Christmas is celebrated as one of the biggest festivals in Africa. People on the continent organise feasts, street parades, and concerts to mark this memorable holiday.
Different African countries have varied Christmas traditions and customs due to their diverse culture and backgrounds. However, these customs have something in common – they boost the economies of countries on the continent.
Data from Global payments company, WorldRemit shows that families worldwide will spend about 156% of their monthly income on Christmas this year. Consequently, countries like Cameroon, Rwanda, Uganda, and Kenya, are likely to spend more than 100% of their monthly household income on Christmas.
The study further revealed that Nigerians spend nearly one-fifth (16%) of their annual income on holidays and not less than 196% of their monthly income on Christmas celebrations. The above data indicate that Christmas customs play a significant role in growing the economies of African countries. Based on these findings, AMAKA walks you through 6 African Christmas traditions with substantial economic impact on the continent.
Gifting During Christmas
Gifting is a major African Christmas tradition associated with the festivities. During this period, supermarkets and retail stores stock up on numerous gift items ranging from toys, gift cards, and gift baskets in preparation for the gifting frenzy during the festivities.
In a recent Kaufman Levin & Associates (KLA) survey, the importance of Christmas gifting was underlined among South Africans as the majority of respondents surveyed (72%) said they would be buying gifts, whereas 18% said they would not buy anyone gifts for Christmas despite having done so in previous years. Clothing and shoes (83%) top the list for the choice of gift items; in the second position is toys (53%), closely followed by food/drinks/consumables (52%).
Meanwhile, a survey of 230 people conducted by Picod Analysis in December 2018 found that average spending by Nigerians on gifting stood at N33,300, with gift baskets (35%) topping the choice of gift, followed by money (30%), clothes (26%), sweets (22%) and Christmas cards (22%). However, 44% of respondents choose money as the most desirable gift.
eQub: The Ethiopian App Disrupting Financial Systems
Christmas Shopping
Most Africans take advantage of the festive season to do the bulk of their shopping for the year. So naturally, new clothes are one of the most popular shopping items during this time. Whether you buy them from stores or get them tailored, almost everyone in Africa loves to rock new outfits on Christmas Day.
Some African households also change furniture during the holiday season, but the bulk of the money spent is channelled into decoration. Both homes and offices wear a new look this season through exotic Christmas lights, trees, and drapes used to line entrances and interiors of buildings.
Retail outlets also organise Black Friday campaigns, selling items at discounts to shoppers. The shopping event, which originated in the USA, was introduced by e-commerce companies in Africa. Shoppers often take advantage of the amazing offers during the sales campaign, resulting in African retail businesses recording their biggest sales of the year in December. This was confirmed by data from Business Insider, which reported that retail outlets in South Africa recorded an increase of between 15% and 30% in sales for Black Friday 2021, year-on-year.
Homecoming by diasporans
The festive season in Africa is more exciting when relatives in the diaspora return home to see their aged parents and other family members. Diaspora homecoming is a tradition that boosts the economy of different African countries via flight tickets, hotel bookings, airport taxi shuttles, cargo shipping, and other activities associated with the transportation sector.
Oluwatoyosi Adegunle, a representative for Xenia Lifestyle, a Lagos hospitality brand, told The Guardian that December remains the busiest month for reservations, noting that the hospitality industry noticed a 55% increase in extended-stay bookings in December 2021.
Similarly, a 2022 report by ThisDay Newspapers stated the Christmas season is the busiest period for Nigerian airlines and that fares increase by over 50% during the yuletide.
Nomhle Ngwenya: I Want To Inspire Women to Take Up STEM
Street carnivals
Another African Christmas tradition that has gained popularity during the December celebrations is street carnivals. The Calabar carnival is Africa's most famous street carnival, held in the Cross River State of Nigeria. Folks travel from around the globe to witness and enjoy this showcase of culture, a masterpiece of African tradition on display at the event. In addition, carnivals have immense economic benefits for host communities because visitors spend money, boosting the local economy on and off the carnival site.
A 2020 study by Jammy Seigha Guanah of UNIBEN revealed that carnivals have the potential to create jobs for unemployed youths and artisans. In addition, the study pointed out that carnivals are a form of tourism that attracts millions of visitors.
SMEs such as photographers, local petrol station operators, water/food vendors, hotels, restaurants, private security providers, and car rental services are the primary beneficiaries of the influx of visitors into Africa to participate in carnivals.
Meet Damisi Busari Who Is Solving the African Remittance Problem Through Sendsprint
Homecoming by city dwellers
Family is everything in African tradition, and many city dwellers take advantage of the Christmas holiday to socialise with relatives who live in villages. The influx of people into the local communities means hotels, restaurants and entertainment centres in most local communities have their best season during the holiday.
This tradition is practised in the Southeast geopolitical zone of Nigeria, where people of the region troop to their villages to bond with relatives from December 20 till the first week of every January.
They return to these villages for various developmental initiatives, meetings and resolutions of existential family and community issues. This tradition also boosts the economic development of the localities by enabling the circulation of money from urban to rural areas in the country.
Vacations/Tours
Most Africans with a culture of working round the clock see the Christmas holiday as the perfect opportunity to relax. What better way to go about it than engaging in some recreational activities?
Travel agencies always organise tours and different vacations to several destinations for clients during the holiday season. Some fun activities during this period include boat cruises, camel riding, and horse racing.
Locations like the Obudu cattle ranch in Cross River state, Nigeria, remain the go-to destination for many tourists. The economic value of these tours and vacations is vast, as wildlife conservation centres, travel agencies, tour guides, and others experience a massive inflow of income during these periods.