million in 2023.
The leading tourist markets in the country were the United States, Uganda, Tanzania, the United Kingdom, and India.
Tourists visited Kenya in 2023 for different reasons, including holidays, which accounted for 45 per cent, visiting family and relatives at 24 per cent, and meetings and conferences at 24 per cent.
Although more people visited in 2023 compared to the previous year, they spent less on average, pegged to the shilling depreciation against the dollar.
However, there is light for the industry as commendable growth has continued to pave the way for a prosperous industry in the future.
Projects and prospects set to accelerate tourism in 2024
In 2024, the sector is projected to recover to pre-pandemic levels per the strategy for tourism in Kenya 2021-2025.
The strategy places Kenya as an all-around tourism destination, offering diverse and unique experiences. Additionally, it rebranded the image of tourism in Kenya and repositioned it as an upmarket.
The strategy aids in developing, enabling, and unlocking alternative funding sources to harness digital innovations and new technologies to improve the sector.
The removal of visitor visa requirements, the rise of wellness and experiential travel, and the digital transformation of tourism processes will be among the key factors driving travel trends in 2024.
The renowned warmth and hospitality of the Kenyan people to business travellers will offer experiences they are sure to return to.
Moreover, Kenya has taken significant strides in Environmental sustainability, with numerous eco-friendly resorts and conservation-focused tour operators. The country’s commitment to sustainability aligns with modern tourism trends and is expected to be a significant tourism driver in 2024.
Meetings, incentives, conferences, and exhibitions tourism (MICE tourism) ranked third in terms of the purpose of entry in 2023, accounting for 24.8 per cent of international arrivals from January to October 2023.
The Kenya Tourism Board (KTB) hopes to collaborate with convention centres, private hotels, and other players to pitch for major MICE businesses.
In 2024, KTB hopes to engage with travel trade partners, including airlines, tour guides, and hotel owners, to deliver an authentic Kenyan experience during such conferences.
The country hopes to build on resurgent travel from established markets such as the United States and Europe. Additionally, there is considerable growth from African markets, with Uganda, Tanzania, Rwanda, and South Sudan forming a remarkable percentage of Kenya’s top visitor-contributing countries.
The Ministry of Tourism and the government of Kenya hope to welcome 2.4 million tourists this year and grow earnings in the industry to $1.8 billion.
