Uganda may welcome the tourists, but it doesn’t take enough of their wallets. The average visitor arrives ready to spend – but because the tourism value chain is thin, underdeveloped, and dominated by foreign intermediaries, over a half of their travel budget remains unspent and goes back home with them.
The findings, drawn from an exit survey of visitors and documented in a World Bank study on tourist expenditure and motivation, indicate that tourists leave Uganda with 60 percent of their money unspent due to a perceived lack of attractions beyond the game parks, showing a persistent gap in Uganda’s tourism offering. It suggests an urgent need to develop, diversify and aggressively promote attractions beyond wildlife and natural landscapes if the country is to increase tourist spending and fully tap into its potential as a competitive destination.
The recent annual Tourism Development Program Performance Report, revealed that the sector earned Shs4.8 trillion ($1.28 billion) last year, representing a 26 percent surge from 2023. This income exceeded the pre-pandemic peak of 2019 by 4.9 percent, signaling a new growth path for the sector.
According to the report, this performance was mainly driven by tourists staying longer in the country and spending more money per trip, along with increased tourist numbers.
The findings reveal that international tourist arrivals rose by 7.7 percent, reaching 1.37 million, while tourism earnings grew by 26 percent to $1.28 billion. Uganda witnessed longer stays, higher per capita expenditure, and a notable shift toward leisure and premium tourism experiences.
‘The average length of stay increased to 8.7 nights in 2024, up from 7.6 nights in 2023 and 7.4 in 2022. Visitors spent an average of $125 per night compared to $110 the previous year,’ reads part of the report.
However, compared to our neighbours in Kenya, tourists generally spend more in Kenya than in Uganda on a daily average about $250 per day. The World Bank notes that $1 of expenditure by a foreign tourist generates, on average, $2.5 of GDP (Gross Domestic Product).
This shows how important it is to focus on giving tourists better experiences that make them spend more and stay longer.
Juliana Kagwa, the chief executive officer of Uganda Tourism Board, confirmed this assertion and explained that despite visitors arriving in Uganda with thousands of dollars in spending money, most of it goes back with them because the country still lacks enough products and experiences for tourists to spend on.
‘Some of the people who came for the Rwenzori Marathon told us they came with about $3,000 in spending money,’ she said.
‘But after eating our food, there was nothing else to spend on. They still went back with their balance.’
She emphasized that Uganda receives high-value tourists who are willing to spend, but the tourism ecosystem is not yet designed to absorb that money. The gaps are in experiences, amenities, cultural products, and creative add-ons that would keep tourists engaged – and spending – longer.
‘We need to find ways to absorb that money,’ she noted, adding that better product development, improved amenities around sites, cultural experiences, and digital transformation are essential if Uganda wants to benefit fully from its visitors.
She added that Ugandans could tap into the huge number – the 4-5 million inbound tourists that Kenya receives.
‘When people travel to Kenya, they already have the option of coming to Uganda because we share the East African visa. So how do we make sure that when someone lands in Kenya, they also consider visiting Uganda?’
It would be a big plus for us. You simply ask them, ‘Have you completed your tour?’ If yes, then while they are already aiming for a safari, they should also be encouraged to include Uganda in their itinerary, Kagwa said.
Matilda Iremera, the chief executive officer of the Association of Uganda Tour Operators (AUTO), attributes this largely to the limited range of activities beyond wildlife safaris and gorilla trekking.
‘If we can diversify the products, tourists will have more reasons to stay longer and spend more,’ Iremera said.
‘We should include cultural experiences. For example, the Batuwa people, the kingdoms with rich histories, Karamoja culture – these are experiences that can be added to itineraries to make tourists stay longer and spend more.’
She emphasized that tourism infrastructure also plays a role in limiting spending.
‘Our roads in tourist areas, especially near protected areas and national parks, are not the best when compared to our neighbours,’ Iremera said.
Internet connectivity is another gap. Tourists want to share their experiences and stay connected, but often, they are completely offline in key destinations like Bwindi. This discourages longer stays and reduces expenditure.’
Limited access to reliable information is another challenge. Many tourists come solo and are not attached to professional operators, relying only on what they find online. ‘If a tourist uses a professional operator, they get a proper itinerary that extends their stay and enhances their experience – and they spend more,’ Iremera explained.
