Abu Dhabi reduces tourism fees in hotel restaurants in bid to boost trade

Thursday, August 17, 2023


New rules on tourism fees at Abu Dhabi venues come into effect on September 1

The Abu Dhabi government has lowered tourism fees and municipality fees imposed in the emirate’s hotels. The Department of Culture and Tourism (DCT Abu Dhabi) said the move will help stimulate the economy.

The tourism fee issued to customers will now be lowered from six percent to four percent. The municipality fee of AED15 per night has been removed.

The four percent municipality fee and six percent tourism fee on hotel restaurants has been removed.

The changes will come into effect from September 1.

The Abu Dhabi Media Office said the decision is intended to enhance Abu Dhabi as a leading global leisure and tourism destination.

As part of its mandate, DCT Abu Dhabi continuously elevates the standards of the emirate’s tourism, culture, and hospitality offerings in the emirate, the media office said.

Tourism levels in Abu Dhabi hotels

UAE capital Abu Dhabi is now ahead of pre-pandemic hospitality and tourism levels. June 2023 YTD, Abu Dhabi had an average occupancy of 70 percent, ADRs of AED425 and RevPAR at AED298.

Both ADRs and RevPARs were up 24 percent and 23 percent over 2022 respectively, while occupancies were just one percent down.

By comparison, the same point in 2019 had ADRs of AED377 and RevPAR at AED270, though occupancies were slightly higher than now, at 72 percent.

For the first half of this year, it has been the capital’s five-star hotels boosting the market.

Five-star hotels saw average rates of AED626 a night and RevPAR at AED418, up 26 percent and 32 percent respectively against last year.

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