Cape Town’s hidden economic giant

Cape Town’s art scene is growing rapidly and significantly boosting the CBD’s economy, creating jobs, attracting investment, and driving tourism. New galleries, studios, and cultural events are contributing to the city’s post-pandemic growth.

The State of Cape Town Central City Report 2023, published annually by the Cape Town Central City Improvement District (CCID), explained that the CBD saw unprecedented growth in its creative economy after the pandemic.

In 2023, 19 new artistic studios were established, bringing the total number to 43. This excludes art galleries, of which there were 32.

“The influence of the art world extends far beyond its economic benefits and needs to be nurtured,” said CCID CEO Tasso Evangelinos.

“The creative economy has helped maintain the city’s vitality during challenging economic times, creating jobs and attracting investment outside traditional business sectors.”

“The CCID plays an important role by helping foster this economic activity, ensuring the CBD is safe, clean and inviting.”

Corrigall & Co. art expert, researcher and commentator Mary Corrigall organised the first HEAT Winter Art Festival in 2024 to support the inner-city art sector during the slow winter months.

The 12-day event, which took place in Cape Town, focused on art exhibitions supported by jazz, opera and theatre and focused on emerging talent.

Corrigall’s African Art Ecosystems 2024 report, which measured the growth of art economies in African capital cities, found that South Africa’s commercial art gallery segment increased by 33% between 2019 and 2024.

Cape Town’s art ecosystem, which includes various art galleries, studios and private foundations, experienced the highest growth during and after the Covid-19 pandemic, outpacing developments in Johannesburg, Casablanca, Marrakech and Lagos.

“Cape Town is one of the most significant art capitals in Africa. There are more galleries in Cape Town than in any other city on the continent,” Corrigall said.

“The growth of brick-and-mortar galleries in Cape Town ironically stems from the digitisation of the art market during the pandemic, which allowed new art entrepreneurs to gain access to the market without needing a physical space.”

“Digitisation has grown art markets and audiences for art across Africa. Once artists gain traction in the market, they often go on to open or participate in a physical gallery.”

20% increase in the number of wealthy South Africans moving to Cape Town

Corrigall pointed out that semigration has seen a 20% increase in the number of wealthy South Africans moving to Cape Town.

In addition, foreign visitors to Cape Town increased post-pandemic, resulting in increased size and visitor numbers at events like the Investec Art Fair.

The influx of visitors has seen galleries prosper, reinforcing the CBD’s identity as an art hub and bolstering the creative economy.

The StateoftheART gallery’s founder and owner, Jennifer Reynolds, said the art scene positively contributes to the CBD’s economy by increasing foot traffic to cultural districts and driving tourism.

It also encourages collaborations between businesses and creative professionals, providing artists with fresh platforms to showcase their work.

“Cape Town’s art scene is evolving into an ecosystem that merges art, commerce and community engagement,” Reynolds said.

“The rise of street artist-led initiatives as well as hybrid retail spaces makes art more accessible and commercially viable.”

Art lovers, particularly from Europe, the United States, and Asia, view Cape Town as the leading hub for African contemporary art. They are attracted to affordable pieces with a recognisable South African narrative.

For international art lovers visiting Cape Town, SA’s weaker currency makes the purchase of quality local art very compelling.

The Investec Art Fair

Cape Town’s creative economy – and the art culture in the CBD – recently gained attention after the conclusion of the most successful edition of Africa’s largest contemporary art fair, the Investec Cape Town Art Fair.

The 12th edition of the fair confirmed its status as a dynamic platform for local and international exhibitors to showcase a full spectrum of contemporary artworks and practices.

With 30 first-time exhibitors and an impressive range of diverse artworks, the fair showcased 124 international exhibitors, presented works by 500 artists from 58 countries, and drew over 30,000 visitors.

The preeminent event in South Africa’s arts calendar provided an impetus for important exhibition openings and social events at the Iziko South African National Gallery, Norval Foundation and Zeitz Museum of Contemporary Art Africa (MOCAA), as well as the launch of the second Stellenbosch Triennale.

This provided international collectors and industry professionals visiting Cape Town in 2025 with a plethora of riches.

Art fair director Laura Vincenti said the fair, which takes place in the CBD, continues to “maintain a unique balance between local and international galleries”.

She added that the fair acts as a vital space for discovery, networking and fostering meaningful connections for collectors and galleries from around the world.

Art is a central and growing sector in the Cape Town CBD, contributing to its vibrant inner-city culture.

Events like the eternally popular First Thursdays are a huge drawcard for visitors, directing foot traffic not only to the galleries but also to restaurants, bars and retailers.

“It is vital that we continue to draw attention to the city centre’s art businesses,” Corrigall said.

“This is one of the motivations behind the HEAT Festival, which celebrates art and culture. It takes place in June during the winter months when visibility is most needed.”

“The ongoing success of the Investec Cape Town Art Fair, First Thursdays and new initiatives like the HEAT Festival will solidify Cape Town’s position as a key player in the global art scene and bolster the creative economy.”