Africa’s tourism and property markets are increasingly capturing global attention — from hotel chains to resort developers, lifestyle investors and national development funds. While the continent’s overall investment landscape is diverse, a handful of countries consistently attract the strongest foreign interest, both in capital and ongoing projects.
Here’s a breakdown of the top five African countries where tourism-linked foreign investment is concentrated — and why they matter for prospective international investors.
1. Morocco — North Africa’s Tourism Powerhouse
Morocco continues to lead in attracting foreign investors into tourism and related real estate, thanks to its strategic geography, improving infrastructure and strong government incentives. In 2025 alone, Morocco welcomed a record 19.8 million tourists, propelling investment into hotel renovations, international hospitality brands, transport links and coastal developments.
Foreign players from Europe, the Gulf and beyond are actively investing in luxury hotels, resorts and mixed-use developments — supported by reforms that have simplified foreign capital flows into tourism, real estate and hospitality.
Why it attracts investors:
Large, established tourism market with consistent growth
Government incentives for foreign direct investment
Close air links to Europe and emerging global markets
2. South Africa — Established Market with Diverse Opportunities
South Africa remains one of the most developed economies on the continent and continues to attract substantial foreign investment in tourism, hospitality and property sectors. It is a long-time favourite among global investors thanks to its transparent business environment, sophisticated infrastructure and well-established real estate markets in cities such as Cape Town and Johannesburg.
Foreign players are active in hotel projects, branded residences, boutique lodges and urban mixed-use properties — all connected to South Africa’s strong tourism numbers and international business travel.
Why it attracts investors:
- Mature legal and financial systems
- Diverse investment opportunities (urban, safari lodge, beachfront)
- Strong international connectivity
3. Egypt — Rapid Growth in Tourism & Coastal Development
Egypt historically ranks among the continent’s top recipients of foreign direct investment across sectors including tourism and real estate. Cairo, the Red Sea coast and the Mediterranean shoreline are all receiving renewed interest from global investors looking to capture both city tourism and resort-style living near historic and leisure destinations. (UN Trade and Development
Significant recent deals include major Gulf-linked investments into luxury beachfront developments intended to boost year-round tourism appeal.
Why it attracts investors:
- Large and diverse tourism sectors (cultural, beach, desert experiences)
- Strategic new developments backed by international capital
- Potential for conversion of tourism into residential demand.
4. Kenya — East Africa’s Dynamic Hub
Although not always leading the absolute numbers in overall foreign direct investment, Kenya — and particularly Nairobi and the coastal regions — consistently attracts foreign investors both in tourism infrastructure and real estate development.
Investment interest here includes luxury lodges, boutique hotel projects and mixed-use coastal estates aimed at both tourism income and lifestyle buyers. Nairobi’s urban property market also draws foreign capital tied to expatriate demand and multinational corporate presence.
Why it attracts investors:
- Growing demand for safari-linked tourism products
- Established infrastructure in key urban and coastal areas
- Government support for foreign business ventures
5. Mauritius — Luxury, Stability & Investment Incentives
Mauritius may not be the largest economy, but it punches well above its weight when it comes to attracting quality foreign investment — particularly in high-end tourism estates, resorts and lifestyle combined projects. Its stable policy environment and attractive residency incentives have made it a global magnet for luxury property buyers and tourism-linked investors alike.
Real estate developments often blend tourism, long-stay living and offshore investment appeal, making Mauritius distinct among Africa’s tourism markets.
Why it attracts investors:
- Strong governance and investor protections
- Developed high-end tourism real estate
- Lifestyle appeal for long-stay foreigners
A Broader Picture
While these five countries consistently draw significant foreign capital, the broader African landscape shows rapidly shifting patterns. North Africa leads in overall foreign direct investment growth, with Tunisia and Morocco growing rapidly, and other markets such as Rwanda gaining traction thanks to focused tourism branding and infrastructure investments.
Foreign direct investment into Africa’s tourism and related real estate sectors continues to grow as global travel demand increases, infrastructure improves and governments adopt more investor-friendly policies.
What This Means for You (the Foreign Investor)
If you are considering Africa’s tourism real estate and property markets:
- Look for destinations with established demand (Morocco, South Africa, Egypt)
- Pay attention to government incentives and ease of business
- Consider lifestyle demand alongside tourism traffic
- Study infrastructure trends and connectivity
Foreign investment trends highlight that tourism and property opportunities are not random — they follow patterns of demand, infrastructure readiness and policy stability. As these markets evolve, savvy investors gain advantage not by following the loudest markets, but by understanding where influence meets clarity.
