UAE tourism set for landmark year with projected Dh267.5b GDP contribution
27 May 2025 00:30
KHALED AL KHAWALDEH (ABU DHABI)The UAE is poised to achieve a landmark year in tourism, with the sector projected to contribute Dh267.5 billion to the national economy in 2025, representing nearly 13% of GDP, according to new data from the World Travel and Tourism Council (WTTC).This milestone comes alongside record-breaking international visitor spend, which is forecast to reach Dh228.5 billion, 37% above pre-pandemic levels. Domestic tourism is also surging, with Dh60 billion in spending expected this year - 47% higher than in 2019, underscoring the strength of the local travel market."The UAE continues to lead the way in global travel and tourism. From cutting-edge smart cities to exceptional hospitality and seamless visa systems, the country is a model of how strategic vision drives economic growth," Julia Simpson, WTTC President and CEO, said in a statement."With initiatives like the Tourism Strategy 2031 and the National Tourism Charter, the UAE is building a future-ready sector rooted in sustainability and innovation. With strong leadership and public-private alignment, 2025 is set to mark yet another chapter in the UAE's remarkable tourism success story."
Abu Dhabi Sees Robust Growth in Q1Complementing the national outlook, Abu Dhabi's tourism sector is tracking exceptional growth. According to the Department of Culture and Tourism (DCT), the emirate welcomed 1.4 million overnight visitors in Q1 2025, building momentum toward its target of Dh62 billion in tourism GDP contribution this year, a 13% increase over 2024.Hotel sector performance has mirrored this visitor growth. The first quarter of the year saw Dh2.3 billion in hotel revenues in the capital, marking an 18% year-on-year increase, while revenue per available room jumped 25% to Dh484. Occupancy rates averaged 79%, including during the holy month of Ramadan."Our strategic approach to elevating Abu Dhabi as a cultural and tourism destination is delivering tangible results," said Saood Abdulaziz Al Hosani, Undersecretary of DCT Abu Dhabi."Sustained investment into data-led destination marketing, diversified programming, a culture-first ethos, and ever-improving visitor experience touchpoints have driven robust growth in Q1 2025, building on a strong 2024."DCT highlighted the importance of cultural identity towards Abu Dhabi's tourism strategy. This has largely centred around the Saadiyat Cultural District, already home to the iconic Louvre Abu Dhabi and the newly opened teamLab Phenomena, which will soon be joined by the Zayed National Museum, and the Guggenheim Abu Dhabi.According to WTTC forecasts, the UAE's travel and tourism sector is expected to continue its upward trajectory over the next decade, contributing nearly Dh287.8 billion to the economy by 2035.
Employment in the sector is also projected to exceed 1 million jobs, further embedding tourism into the country's economic fabric.
Source: Aletihad - Abu Dhabi
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