Dubai tourism boom: UAE hotel occupancy hits 79.3% in 2025

Dubai: Hotel occupancy rates in the UAE reached 79.3 per cent during the first 10 months of 2025, placing the country among the highest performers regionally and globally, according to Abdulla bin Touq Al Marri, Minister of Economy and Tourism.

Speaking to the Emirates News Agency (WAM) on the sidelines of the launch of the sixth edition of the World’s Coolest Winter campaign in Abu Dhabi, Al Marri said the figure marks an increase from 78 per cent over the same period last year.

Hotel revenues totalled Dh89 billion during the period, he said, supported by a nationwide network of 1,243 hotel establishments offering more than 216,000 rooms. The minister attributed the sector’s performance to sustained investment, expanding air connectivity and the country’s positioning as a global destination for leisure and business travel.

Tourism contributed 13 per cent of the UAE’s gross domestic product last year, equivalent to Dh257.3 billion, and currently provides employment for more than 920,000 people, Al Marri said. He added that the government aims to raise the sector’s contribution to 17 per cent within the next five years, driven by further investment and continued growth in the aviation sector. 

Al Marri also highlighted the role of the World’s Coolest Winter campaign, which this year is held under the slogan “Our Winter is Entrepreneurial”. The initiative is designed to stimulate domestic tourism while supporting entrepreneurs and small businesses, reinforcing the UAE’s image as a year-round destination that combines tourism, innovation and investment opportunities.

Tourism investments reached Dh32.2 billion in 2024, up from Dh28.8 billion in 2023, and are expected to rise further to Dh35.2 billion in 2025, according to the minister.