Foreigners are pumping billions into this South African city

Cape Town’s booming film industry, bolstered by progressive visa reforms and strong city support, is driving billions in foreign investment, year-round tourism, job creation, and major economic benefits for the hospitality and creative sectors.

The Department of Home Affairs has launched two digital visa categories aimed at events and film production companies.

Alderman James Vos, member of the City of Cape Town’s Mayoral Committee for Economic Growth, said this is a major step forward for economic growth.

The first initiative, STAGES (Screen Talent and Global Entertainment Scheme), will use digitisation to simplify visa access for film production companies.

“This will be a game-changer for Cape Town and South Africa’s film industry, opening the door to more productions, investment, and, importantly, job opportunities,” Vos said.

The second programme, MEETS (Meetings, Events, Exhibitions and Tourism Scheme), enables international attendees at conferences, exhibitions, and global events to apply for visas entirely online.

Home Affairs Minister Leon Schreiber confirmed that the process will offer rapid turnaround times.

“This announcement comes at the perfect time for Cape Town, which is fast becoming a premier hub for global meetings, conferences, and events,” Vos said.

In the 2024/25 financial year alone, the Cape Town & Western Cape Convention Bureau secured 36 new bids. “These are projected to generate an economic impact of R745 million and attract around 27,230 delegates to the city through to 2028.”

As part of the city’s drive to build a thriving visitor economy, Vos said he is consulting stakeholders across the tourism, hospitality, and aviation sectors to shape a new tourism strategy for Cape Town.

“This strategy will focus on key levers such as boosting international arrivals, driving volume, and creating economic spin-offs that benefit local communities.”

“Tourism is a powerful job creator and a key economic enabler, and we are determined to unlock its full potential. These digital visa schemes will be vital tools in that mission.”

He added that these schemes signal a more responsive and modern approach from the national government, which will help drive economic activity and create thousands of jobs.

Cape Town’s fil and hospitality industries get a boost

Cape Town has already been the location for major productions such as Tomb Raider, One Piece, and Avengers: Age of Ultron.

Cape Town’s growing appeal as a filming destination has generated substantial economic spinoffs for the CBD’s hospitality industry.

Grant Elliott, Chief Operating Officer of Thibault Investments and Deputy Chairperson of the Cape Town Central City Improvement District (CCID) expects this trend to accelerate with the new streamlined visa regime.

“These reforms will remove long-standing barriers and open the door for even greater investment into Cape Town’s creative economy, with knock-on benefits for local hospitality, retail, and small businesses.”

Elliot said the City’s initiatives, combined with progressive visa policies, will likely deepen Cape Town’s status as a year-round destination for creatives.

STAGES and MEETS are only some of the modern visa schemes introduced by Home Affairs. Another one is the digital nomad visa, which allows applicants to live and work remotely in South Africa for 36 months.

“We are seeing in our short-term stay aparthotels that Cape Town is becoming a year-round destination for visitors,” Elliot said.

“We’ve already seen a flattening of the traditional seasonal dips, particularly in winter months like May to August, where our numbers are significantly higher than in the previous season.”

These policies are also bolstering the country’s film industry. Foreign investment in Cape Town’s film production industry is estimated to surpass R5 billion by October 2025.

According to the City of Cape Town’s Film Permits Office, 550 production shoots took place in the Cape Town CBD from 1 January to 26 May 2025.

These included commercials, documentaries, feature films, micro shoots, music videos, student projects, TV productions and TV series.

Of these, 219 were “large and very large” commercial shoots, 106 were micro shoots, 22 were TV series, and 14 were feature films.

Film Permits Office stats also revealed that more than R2.5 billion in foreign production investment was secured between November 2023 and June 2024.

High value tourists

Studios, production houses, and talent agencies are not the only ones feeling the impact. “We’ve had production teams stay for one to two weeks at a time, sometimes longer, especially when filming in nearby studios,” Elliot said.

“It’s not just a one-day affair – their extended stays create consistent demand for accommodation and other services.”

Eliott said they are also seeing demand for office space for film shoots on hourly, daily, and yearly rental rates for various productions. Interestingly, filming enquiries have come from the Middle East and India.

Statistics from the Cape Town Film Permits Office showed that, from 1 November 2023 to 30 June 2024, film crews booked over 59,000 bed nights in Cape Town and spent nearly R148 million.

These were not typical tourists. Film personnel often stayed for weeks or even months, resulting in high-value bookings for hotels, guesthouses, and aparthotels.

The impact extended beyond lodging, including spending on restaurants, shops, bars, laundry services, and transport.

These productions have also significantly impacted the local economy. For every rand spent on film production, an additional R2.50 is generated in the local economy.

In addition, the Western Cape produces roughly 80% of foreign-funded film projects in South Africa. From November 2023 to June 2024, 26,573 jobs were created for freelance crew and performers.

In the 2023/2024 financial year, the Cape Town Film Permit Office issued 4,757 permits – 22% more than the previous year.

Elliott praised the City of Cape Town, which actively promotes the city and outlying areas as a filming destination.

The newly established Cape Town Film Fund recently awarded grants to seven productions aimed at showcasing the city’s landscapes and diversity, part of a broader strategy to enhance the creative economy and foster local talent.

In addition, Cape Town has an easy-to-use platform for applying for permits and accessing city resources, whether it’s a micro-shoot or a full-scale production.

In addition, in a bid to lure more filmmakers to the area, the City of Cape Town froze filming permit fees for the fourth year running and offered free metro police support for open-air shoots.