Gitex Technology Week generates Dhs1.6 billion in economic output

Gitex Technology Week continues be a strong catalyst that accelerates the region’s growing global status as a pioneering market in technology adoption. The show’s growing contribution to Dubai’s economy is attested by the results published in the Gitex Technology Week Economic Impact Assessment 2019 Report issued on Tuesday by DWTC.

With a significant Dhs1.6 billion in revenue across direct, indirect and induced economic levers, Gitex Technology Week also translated a high 57 percent of this total economic output into retained value of Dhs919 million for Dubai’s GDP this year.

The whitepaper provides in-depth insights into how the scale of and global exhibitors and visitors at Gitex collectively yield a ripple effect beyond the technology and MICE sector, sustainably supporting the country’s diversification agenda that has been identified as a strategic priority in the UAE Centennial 2071 Strategy.

Since its launch in 1981, Gitex - which was then the Gulf Computer Exhibition - has been the region’s flagship engine for global technological permeation and mass proliferation across the Middle East, Africa and South Asia regions. Today, at the cusp of its four-decade journey, the 39th edition of Gitex Technology Week is a remarkable transformation showcase - much like the sector it represents.

Growing just under 60x in its attendee base and nearly 100 times in scale since inauguration, the event has also evolved its vision beyond being a platform for game-changing technological innovation to seeding the knowledge economy for the MEASA’s future tech ecosystem with its well-lauded Gitex Future Stars. In its 4th year, this component of Gitex Technology Week is already attracting some of the pioneering start-ups, cutting-edge inventions and next generation innovators from around the world.   

The Gitex Technology Week Economic Impact Assessment Report 2019 is designed to provide insights and data-backed analysis pertaining to the impact of the trade show on the emirate’s economy. Key parameters assessed include: Total participant spend at Gitex; ‘Direct’ spends in ancillary sectors such as accommodation, F&B, retail, entertainment, travel and transport, other business services etc.; ‘Indirect’ spends related to necessary production increases to meet increased demand; and ‘Induced’ value that results from higher employment and consequent disposal income growth.

Direct Economic Output of Dhs1.136 billion was generated within the MICE and adjacent sectors by Gitex’s 171,282 attendees in 2019, representing the impact of their total spend on goods and services related to their participation in the event as well as their spend across ancillary sectors during the course of their business visit to Dubai. A further estimated Dhs 468 million was generated by  Gitex in indirect and induced output, resulting in a combined Total Economic Output of Dhs 1.6 billion.

With an extremely high 57 percent retention of value within the economy, Gitex produced a combined Gross Value Added (GVA) of Dhs 919 million, of which Dhs 669 million was direct GVA, Dhs 126 million was indirect GVA and Dhs124 million was induced GVA, showing the strength of the domestic industry and market in terms of absorbing the growing value from the sector.

“The UAE is evolving into a global innovation hub and pioneer in the use of transformational technologies such as Artificial Intelligence and Blockchain. Our investments and strategic efforts are aimed at furthering DWTC’s role as a pioneering MICE platform, optimally positioned to connect developed economies with high-growth emerging markets across continents,” said Helal Saeed Almarri, Director General, Dubai World Trade Centre Authority and Dubai Department of Tourism and Commerce Marketing.

“The 2019  Gitex Economic Impact Assessment report sheds light on DWTC’s approach and proven ability to unlock ecosystem-wide economic value, creating even more critical wider socio-economic impact, ultimately spurring business expansion investment and leadership for Dubai as a global hub for international business.”

 Gitex’s event-related spend, which includes exhibition space rental, stand building and related spend (Dhs 354 million), combined with attendees’ business entertainment spend (Dhs 37 million), totalled Dhs 391 million, accounting for 34 percent of  Gitex’s direct economic output. Attendee expenses across in-city services and propositions, restaurants, retail and accommodation in 2019 totalled Dhs 651 million and represented 58 percent of  Gitex’s direct economic output, while travel-related airfare and visa-spend totalled Dhs 94 million (8 percent of  Gitex’s direct economic output).

The  Gitex Technology Week Economic Impact Assessment Report 2019 showed that the total economic output of Dhs1.6 billion generated by the event was driven by the Dhs 354 million in direct spend at  Gitex, meaning that for every Dhs1 spent at  Gitex, 4.5 times was generated in sales value for Dubai’s wider economy.

 Gitex Technology Week and Dubai World Trade Centre once again served not only as integral global platforms for industry knowledge sharing, but also as crucial drivers of international visitor spending.  Gitex registered a total of 171,282 attendees, 33 percent of which (57,367) were international, while the event hosted over 4,500 exhibiting companies.

Inayat-ur-Rahman/ WAM