Luxury Tourism in Africa: New Study Questions Economic and Environmental Benefits

Edited By: Fatomatou konè

African governments have long pursued luxury tourism as a pathway to economic growth, guided by advice from international institutions such as the World Bank. The model promised “high-value, low-impact” development by attracting wealthy visitors whose daily spending would support environmental protection and local communities. On paper, it presented an image of sustainability while branding countries as responsible “green states”. Yet recent research published in African Studies Review suggests the reality is more complex, as luxury tourism often generates fewer broad-based benefits than anticipated.

Findings show that exclusive resorts and conservation areas frequently operate as enclaves, separated from the daily lives of surrounding communities and with minimal spillover effects on local economies. Jobs created are often limited and low-paid, while profits flow abroad through foreign ownership and reliance on international supply chains. These patterns, known as “leakages,” weaken the expected economic gains, and in some countries, such as Mauritius, they have also fuelled perceptions of exclusion, with residents feeling detached from natural resources like beaches increasingly reserved for visitors. The environmental costs are another concern, with luxury tourists often travelling by private jets, adding disproportionately to carbon emissions despite the sector’s sustainability branding.

The study also reveals that political systems shape how countries respond when the model underperforms. Democratic governments such as those in Mauritius and Botswana have shown greater flexibility, adjusting strategies in response to public discontent over unemployment and inequality. By contrast, more centralised governments like Rwanda have maintained a long-term commitment to high-end tourism, even amid economic shocks and persistent inequality, on the belief that benefits will emerge over time. According to researcher Dr Behuria, the findings challenge conventional assumptions about development, suggesting that political accountability in democracies can sometimes produce more adaptive policies than the rigid approaches favoured by authoritarian regimes.