United Arab Emirates Tourism Report Q2 2016
BMI View: The UAE tourism market will continue its healthy expansion over the next five years, with thenumber of inbound arrivals increasing at an average annual rate of more than 5%. This will be drivenprimarily by the diversification policy adopted by the two main tourist hubs, Abu Dhabi and Dubai, whowill continue to seek to attract new tourist groups such as families, as well as tourists seeking moreenvironmentally friendly or more cultural destinations. This will impact positively on the value ofinternational tourism receipts, which will continue to increase at an average annual rate of approximately7%.
Key Updates And Forecasts
Air travel connections continue to expand as follows: Spicejet increasing the number of flights betweenDubai and India; Norwegian opening a new route between Helsinki and Dubai; Wizzair adding routesbetween Dubai and different European destinations; China Southern Airlines increasing the number ofroutes; and, Etihad Airways opening new routes between Morocco and Abu Dhabi.
We expect total inbound arrivals to increase by more than 5% annually throughout our five-year forecastperiod, rising from 17.6mn in 2016 to 21.8mn in 2020. This will provide a healthy boost to tourismrelatedspending and hotel industry value.
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