Africa’s hotel pipeline hits record high with 13.3% growth, outpacing global trends – HDPR

AFRICA – The 2025 Hotel Development Pipeline Report reveals record-breaking activity across Africa, with 577 hotels and resorts, comprising 104,444 rooms, currently in the development pipeline, representing a 13.3% year-on-year increase.

Africa’s hotel development pipeline has expanded at a pace exceeding global averages, with particularly strong growth in North Africa.

According to a report compiled by Lagos-based W Hospitality Group from data provided by 50 international and regional hotel chains, development across the continent surged by 8% in 2025.

This outpaces the single-digit increases reported by major global chains and underscores growing investor confidence in Africa’s tourism and hospitality sectors.

North Africa emerged as a key growth driver with a 23% increase in the number of planned hotels and rooms compared to 2024. In contrast, sub-Saharan Africa recorded a more modest 6% rise.

Over the past five years, the hotel development pipeline has grown at an annualised rate of 12% in North Africa, 4% in sub-Saharan Africa, and 7% across the continent.

Egypt leads the continent with 143 hotels and 33,926 rooms in the pipeline, nearly four times that of Morocco, which holds second place with 8,579 rooms in 58 properties.

The top 10 countries by number of hotels in the pipeline, Source: HDPR 2025

Other notable countries include Nigeria, Ethiopia, Cape Verde, Kenya, Tunisia, South Africa, Tanzania, and Ghana. Hotel deals are currently signed in 42 of Africa’s 54 countries.

Despite its dominance, Egypt has less than half of its rooms under construction, in contrast to Morocco’s 72%. Ethiopia, Morocco, and Ghana rank highest for on-site construction activity, while Nigeria, Cape Verde, and Tanzania lag behind.

Cairo alone accounts for over 17,700 new rooms in more than 70 planned hotels, making it the continent’s most active city, followed by Sharm El Sheikh and Lagos.

Among international chains, Marriott leads with 165 hotels (29,639 rooms), followed by Hilton, Accor, and IHG.

Hilton added more rooms than Marriott in 2024, while Barceló Hotels & Resorts recorded the highest percentage growth by more than doubling its pipeline.

Three trends are shaping the sector: the actualisation rate of hotel openings has nearly doubled year-on-year; resort projects are growing faster than city or airport hotels; and franchise agreements are on the rise, now accounting for 19% of all deals.

These findings will be discussed at FHS Africa in Cape Town from 17–19 June.

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