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Global chains dominate the development pipeline, with Marriott International leading with 31,782 rooms under construction, followed by Hilton and Accor
NEWS ANALYSIS | THE INDEPENDENT | East Africa is emerging as the engine of Africa’s hotel development, with Kenya, Ethiopia, and Tanzania showing some of the highest construction ratios on the continent, according to the 2026 W Hospitality Group Hotel Chain Development Pipelines report.
The region’s momentum contrasts with North Africa, which dominates in overall pipeline volume. Kenya has 6,190 rooms planned across 35 properties, with nearly 80% under construction. Ethiopia follows closely with 5,964 rooms and a 79.9% construction ratio, while Tanzania’s 4,159 rooms are 77.5% in progress. The high rate of active projects positions East Africa to deliver a significant wave of new supply in the short to medium term. Uganda, Rwanda, and Burundi do not feature in the report, signalling possible low hotel developments in the pipeline.
Trevor Ward, Managing Director of W Hospitality Group, said, “What stands out this year is the strength of East Africa in terms of projects moving forward. Kenya, Ethiopia, and Tanzania are showing some of the highest construction ratios on the continent, which suggests this is where new supply is likely to come online first.”
The surge in hotel construction is expected to provide a major boost to East African economies. Construction activity generates thousands of jobs, drives demand for local materials, and stimulates investment in related sectors such as transport, food and beverage, and tourism services. Once operational, these hotels are likely to expand tourism revenue, increase foreign exchange inflows, and enhance the region’s global business profile.
Analysts note that the concentration of projects in East Africa also supports the development of urban centres and secondary cities, diversifying economic opportunities beyond capital cities. For example, new resorts in Kenya and Tanzania are expected to benefit coastal communities and emerging tourist hubs, while hotels in Ethiopia’s Addis Ababa and regional centres will help attract conferences and business travel.
Beyond East Africa
Overall, Africa’s hotel pipeline reached a record 123,846 rooms across 675 properties in 2026, representing 18.6% year-on-year growth. North Africa leads in total volume, with Egypt accounting for 45,984 rooms across 185 properties, more than four times Morocco’s 10,606 rooms. Together, Egypt and Morocco account for over 45% of total pipeline rooms, reinforced by strong deal activity. Egypt alone recorded 39 new signings in 2025 and anticipates 33 hotel openings in 2026.
Global chains dominate the development pipeline, with Marriott International leading with 31,782 rooms under construction, followed by Hilton and Accor. The Big Five—including IHG and Radisson Hotel Group—account for roughly 80% of all pipeline hotels and rooms across Africa.
Openings may lag expectations
Despite ambitious forecasts, historical delivery rates suggest actual openings may lag expectations. W Hospitality Group projects 31,768 rooms will open in 2026, with another 33,381 in 2027. Cumulative planned openings through 2029 reach 123,846 rooms, though 124 projects still have unconfirmed timelines.
The report findings will be discussed further at the Future Hospitality Summit Africa in Nairobi, Kenya, from March 31 to April 1, where industry leaders will examine trends in signings, construction progress, and projected openings.
