Addis Ababa leads Africa in Average Daily Rate

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Ethiopia’s capital and also known as Africa’s diplomatic capital has posted the highest average daily rate (ADR) in Africa, according to the most recent data from STR, a company which provides premium data benchmarking, analytics and marketplace insights for global hospitality sectors.

Addis Ababa has registered a total average daily rate of $163.79 in the period of July 2018 to June 2019, which was measured by removing the effects of inflation. The figure has a 1.1 percent increase over the past year.

ADR is a metric widely used in the hotel industry to indicate the average realized room rental per day. It is one of the key performance indicators (KPI) of the industry, which is used to measure the operating performance of hotels or other lodging units.

“Addis Ababa continues to maintain high ADR levels when compared internationally, ” said Thomas Emanuel, director of STR. He added, “The city has multiple demand drivers, such as a growing economy, successful airline and its status as the diplomatic capital for Africa. Air connections and ease of access compared with other cities also factor in the equation for strong demand, which provides hoteliers with the confidence to maintain rate levels.”

Additionally, Addis Ababa prepared to hold African Hotel Investment Forum (AHIF) in September 2019. AHIF is the leading hotel investment conference that connects business leaders from the international and local markets, driving investment into tourism projects, infrastructure, and hotel development across Africa. (

“Hosting high-profile international meetings like AHIF is one factor that has helped Addis to maintain its position as the city with the most expensive hotel accommodation in Africa,” said Mattew Weihs, Managing director, Bench Events, AHIF organizer.

Accra, Ghana with $160.34 and Lagos Nigeria with $132.51 are the next closest STR-defined markets in Africa. Addis Ababa described as a dynamic city with cultural and entertainment options and having International standard hotels such as Sheraton, Radisson, Hilton, Hyatt, Skylight, and high rate of construction of new hotels added another asset to the city to attract conference tourism in the future.