South Africa’s tourism and leisure industry has boomed since 1994, and enjoyed a steady growth curve until the start of the covid-19 crisis in 2020. The country’s human diversity, bustling cities, wildlife, natural scenery and quality infrastructure have been major attraction points for tourists from all over the world. Between 2000 and 2018, international tourist arrivals in the country grew from 6 million to 16 million, generating revenue of around 145 billion rand (US $ 9 billion) and accounting for around 709,000 jobs by 2018. However, only a fraction of that revenue has directly benefited the poorest and most excluded South Africans.

While the covid-pandemic and wars in Ukraine and the Middle East have been serious blows, the medium and long-term prospects of South Africa’s tourism industry remain positive. Since mid-2022, the recovery has been steady and strong, and international air links to South Africa have been restored and expanded.

In a number of South African townships, entrepreneurial individuals have been seeking to get a share of the tourism revenue by opening travel agencies, restaurants and bed & breakfasts, or by offering guided tours and diverse packages to visitors from all over the world.

One example of these new businesses is Khayelitsha Travel & Tours (KTT). Its founder, Loyiso Msuku, started his company in 2015, when the tourism sector was riding what seemed to be a one-way growth trajectory. But during covid-19, Loyiso’s business essentially went into hibernation, and has been in recovery mode ever since. Loyiso already worked with a first Brown IE team in 2022-2023, which provided his business with useful input on managing the post-pandemic recovery. Loyiso has expanded KTT’s horizons and is now offering new products and services beyond Khayelitsha, including safari tours, guided tours along the garden route, and even cruises.

Loyiso is now actively working on consolidating his recovery and increasing his company’s visibility in tourism hotspots in Cape Town and beyond.