BMI View: The short- and medium-term outlook for the UAE tourism industry remains positive with steady growth from a number of regional and international source markets on the horizon. A variety of factors, including sustained investments, active macroeconomic diversification efforts and strong government initiatives will all drive tourism growth out to 2022. The accommodations sector is robust, with hundreds of new properties slated for opening by 2020 currently in the construction pipeline. Additionally, the massive megaprojects to build new sky scrapers, theme parks and world-class shopping malls all support industry growth. Arrival numbers from established and new source markets are growing rapidly as the UAE benefits from a diverse range of visitors. Downside risks to growth come from the ongoing diplomatic spat with neighbouring Qatar and the implementation of a new goods and services tax imposed by the government in January 2018.