Administered by the NEF, the fund combines grants, loans and equity contributions to help grow black-owned tourism enterprises, reduce barriers to entry and drive transformation in the sector. Grants are capped at 30% of project costs, up to R5 million per applicant.
A yacht at sunset along the Cape Town coastline.
From the inception of the fund in May 2018 through the end of March 2026, the NEF has received 799 applications. While many applications did not meet the required funding and eligibility criteria, the programme has nevertheless enabled dozens of tourism enterprises to move from concept to operation, from aspiration to implementation.
Approximately 41 projects are currently active and approved. Thirty-nine of these are at various stages of completion and operation, with funding already partially or fully disbursed. Collectively, approximately R150.4 million in grant funding has been approved to support transformation in tourism enterprises across South Africa.
Urban quad bike rides in an adventurous city setting.
“We are the only 100% black owned business in the Yachts sector in the country, With the help of the NEF, we now have the biggest fleet of Yachts. We don’t sell yachts, we sell a boat trip with an amazing dream,” he said.
Elangeni Lodge owner, Chris Bhiya, whose daughter is also part of the business operations, said their business was attracting many tourists who would sleep at their lodge.
“Wehavemanagedtoincreaseemployment around our community. We are surrounded by impoverished communities because of us [our existence] we have managed to employ a lot of people and source most of the things from the local people in our area,” he said.
Speaking at the Africa’s Travel Indaba 2026 during the showcasing of TTF Beneficiary Projects, Department of Tourism Deputy Minister, Maggie Sotyu said the projects represent more than infrastructure or business investment. These projects represent hope, inclusion, ownership and the practical transformation of South Africa’s tourism economy.
“Transformation in tourism cannot remain an abstract policy discussion. It must be visible in ownership patterns. It must be visible in who participates in the tourism value chain. It must be visible in who benefits from tourism growth, who creates tourism products, who employs local people, and who builds sustainable enterprises that can compete nationally, regionally, and globally. And that is precisely why the Tourism Transformation Fund remains such an important intervention,” she said.
The Tourism Transformation Fund (TTF), established by the Department of Tourism in partnership with the NEF, provides financial support to black investors and communities in tourism.
Department of Tourism Director-General, Nkhumeleni Victor Vele, stated at the TTF showcase that he has been following the beneficiaries on social media and commended them for the innovative and effective digital marketing of their products.
“We need more employers to be able to create these jobs. We won’t be able to create jobs as the Government, we will be able to facilitate that those jobs getting created and continue to do so,” he said. The TTF continues to demonstrate that meaningful transformation in tourism is possible by empowering black-owned enterprises to grow, create jobs and build sustainable businesses that uplift communities and contribute to a more inclusive tourism economy.
By Phathu Luvhengo
June 2026