While it seems that the total stock of internationally branded hotels in Accra is set to almost double, only 14% of the pipeline projects are actively under construction as many have been stalled due to the impact of the pandemic and currency devaluation. The Cedi has depreciated against the Dollar from 5.75 Cedis per Dollar in April 2021 to 7.55 Cedi per Dollar in April 2022.

Some of the projects that are on hold include; Pullman with 363 keys, Hilton Accra City Center with 213 keys, and the Le Meridien Accra with 160 keys. On the other hand, some of the completions we expect to see this year include: 

• Protea Hotel with 200 keys, 
• Southern Sun with 125 keys
• Pelican Hotel suites with 120 keys

The total pipeline from international hotel brands is estimated at 1,837 keys representing 69% of the total stock. As such, we believe the market is facing an oversupply, with the market outlook remaining negative, if the exchange rate and costs continue to rise. 

According to Trevor Ward from W Hospitality Group,

“…..for 2021 year end, Accra was 40% down on Revenue Per Available Room (RevPAR) compared to 2019, which is not bad compared to Nairobi (50% down) and Johannesburg (65% down in Sandton) While, the market is currently oversupplied, it can be temporary if the oil sector picks up pace, and if there are new government initiatives to encourage tourism, just like it was done in the ‘year of return’ in 2019.”

To view our full 2022 Accra Pipeline Report, click here.

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