UAE, Oman, Qatar and Saudi Arabia are leading the race for tourist revenue growth with positive outlook for the industry as governments use tourism as major anchor for economic diversification
Arabian Travel Market 2013 will look toward this future because it opens to celebrate its 20th edition and welcome over 2,500 exhibitors from 87 countries in Dubai.
Speaking just before this year’s showcase, Mark Walsh, portfolio director, Reed Travel Exhibitions, highlighted the sector Travel & Tourism Council (WTTC) Economic Impact 2013 outlook, which supports positive forecast for industry development and function within the region this year.
“The regional tourism map is now incredibly diverse with travel and tourism directly contributing US$76.6 billion to GDP in 2013, that is forecast to rise by 4.2 per cent this year alone as ongoing investment into the arena and infrastructure development in key markets supports the twin long time goals of driving visitor numbers and moving towards sustainable economic diversification,” said Walsh.
He also emphasised the expansion of quite a number regional destinations, especially the UAE, Oman, Qatar and Saudi Arabia.
“The UAE has long been a job model for regional tourism development, and recently released figures from the WTTC show that tourism within the Emirates is growing significantly faster than the arena GDP growth average, contributing a formidable 14 per cent to the UAE economy in 2012, – in comparison to the worldwide trend of nine per cent – and expected to rise by 3.2 per cent in 2013,” he said.
Industry investment, which hit US$22.5 billion last year is additionally set to extend in 2013, by an estimated 12 per cent, because the country fully embraces the social and economic benefits of tourism, maximising at the ongoing expansion of its airline route networks, and a healthy economic outlook.
The UAE’s nearest neighbour, the Sultanate of Oman can also be pursuing plans for tourism growth spurred by the government’s US$39 million investment into development of Dhofar province, with the purpose of constructing its annual Khareef (monsoon) festival an in-demand fixture at the global tourism calendar.
This is supported by forecasted hotel room capacity growth at a CAGR of five.3 per cent between now and 2016, to be able to see Oman swell its current base of five,331 rooms by an extra 2,000 before the tip of this year.
One of the fastest growing markets inside the Gulf, Qatar can also be moving ahead with its US$65 billion investment plan that specializes in the state’s hosting of the 2022 FIFA World Cup.
Over 85,000 new hotel rooms will bolster current inventory levels as Qatar looks to welcome as many as 3.7 million visitors once a year by the point the tournament kicks off.
“Saudi Arabia is a very interesting market nowadays, and there’s a strong push towards development of domestic tourism with 22.5 million residents searching for new experiences apart from the favoured summer destination of Jeddah, in addition to undertaking their Hajj and Umrah commitments,” said Walsh.
Hajj and Umrah travel generated US$16.5 billion for the dominion in 2012 and business tourism demand is additionally growing, particularly for Riyadh, the capital city and seat of presidency.
Tourist arrivals are forecast to grow at CAGR of 4 per cent by 2022, driven by strong growth across all sectors.
“Tourism is currently the country’s second largest industry and this has huge significance for the economy as US$80 billion worth of investment into key infrastructure projects including airport expansion, railways and roads involves fruition inside the next ten years,” remarks Walsh.
Recommended