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Mena business travel grows 50% in the first quarter
Mena business travel grows 50% in the first quarter

Khaleej Times

time08-04-2025

  • Business
  • Khaleej Times

Mena business travel grows 50% in the first quarter

Business travel in the Middle East and North Africa (Mena) region surged by 50 per cent in Q1 2025, reaching $159.5 billion in revenue in 2024, recent data showed. According to Tumodo, an online business travel platform, the business travel market in the Middle East and Africa (MEA) region is expected to reach a projected revenue of $270.8 billion by 2030 and a compound annual growth rate of 8.3 per cent from 2025 to 2030. 'This growth reflects the region's economic resurgence and the increasing demand for seamless corporate travel solutions,' a statement said. As global markets stabilise and corporate ties strengthen, the Mena region is witnessing a dynamic shift in business travel patterns. The company reports that China leads as the top business travel destination from the Mena region, accounting for 25 per cent of trips, followed by the UAE (13 per cent), Saudi Arabia (five per cent), India (four per cent), and the UK (3.5 per cent). France and Germany each hold a three per cent share. Dubai remains a key transit hub, with high-frequency flights to Guangzhou and Seoul, while Riyadh, Cairo, and Doha are witnessing increased business travel due to large-scale infrastructure investments. Hospitality The Mena hospitality market was valued at $286.06 billion in 2024 and is projected to grow to $487.36 billion by 2032, with a CAGR of 6.67 per cent. Corporate travellers are demonstrating a preference for premium accommodations. Tumodo reports that four-star hotels lead bookings at 45 per cent, with five-star hotels gaining traction at 20 per cent, indicating a rise in demand for high-end stays. Moreover, luxury hotels in the Middle East saw a 145 per cent year-over-year increase in bookings during Ramadan 2025 as travellers opted for premium experiences. Three-star hotels account for 15 per cent of reservations, while apartments and budget hotels make up 15 per cent. Sustainability The sustainability focus is reshaping business travel practices worldwide. The company contributes to the UAE Environment Vision 2030 goals and promotes environmentally conscious choices. Tumodo's AI-driven solutions promote a sustainable approach to corporate travel by optimising eco-friendly routes and accommodations. This technology enables businesses to minimise environmental impact while ensuring efficiency and cost-effectiveness throughout travel. This shift highlights the growing role of AI in optimising corporate travel management and ensuring policy compliance. 'With business travel demand accelerating across Mena, organisations are prioritising efficiency, compliance, and sustainability in their travel strategies,' said Stan Klyuy, CCO at Tumodo. 'Our AI-powered platform streamlines travel management, reducing policy violations from 60 per cent to just 4 per cent, optimising budgets, and helping companies adopt more sustainable travel practices by recommending eco-friendly routes and accommodations, ultimately enhancing the overall travel experience for corporate clients.' Bleisure The evolving travel landscape also reflects the growing trend of 'bleisure' travel, combining business trips with leisure experiences. The average business trip duration has extended to 10 days, mirroring pre-pandemic norms, while room rates have increased by 10 per cent to an average of $160 per night.

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