Tourism sector gains momentum as Namibia’s economy grows 4.8%

By: Anton Wokie Mbinge

Namibia’s tourism and hospitality sector continued to gain momentum in the second quarter of 2026, as the country’s economy recorded real Gross Domestic Product (GDP) growth of 4.8% year-on-year.

According to the Namibia Statistics Agency (NSA), the economic growth recorded in Q2 2026 was a significant improvement from the 1.7% recorded during the same period in 2025.

In nominal terms, the economy grew from N$65.3 billion in the second quarter of 2025 to N$70.6 billion in the second quarter of 2026.

The latest figures show renewed momentum in the economy, with tourism and hospitality forming part of a broader services sector that recorded strong growth during the quarter.

The NSA reported that tertiary industries grew by 6.1% in real value added in Q2 2026, compared with 3.8% during the corresponding period in 2025.

Within the services sector, hotels and restaurants recorded 5.5% growth, slightly higher than the 5.3% recorded in Q2 2025.

Other service sectors also performed strongly, including wholesale and retail trade, which grew by 9.0%; information and communication, at 8.2%; financial services, at 5.5%; and real estate and professional services, at 5.2%.

The continued growth in hotels and restaurants comes alongside improving accommodation occupancy across the country.

According to Hospitality Association of Namibia data for Q2 2026, national accommodation occupancy increased to 57.14%, compared with 52.47% in Q2 2025, an improvement of 4.67 percentage points.

The northern region, home to some of Namibia’s major tourism destinations, recorded occupancy of 61.03%, up from 53.54% a year earlier.

June was particularly strong, with national room occupancy reaching 58.54%, compared with 47.8% in June 2025.

The figures point to increased demand for accommodation and continued activity in Namibia’s tourism market.

Tourism’s wider economic contribution

The contribution of tourism extends beyond hotels and restaurants, with visitors also spending on transport, fuel, food, activities, guiding, retail, national parks, arts and crafts, and other services.

This creates economic linkages across several sectors and allows tourism activity to support businesses beyond the traditional hospitality industry.

The wider economic environment also showed growth in sectors linked to domestic production and consumption.

Agriculture and forestry recorded 17.8% growth in Q2 2026, while manufacturing increased by 3.9%, reversing a 7.9% contraction recorded in Q2 2025.

The latest figures therefore point to a strengthening services economy, with tourism and hospitality continuing to contribute to Namibia’s broader economic expansion.