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News Emirati > Business > UAE Hospitality Sector Opens 2026 With 17 Percent Revenue Rise to $2.67 Billion
Business

UAE Hospitality Sector Opens 2026 With 17 Percent Revenue Rise to $2.67 Billion

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Last updated: April 14, 2026 12:00 am
NewsDesk
Published: April 14, 2026
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Hotel revenues in the UAE surpassed AED9.8 billion or $2.67 billion in the first two months of 2026 while average occupancy reached 85 percent a 17 percent increase from the same period a year earlier according to figures shared at an Emirates Tourism Council meeting in Ras Al Khaimah. The data released during the session organised by the Ministry of Economy and Tourism underscored continued strong demand for destinations across the federation as well as sustained international confidence in its offerings. Senior officials at the gathering attended by more than 150 tourism establishments emphasised the sector’s expanding contribution to broader economic objectives.

Sheikh Saud bin Saqr Al Qasimi Supreme Council Member and Ruler of Ras Al Khaimah told the council that the tourism sector represents a key pillar of the national economy and a major driver of sustainable development supported by the UAE’s ambitious vision strong fundamentals and advanced infrastructure. Al Qasimi added that under the leadership of President Sheikh Mohamed bin Zayed Al Nahyan the federation has established its position among the world’s leading tourism destinations. The ruler highlighted Ras Al Khaimah’s own diversified tourism model which he said supports economic growth enhances quality of life and boosts competitiveness at local regional and global levels.

Abdulla bin Touq Al Marri Minister of Economy and Tourism who chaired the meeting stated that the UAE has prioritised tourism as a key driver of economic growth and competitiveness while aligning initiatives with the national UAE Tourism Strategy 2031. Al Marri noted that authorities have worked with major tourism markets to ease travel restrictions while maintaining flexible and competitive travel policies. The minister added that collaboration continues with insurance companies corporate travel programme managers and relevant entities in key source markets to support seamless travel flows and enhance the competitiveness of the tourism and hospitality sectors.

The Ministry of Economy and Tourism reported that full-year 2025 produced more than 32 million hotel guests and AED49.2 billion in revenues representing 9.7 percent growth over the prior year with average occupancy at 79.5 percent among the highest globally. That performance generated roughly 100 million hotel nights and contributed AED257.3 billion to national GDP or 13 percent of the economy according to official data. Dubai alone welcomed 19.59 million international overnight visitors across 2025 a 5 percent rise from 2024 with its own hotel occupancy averaging 80.7 percent the Dubai Department of Economy and Tourism reported.

The national UAE Tourism Strategy 2031 targets a rise in the sector’s GDP contribution to AED450 billion by the end of the decade along with 40 million hotel guests annually and AED100 billion in fresh investments according to the published plan. Officials at the April meeting stressed the importance of partnerships between government bodies and the private sector to drive innovation explore new opportunities and keep pace with global trends. Advanced infrastructure including world-class airports and a range of leading destinations forms the foundation for this expansion the council heard.

Ras Al Khaimah continues to position tourism as central to its development strategy through high-quality projects and growing investments that aim to increase the sector’s share of emirate-level GDP Al Qasimi affirmed at the gathering. The meeting also reviewed challenges and opportunities in hospitality while focusing on market development and integrated tourism experiences. These early 2026 indicators build momentum toward the longer-term goals set under the national strategy.

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