UAE: Abu Dhabi hotel sector to support 255,000 jobs this year

Abu Dhabi: Abu Dhabi’s tourism authority has said it is “firmly on track to meet ambitious visitor targets for the year ahead” after presenting “sustained growth” in the tourism and hotel sectors. The hotel industry in the emirate generated Dh2.3 billion in revenue in the first quarter of the year, 18 per cent higher than last year.

These early indicators reflect that the emirate is on track to reach its target of contributing Dh62 billion to the economy in 2025, a 13 per cent increase from 2024, and supporting 255,000 jobs across the emirate this year.

Abu Dhabi’s Tourism Strategy 2030 aims to attract 39.3 million visitors annually, support the creation of 178,000 new tourism jobs, expand hotel capacity to 50,000 rooms, and contribute Dh90 billion to the emirate’s GDP by the decade's end.

The emirate’s Department of Culture and Tourism – Abu Dhabi (DCT Abu Dhabi) said ahead of the Arabian Travel Market (ATM) this year that it welcomed 1.4 million overnight customers in the first quarter of 2025.

Next door, Dubai recorded a 3 per cent annual increase in international visitor numbers to 5.31 million in the first three months of 2025.

“The emirate drew visitors from top tier targets markets and beyond—with best-performing markets including India, China, Russia, the UK, and the USA,” it said.

Revenue per available room (RevPAR) hit Dh484, a 25 per cent year-on-year increase. Hotel occupancy maintained high levels during the period, including in Ramadan, recording 79 per cent across the emirate, DCT Abu Dhabi explained.

Saood Abdulaziz Al Hosani, Undersecretary of DCT Abu Dhabi, said, “Sustained investment into data-led destination marketing, diversified programming, a culture-first ethos and ever-improving visitor experience touchpoints have driven robust growth in Q1 2025, building on a strong 2024.”

Last year, the emirate welcomed a 7 per cent increase in overall hotel and alternative accommodation guests, with international overnight visitors reaching 3.2 million—a 28 per cent year-on-year surge.

Last year, hotel occupancy rates reached 79 per cent across the emirate. This strong demand translated into substantial gains, as total hotel revenue grew by 18.1 per cent year-on-year, generating over Dh7.6 billion. RevPAR also climbed by 22 per cent.

DCT Abu Dhabi also expanded its global marketing efforts, increasing operations from 11 markets in 2023 to 25 in 2024, focusing on emerging regions such as the CIS, APAC, and Eastern Europe.