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Home Politics & Economics

UAE Tourism Drives AED 257.3 Billion in Economic Impact Amid Record-Breaking Growth

Staff writer by Staff writer
December 19, 2025
in Politics & Economics, Travel & Tourism
UAE Tourism Hits Record Highs in 2025

The UAE’s tourism industry recorded exceptional growth in 2025, reinforcing its status as one of the nation’s strongest economic pillars and a leading global destination for travelers and investors alike. Backed by advanced infrastructure, landmark developments, and strong competitiveness, the sector continued to outperform expectations.

Tourism and travel contributed AED 257.3 billion to the UAE’s GDP, representing 13% of the national economy. Hotel establishments hosted 23.27 million guests during the first nine months of the year, marking a 4.9% annual increase, while total hotel nights surpassed 79.3 million. Hotel revenues climbed 7.2% to exceed AED 35.9 billion.

Average hotel occupancy rose to 79.2%, with occupied rooms reaching 46.17 million, up 3.5%. The average daily room rate increased by 4.2% to AED 557, supported by a nationwide capacity of 216,248 rooms across 1,246 hotels.

The aviation sector also delivered strong performance, as Abu Dhabi, Dubai, and Sharjah airports collectively handled 108.59 million passengers by the end of September.

Several major tourism and hospitality projects were launched or announced in 2025, including the AED 2 billion Therme Dubai wellness destination, Abu Dhabi’s Butterfly Sanctuary, the Wynn Al Marjan Island resort in Ras Al Khaimah, and the Avani+ Fujairah Resort set to open in 2028. Other developments included Sharjah’s AED 3.5 billion Al Tay Hills project, phase two of the Umm Al Qaiwain Creek Waterfront, and the announcement of a Disney theme park and resort on Yas Island—one of the world’s largest entertainment ventures.

The fifth edition of the “World’s Coolest Winter” campaign concluded in February under the theme “Green Tourism,” generating nearly AED 1.9 billion in hotel revenues—an 86.9% increase—and attracting more than 4.4 million visitors. The campaign reached 224.7 million people globally.

On the international stage, the UAE renewed its membership on the UN Tourism Executive Council for the 2025–2029 term. In a historic achievement, Shaikha Nasser Al Nowais was elected Secretary-General of UN Tourism for 2026–2029, becoming the first woman to hold the position.

Additional highlights included Masfout village being named “Best Tourism Village in the World 2025,” while the UAE ranked among the world’s top seven destinations for international tourism spending.

Tags: Abu Dhabi TourismAviationDubai TourismGlobal TourismHospitality SectorHotel IndustryinvestmentMega ProjectsRas Al KhaimahSustainable Tourismtravel industryUAE EconomyUAE TourismUN Tourism
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