Cape town: Tourism is highlighted as a crucial sector for job creation and poverty eradication in South Africa, according to Deputy Minister of Tourism Maggie Sotyu. Speaking at the department’s Budget Vote, Sotyu emphasized the government’s mandate to turn South Africa into a successful tourism nation, uniting citizens, visitors, and tourists in a shared sense of discovery and equality.
According to South African Government News Agency, Sotyu outlined the importance of sustainable small, medium, and micro enterprises (SMMEs) as key drivers of inclusive growth. She stressed that economic growth without transformation entrenches exclusion, while transformation without growth is unsustainable. The department, in collaboration with South African Tourism, is committed to creating conditions for sustainability in the tourism industry.
The Tourism Grading Support Programme (TGSP) is one initiative aimed at lowering barriers for SMMEs entering the hotel industry by subsidizing grading costs. In the 2024/25 financial year, the TGSP supported 2,970 establishments, promoting participation in the Tourism Grading Council of South Africa’s (TGCSA) grading system. This effort contributes to maintaining service standards, ensuring South Africa’s competitiveness in global tourism markets.
To further enhance the tourism sector’s impact on local economies, the department will continue to support the industry in achieving local development thresholds. Sotyu highlighted the need for a world-class grading system, announcing a Grading Criteria Review to be completed this financial year. This is particularly important for tourist establishments hosting international events, which play a significant role in sustainable economic growth and job creation.
The South African National Conventions Bureau (SANCB) will leverage the Meetings, Incentives, Conferences and Exhibitions (MICE) sub-sector to boost growth by consolidating national efforts in bidding for international meetings. These events are expected to enhance regional business event distribution and significantly increase local employment.
A major highlight is the upcoming G20 conference, which is anticipated to be a significant catalyst for job creation, underscoring tourism’s vital role in South Africa’s economic development.