BMI View: The UAE's tourism industry is strong and constantly expanding with new hotels opening throughout the country. At present the hotel industry is heavily weighted towards luxury travellers and businesspeople but companies are starting to expand further into the mid-range and budget markets. We are anticipating a rise in both inbound and outbound tourism throughout our forecast period with the Middle East continuing to provide the vast majority of inbound visitors.
In comparison to some other countries in the Middle East and North Africa (MENA) region, UAE 's tourism sector has been seen as a relatively safe bet for investors as well as international travellers and the sector continues to develop and expand. However, ongoing political instability in the area is spreading and UAE is starting to feel the consequent effects within the tourism sector.