UAE, Oman, Qatar and Saudi Arabia leading the race for tourist revenue growth with positive outlook for industry as governments use tourism as major anchor for economic diversification
Arabian Travel Market (ATM) 2013 opens in Dubai tomorrow, Monday 6th May, because it prepares to celebrate its 20th edition and welcome over 2,500 exhibitors from 87 countries with exhibition floor space sold out at over 22,000 square metres.
Speaking sooner than 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% this year alone as ongoing investment into the field and infrastructure development in key markets supports the twin long-term goals of driving visitor numbers and moving towards sustainable economic diversification,” said Walsh.
He also emphasised the expansion of a large number of regional destinations, particularly 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 an excellent 14% to the UAE economy in 2012, – when compared with the worldwide trend of 9% – and expected to rise by 3.2% in 2013,” he said.
Industry investment, which hit US$22.5 billion last year is usually set to extend in 2013, by an estimated 12%, 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 creating 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% between now and 2016, with a purpose to see Oman swell its current base of five,331 rooms by an extra 2,000 before the top of this year.
One of the fastest growing markets within the Gulf, Qatar is likewise 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 every year by the point the tournament kicks off.
“Saudi Arabia is an exceedingly interesting market in the intervening time, 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 four% 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 within the next 10 years,” remarks Walsh.
Held under the patronage of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice chairman and Prime Minister of the UAE, Ruler of Dubai, ATM 2013 is being held on the Dubai International Exhibition and Conference Centre from 6-9 May.
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