Published on : Wednesday, May 22, 2019
World Expo 2020 will spear a significant boom in the UAE’s hospitality sector with the addition of 56,701 roooms that would represent 33.6 percent of the country’s existing supply in over the next one year.
According to the latest available industry data UAE drives the Middle East hotel industry boom and there will be an exponential surge in the number of new hotel project and rooms followed by Saudi Arabia. There will be an additional supply of 42,571 room which will account for 42.9 per cent of the kingdom’s existing inventory.
The latest data shows that by 2022, the UAE’s hospitality market is expected to reach $7.6 billion. This is growing at a five-year CAGR of 8.5 per cent between 2017 and 2022.
Qatar and other countries in the region are showing growth, there are around 13,086 rooms in the pipeline which accounts for 47.8 per cent of the current hotel room supply.
It is expected that Oman will be adding 4,129 rooms by 2020.
The hotel supply in Dubai will reach 132,000 in 2019 and the emirates is aimed to complete 160,000 hotel rooms by October 2020. For Expo 2020 there will be 25 million visitors.
The UAE overall hospitality supply in the emirate is expected to increase exponentially, apart from the 20 million annual visitors expected to Dubai next year and an additional five million between October 2002 and April 2021 ( 70 per cent of which will be come from outside).
The number of guestrooms across three, four and five-star properties in Abu Dhabi is forecasted to grow 13 per cent from 21,782 in 2017 to 24,565 in 2021.
According to the latest statistics published by Dubai Tourism Dubai welcomed 15.92 million overnight visitors in 2018 which was up from 15.79 million a year prior.In 2017, there were 716 hotels operated in Dubai last year which was up from 681. The occupied room nights reached 30.13 as compared to 29.21 million in 2017.