UAE Tourism Sector Sees a Record Growth with More than Eighty Billion AED in Hotel Revenues in this Year, Boosted by its Initiatives Like World’s Coolest Winter

Published on December 18, 2025

Abdulla Al Marri, Minister of Economy & Tourism, recently announced that hotel occupancy in the UAE stood at 79.3% during the first ten months of 2025, a marginal increase from 78% in the same period of the previous year. This makes the UAE have the highest hotel occupancy rates in the Arab Gulf Countries and the world. Hotel revenues amounted to AED 89 billion ($24 billion), with 1,243 hotels in the UAE providing more than 216,000 hotel rooms, emphasizing the importance of the UAE tourism sector in the economy.

These are indeed remarkable statistics, which go to show that tourism has remained an integral factor within the development trajectory of the UAE, as it remains a popular destination among international as well as local tourists. Minister Al Marri also announced that steps are being taken to improve tourism’s future contribution to the UAE’s GDP, which aims to touch 17% in five years.

A Focus on Sustainable Tourism and Future Growth

Tourism in the UAE is evolving toward sustainable development, supported by initiatives such as the World’s Coolest Winter campaign. This campaign, which operates under the slogan “Our Winter is Entrepreneurial”, is aimed at boosting domestic tourism and supporting entrepreneurship. By focusing on sustainable tourism and cultural heritage, the UAE hopes to attract eco-conscious travelers while promoting local businesses and encouraging responsible travel practices.

The continued emphasis on sustainability is expected to have a long-term impact on tourism revenue, helping to create new job opportunities, encourage local investments, and support small businesses. As the UAE enhances its tourism offerings and establishes itself as a global destination for both tourism and business, the sector will continue to contribute significantly to job creation, economic development, and diversified growth.

Investments in Tourism: Shaping the Future of UAE’s Hospitality Sector

Tourism investments in the UAE have seen substantial growth, with a 32.2 billion AED investment in 2024, up from 28.8 billion AED in 2023. This upward trend in investments signals confidence in the UAE’s tourism potential, and 2025 investments are projected to reach 35.2 billion AED, reinforcing the commitment to sustained tourism growth.

These investments are expected to drive the development of new tourism infrastructure, including luxury hotels, cultural attractions, convention centers, and transport facilities, all designed to improve the tourism experience for both leisure and business travelers. In the long term, this infrastructure growth will not only increase tourism revenue but also enhance the UAE’s competitiveness in the global tourism market, positioning it as a key player in high-value tourism.

The Future of Tourism in the UAE: Diversifying the Economy and Enhancing Global Competitiveness

Looking forward, UAE tourism is set to continue driving the country’s economic diversification, reducing reliance on traditional industries like oil and gas. By expanding the tourism sector, the UAE will be able to further grow its non-oil economy, creating more economic opportunities in both urban and regional areas. With a strong focus on sustainability, infrastructure development, and cultural preservation, the tourism sector will increasingly contribute to the UAE’s resilient economy.

The future impact of tourism investments is also expected to extend to job creation and the development of local businesses in smaller towns and regional hubs. By building a more sustainable and inclusive tourism industry, the UAE can ensure that the benefits of its tourism boom are shared with local communities and contribute to long-term regional development.

Leveraging Social Media for Global Tourism Growth

The growing role of social media has further amplified the UAE’s visibility in the global tourism market. Through user-generated content, foreign visitors share their experiences at iconic UAE destinations, creating a virtual showcase of the country’s tourism offerings. This digital exposure boosts international awareness and promotes the UAE as a must-visit destination for travelers seeking a mix of luxury, culture, and adventure.

Social media platforms serve as powerful tools for the UAE to continue its tourism marketing efforts, highlighting its luxury resorts, modern infrastructure, and authentic cultural experiences, all while reinforcing the country’s position as an iconic and sustainable travel destination.

UAE’s Tourism Sector Poised for Sustained Growth

The tourism industry in the UAE has been growing from strength to strength, with increasing investments, maximum occupancy, and innovative initiatives such as the World’s Coolest Winter campaign contributing to its success. As the UAE embraces and adopts sustainable tourism, innovation, and cultural engagement, it will not only maintain its enviable position among the biggest tourism destinations around the world, but it will also play an important part in the resilience and diversification of the economy and the contribution it has to the wider Middle Eastern region and the global community in the years to come.