Cape Town's Global Accolade Puts South Africa in the Spotlight

• Cape Town’s recognition as the world’s most affordable luxury destination has placed South Africa firmly on the global travel map
• While the report celebrates affordability for visitors, it has reignited local conversations about rising living costs
• The story resonated because it touches on long-standing tensions around tourism, housing, and who the city is really catering for

What looks like a global win for Cape Town has quietly reopened a deeper conversation about affordability, access, and whether international praise always tells the full local story.

Cape Town has been named the world’s most affordable luxury destination for 2026, according to a report published by Travel & Leisure magazine on 5 December 2025, placing South Africa firmly in the global travel spotlight. The ranking, released in recent weeks, highlights the city’s appeal to international tourists through a combination of scenic beauty, high-end accommodations, fine dining, and cultural attractions. Travel & Leisure based its findings on average costs for hotels, meals, drinks, and experiences, positioning Cape Town ahead of other global destinations such as London, Bermuda, Muscat, and Mexico’s Riviera Maya.

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According to Travel & Leisure magazine, the report points to pricing that appears attractive when converted to foreign currencies, noting that five-star hotels in Cape Town can start at around R3,300 per night, with spa treatments and dining experiences priced well below what visitors might expect in other luxury cities. Popular attractions such as Boulders Beach, the V&A Waterfront, Zeitz MOCAA, and Kirstenbosch were also highlighted as part of the value offering. On paper, the city presents itself as a place where luxury feels accessible, especially for travellers arriving with stronger currencies than the rand.

Cape Town luxury travel debate

However, the ranking sparked widespread discussion online, with locals questioning how affordability is defined and who it truly applies to. The story echoes an ongoing conversation in South Africa around tourism-driven pricing, short-term rentals, and the growing gap between what visitors pay and what residents can afford.

For many locals, the accolade also reflects how exchange rates and global demand have reshaped Cape Town into a city priced for outsiders. As tourism continues to rebound, residents on social media have been saying the challenge is ensuring growth does not come at the expense of affordability, community, and long-term sustainability for the people who call the city home.

Cape Town is well-connected to the United States, with a few direct flight options making the journey straightforward. Travellers can fly nonstop with United Airlines from Newark Liberty and Washington Dulles, while Delta Air Lines also offers a direct route from Atlanta’s Hartsfield-Jackson International Airport.

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Source: Briefly News