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South African Corporate Travel Set for Major Rebound as Nearly Half of Businesses Plan Increased Spend

8th September 2025

     

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Flight Centre Travel Group’s (FCTG) corporate annual global State of the Market survey* shows renewed momentum for corporate travel across Africa with nearly half (46%) of customers in EMEA indicating plans to increase their travel spend in FY26. This represents a significant rise from last year’s 39%, reflecting growing confidence among businesses as economic headwinds begin to ease.

Notably only seven per cent of respondents in the region now anticipate reducing their travel budgets, a dramatic fall from 21% last year, signalling business travel is being prioritised as a strategic lever for growth.

The positive outlook comes as recent interest rate decreases signal improving macroeconomic conditions and renewed optimism among corporates across southern Africa.

Mummy Mafojane, General Manager at FCM Travel Southern Africa, said the positive sentiment reflected renewed confidence among South African corporates as economic conditions improve.

"These global results are particularly encouraging for the South African market where we're seeing strong momentum. Companies are recognising that business travel is essential infrastructure for growth, not just an expense. Our recent launch of FCM Meetings & Events in South Africa has already captured significant interest from mining and financial services sectors who understand that face-to-face engagement drives real business outcomes."

Herman Heunes, General Manager at Corporate Traveller South Africa, said the findings validated what his team was seeing on the ground with South African SMEs and mid-market companies.

"The survey results confirm that sentiment is shifting – companies are ready to back growth with increased travel budgets. We're seeing dynamic South African businesses who view travel as a strategic investment rather than a cost centre. Our rebrand in the last financial year has really helped us connect with this new generation of businesses who appreciate our modern identity and approach."

Globally, for flagship businesses FCM Travel and Corporate Traveller, nine per cent of customers surveyed intend to spend over 20% more on their travel, 36% plan to increase by up to 20% more, and 37%believe the amount spent will be similar to last year.

The findings follow the release of end-of-financial-year results to the Australian Securities Exchange. The results showed that FCTG achieved a record total transaction value (TTV) of AUD$24.5 billion, up three per cent year-on-year (YOY) in a challenging global trading cycle, and an AUD$289.1 million underlying profit before tax, at the midpoint of the recently revised range.

The corporate business again delivered a record total turnover (TTV) of AUD$12.3 billion, up two per cent YOY, with FCM Travel securing a large pipeline of new accounts, expanding addressable markets, and set to benefit from industry consolidation. Corporate Traveller is also set to become a AUD$5 billion-per-year TTV business.

FCTG Global Corporate CEO, Chris Galanty, said the survey findings illustrated that customers had a brighter outlook for the new financial year with some macro-economic challenges now starting to ease across the globe.

“There’s no question corporate travel is deemed to be a non-discretionary spend for businesses as a critical facet to surviving and thriving worldwide – this is now evidenced by a significant percentage of our customers planning to increase their travel spend in FY26,” said Galanty.

“These figures paint a positive picture for the world of business travel in the new financial year.

“Significant technology advancements in AI through our Centre of Excellence, combined with an uplift in the utilisation of FCM Platform and the Corporate Traveller Technology Suite, have enabled us to automate the ordinary, allowing us to provide our customers with the extraordinary.

“Companies, whether they be large multi-nationals, SMEs or start-up businesses, are vital to economies across the globe, and it’s with great pride that we get to deliver our unique blend of the expertise of our people and our innovative technology to service them in their aspirations.”

FCTG Managing Director EMEA, Steve Norris, said there were several highlights and milestones across the corporate businesses for FY25.

“Productivity has jumped in many areas, and our focus on living by our ingrained Family, Village, Tribe structure means our subject matter experts are more empowered to make much quicker decisions – allowing them to shine alongside our FCM Platform and Corporate Traveller Technology Suite.”

Heunes further noted Corporate Traveller is continuously advancing its technology in South Africa to help travel managers work more efficiently and serve customers better. “As a result, our team can focus on what they do best: providing service of the highest standard."

With business sentiment rising across southern Africa and enhanced technology platforms streamlining complex travel arrangements, industry analysts expect the corporate travel recovery to accelerate through FY26, potentially reshaping how businesses approach regional expansion and international partnerships.

Edited by Creamer Media Reporter

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