The UAE’s tourism and hospitality business is expected to record all-round bubbly increase over the next five years in the conditions of
improved investor confidence, renewing some stalled hotel projects as global operators seek to heighten their hotel footprint, according to new research.
The continuing boom in the tourism and hospitality business will manage to a main aptitude increase for the hotel industry. More than 28,000 added rooms are estimated to be built in the country by 2016, with Dubai and the Abu Dhabi including almost 50% and 31% of the growth channel, correspondingly.
At present, Dubai and Abu Dhabi account for 86% of the hotel supply in the country estimated at 590 hotels with more than 93,000 rooms. Global operators manage about 68% of the total hotel room inventory and the majority of supply is determined in the upscale (4 and 5 star) segment.
Dubai stays the marketplace leader by trading performance and tourist arrivals, where booming development plans to expand the tourism demand base have improved its image as a best international tourism destination. It is expected to continue on its sustainable development direction with a fair demand and supply dynamic in the short to medium-term.
Meanwhile, Abu Dhabi has seen discerning recovery in hotel presentation across the city. As the capital’s tourism and relaxation contributions extend, the hospitality business is balanced to see growth in the medium to long term.
Abu Dhabi’s hotel demand has been urged by robust implementation in the corporate, but the Abu Dhabi Tourism and Culture Authority have progressively more focused on building up the emirate as a major destination for relaxation tourism. The total of tourists in Abu Dhabi has enlarged progressively since 2004, from less than one million to about 2.8 million in 2013.
The report also records that the Northern Emirates, in specific Ras Al Khaimah and Fujairah have transpired as key vacation spots registering speedy progress in tourist arrivals. Constant marketing hard works and finishing point of master-planned projects in these emirates will be key drivers to set up their place as a tourist destination.