DUBAI: Tourism in the UAE has become a key driver of economic growth, contributing a significant 12% to the country’s GDP in 2024, according to a recent report by real estate consultancy Cavendish Maxwell. This is a notable increase from previous years, outpacing tourism contributions in the US and Europe, both of which saw about 10%.
The sector’s contribution to the UAE’s economy amounted to AED 236 billion in 2024, up from AED 220 billion in 2023, underscoring tourism’s vital role in the nation’s economic expansion.
Dubai, the UAE’s most popular city, saw its GDP grow by 3.1% in 2024, reaching AED 339.4 billion. The city’s hospitality sector experienced an impressive year, welcoming 18.72 million overnight visitors, a 9.15% increase from the previous year.
Western Europeans led the charge, making up 20% of the total visitors (3.7 million), with South Asians (17%), GCC tourists (15%), and Eastern Europeans (14%) following closely behind. While regions like Africa and Australasia contributed a combined 7%, Cavendish Maxwell highlights significant untapped potential in these areas for future growth.
In another milestone, Dubai achieved 1.28 million visitors in 2024, marking a 4.9% increase from the previous year. The luxury hospitality sector stood out, with the luxury and upper-midscale segments showing the most significant growth, rising by 3.0% and 2.4%, respectively.The growth in Dubai’s hospitality sector is expected to continue in 2025, with luxury accommodations set to represent 36% of new supply and 59% of new properties. High-end developments include The Dorchester Collection Ela, Kempinski Floating Sea Palace Resort, and the Six Senses Dubai on the Palm.
Additionally, the upcoming Wynn Al Marjan Island resort, which is slated to open in 2027 as the Gulf’s first gaming resort, is expected to spur further hotel development in the area.
Dubai is on track to meet the goals of the Dubai Economic Agenda D33, which aims to position the city among the top three global tourism destinations. In line with this, Dubai International (DXB) set a new benchmark in global aviation by welcoming 92.3 million passengers in 2024, surpassing the previous record of 89.1 million in 2018 and reflecting a 6% increase from 2023.
Dubai’s status as a leading global tourism hub continues to be reinforced by international recognition, including being named the world’s leading tourism destination and boasting a top-ranked airport.
