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Pre-World Cup tourism soars

Johannesburg - South Africa saw a 34% increase in inbound tourism spending during the first quarter of 2010, and anticipates additional growth opportunities around the 2010 FIFA World Cup.

Top contributors to South Africa's inbound tourism spending in 2009 included the United Kingdom (26%), United States (15%), Mozambique (5%), and Germany and France (4% each), according to Tourism Outlook: South Africa, an annual report released on Tuesday by Visa. The figures related only to spending by Visa cardholders.

While travellers from Western Europe and the US continued to be the strongest contributors to South African tourism, significant increases in spending by cardholders from emerging markets were indicative of South Africa's growing stature as a tourism destination.

There was double- and triple-digit growth in spending by cardholders originating from Malawi (168%), Mozambique (118%), Angola (115%), China (28%) and Botswana (18%).

"This significant growth can also be attributed to developments in payments infrastructure and increased adoption and use of digital currency by consumers in developing markets," Visa said.

The data indicated South Africa weathered the economic headwinds which affected international tourism during 2009 better than most countries around the world.

While many countries saw double-digit drops in inbound tourism spending, Visa cardholder spending by international visitors to South Africa decreased only 2.7% from $1.84bn in 2008 to $1.79bn in 2009, according to the report.

The month-long World Cup is expected to add R93bn to the South African economy. This translates to a 0.54% boost to gross domestic product (GDP), a significant contribution given that the country's total GDP growth in 2010 was estimated at 2% to 2.5%.

  - Sapa
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