Earlier this year, the Uganda Tourism Board unveiled a strategic plan boosting the country’s global tourism and increased tourism revenue to $5 billion by the 2028/29 financial year.
Tom Butime, the minister of Tourism, Wildlife and Antiquities, highlighted that the country’s vibrant nightlife, which he noted even foreign counterparts praise highly.
He reaffirmed the government’s commitment to supporting the sector through infrastructure, connectivity, marketing, and capacity building, adding that partnerships with Uganda Airlines, Uganda Wildlife Authority, Uganda Tourism Board, and the private sector are crucial in keeping Uganda safe, attractive, and competitive.
The Minister encouraged the sector to think bigger, market smarter, and innovate boldly, arguing that the global traveler seeks identity, authenticity, and connection. Uganda, he said, offers all of these – from gorillas to the source of the Nile, cultural rhythms, and the warmth of its people, and called on the private sector to continue working closely with the government to expand Uganda’s footprint in global tourism markets.
Speaking during the Pearl of Africa (POATE) launch, Sandrah Namutebi, the managing director of Uganda Airlines, urged sector players to go beyond the airline’s role as an enabler and instead ‘wow visitors with what Uganda has to offer.’
While Uganda has magnificent attractions, the world has not yet been fully impressed. She challenged stakeholders to showcase the country’s uniqueness.
Key statistics
The Performance report further highlights that on average, each tourist spent about $933 per visitor, up 16 percent from US$804 in 2023.
Leisure travelers remained the highest spenders, with an impressive US$2,114 per trip, which is 43 percent more than the previous year. The report also notes strong contributions from business tourists, professionals, and visitors coming to see friends and relatives, all of whom stayed longer and spent more during their visits.
Tourism stands out as one of Uganda’s major foreign exchange contributors, generating 16 percent of total export earnings. Accommodation, food, and beverage services remain the backbone of tourism revenue, together accounting for 54 percent of sector earnings.
Uganda recorded robust tourism growth in 2024, with international arrivals climbing by 7.7 percent to reach 1.37 million visitors. This expansion was largely fuelled by arrivals from within Africa, which made up 89.2 percent of all visitors.
Strong numbers came from East African Community (EAC) countries, while the United States, India, and China continued to lead among long-haul source markets.
New momentum was also seen from Canada and Bangladesh, showing fresh potential for long-distance travel to Uganda.
Arrivals from overseas markets increased by 8.9 percent to reach 137,411 visitors, but growing this segment remains a challenge.
Despite this improvement, the overseas share of total arrivals inched up only slightly-from 10 percent in 2023 to 10.1 percent in 2024-while Africa’s share fell by the same margin.
However, European arrivals dropped by 4.8 percent, declining from 39,596 to 37,835. The United Kingdom stayed Uganda’s biggest European market with 27 percent of the share, despite experiencing an 8 percent decline.
The top five European sources-the UK, Germany, France, the Netherlands, and Ireland-still collectively make up more than 60 percent of Europe’s total arrivals.
Germany (-13.2 percent) and the Netherlands (-12.7 percent) recorded the sharpest declines, while France (+5.6 percent) and Ireland (+8.6 percent) posted growth. Italy (+3.9 percent) and Denmark (+3.9 percent) also saw modest gains, even as Belgium (-8.8 percent) and Russia (-1.2 percent) registered drops.
The report recommends intensifying marketing in France, Ireland, and Italy, where Uganda has recently increased promotional efforts.
Leisure travel is becoming increasingly central to Uganda’s tourism profile. The share of leisure tourists rose dramatically-from 2.3 percent in 2020 to 19.2 percent in 2024-showing the success of ongoing marketing initiatives and the sector’s post-Covid recovery.
August remained the busiest tourism month in both 2023 and 2024, attracting 130,408 visitors in 2024 compared to 128,670 the previous year.
The first eight months of 2024 performed strongly overall, with February alone recording a 34.2 percent surge over February 2023, underscoring growing demand in the early part of the year.
In contrast, arrivals from September to December 2024 dipped below 2023 levels, with December falling by 5.1 percent, highlighting the need for strategies to maintain high traffic through the final quarter.
In 2025, the Ministry of Tourism aims at increasing overseas market share beyond the current 10.1 percent, boosting infrastructure to encourage longer visitor stays, promoting underexplored regions and rollout new tourism experiences and strengthening domestic tourism by supporting community-led initiatives and affordable travel campaigns.