UAE’s tourism sector presents huge investment opportunities

The UAE continues to strengthen its position as a leading destination for tourism investment, supported by an attractive investment environment, advanced infrastructure, and policies that foster sectoral growth.

The UAE’s tourism sector is witnessing a surge in investment opportunities across all areas - from infrastructure development to hotels, resorts, entertainment projects, and sustainable tourism initiatives aligned with the country’s green economy goals.

Government entities continue to play a pivotal role by launching strategic initiatives to enhance tourist destinations, support innovation, and collaborate with the private sector to uphold the highest standards of quality and excellence.

Through its National Tourism Strategy 2031, the UAE aims to rank among the world’s top tourist destinations. The strategy seeks to increase the tourism sector’s contribution to the GDP to Dhs450 billion, attract Dhs100 billion in new investments, and welcome 40 million hotel guests annually by 2031.

Last year, the UAE recorded strong growth and significant achievements in tourism. Hotel revenues reached nearly Dhs45 billion, marking a 3% increase compared to 2023. Hotel occupancy rose to 78%, one of the highest rates both regionally and globally.

The UAE ranked first in the Middle East and North Africa and 18th globally in the Travel & Tourism Development Index (TTDI) 2024 issued by the World Economic Forum.

According to global consultancy Arthur D. Little, the UAE has gone beyond building luxury hotels, successfully integrating hospitality with rich cultural and entertainment experiences.

Industry officials and tourism experts affirmed that the sector still holds vast untapped potential. They emphasise that major projects - within tourism and across other sectors - are set to further stimulate tourism growth and boost the attractiveness of investment in the field.

Mohamed Al Rais, Honorary Chairman of Dubai Travel and Tour Agents Group (DTTAG), and Executive Director of Al Rais Travel and Shipping Agencies (Al Rais Group), stated that the UAE has witnessed numerous pioneering and exceptional projects in the tourism sector in recent years. These developments, he said, have elevated the sector to a leading position in the region in terms of tourism experiences, and established the UAE as a global leader in various tourism-related fields.

He also emphasised that the UAE continues to strengthen its status as a premier global investment and tourism destination through major projects across its emirates - a testament to investor confidence in the sector’s long-term sustainable growth prospects.

Hosni Abdelhadi, CEO of Carlton Hotel and Suites UAE, emphasised that the strong momentum in the country’s tourism sector reflects a clear leadership vision aimed at solidifying the UAE’s position as a fully integrated global tourism and investment destination.

He also noted that the ongoing expansion of tourism and hospitality infrastructure projects is boosting investor confidence and opening new avenues for growth.

The United Arab Emirates’ tourism sector saw significant growth in 2024, aligning with the goals of the “UAE Tourism Strategy 2031.”

The country ranked first regionally and 18th globally in the World Economic Forum’s 2024 Travel & Tourism Development Index (TTDI).

WAM