Connect with us

Hospitality

MENA Hospitality Market Value Set to Top US$487 Billion by 2032 Amid Unprecedented Tourism Expansion

Published

on

FHS-World-Hospitality-Investment-Outlook

The value of MENA’s hospitality market is set to grow from US$310 billion in 2025 to more than US$487 billion by 2032, according to data released ahead of the Future Hospitality Summit – FHS World, Madinat Jumeirah Dubai, 27-29 October.

The travel and tourism sector is projected to contribute US$367 billion to the Middle East economy and support 7.7 million jobs this year, says the World Travel and Tourism Council. International visitor spending is expected to reach nearly US$194 billion, up nearly a quarter from 2019, pre-pandemic levels, with domestic spending forecast to hit US$113 billion.

As of Q2 2025, the Middle East’s hotel construction pipeline reached an all-time high of 650 projects with 161,574 rooms. At the end of June, 337 projects, with almost 86,500 rooms, were under construction, with 147 projects due to start by Q2 2026.  

Saudi Arabia tops the Middle Eastern hotel construction chart, with more than 92,000 rooms across 342 projects. Next is Egypt with 127 projects and a record-high room count of over 28,000, followed by the UAE with 100 projects (25,470 rooms); Oman with 27 projects (4,709 keys) and Qatar with 16 projects (nearly 3,500 rooms).

The unprecedented hospitality, tourism and infrastructure expansion reinforces the region’s position as a global magnet for investment, say experts.

Amr El Nady, Head of Hotels & Hospitality MEA and Managing Director, Global Hotel Desk at Jones Lang Lasalle, said:Saudi Arabia is targeting 150 million tourist arrivals annually by 2030, while Egypt aims for 30 million international visitors by 2028. Both nations are seeking to significantly increase tourism’s contribution to their GDP, with KSA targeting 10% and Egypt 15%. This strategic focus is driving substantial hospitality investment, with mega-projects like NEOM, The Red Sea Project, and AlUla in KSA, alongside Egypt’s New Administrative Capital, Ras Al Hekma, South Med and Red Sea developments.

“The surge in development creates opportunities for both major international hotel operators and boutique brands to diversify their portfolios by introducing new concepts ranging from ultra-luxury desert resorts to culturally immersive heritage properties. The diversification strategy allows operators to cater to evolving traveller preferences while supporting the countries’ objectives of transforming their economies through sustainable tourism growth and positioning themselves as premier global destinations.”

JLL added that liquidity in the hotel investment landscape remains remarkably robust, underpinned by resilient hotel trading performance and increasing tourist arrivals. Performance data shows year on year growth in terms occupancy and ADR metrics, reflecting the sector’s operational strength and market confidence.

Amr El Nady added: “This strong performance has significantly enhanced appetite from regional and international investors – from high-net-worth individuals to institutional players – all seeking high-yielding, income-generating hotel assets and mixed-use developments, particularly across the UAE market. The region’s investment appeal continues to attract diverse capital sources drawn to its strategic positioning and growth potential.

“Last year, JLL forecasted US$1.2 billion in Dubai hotel transactions, and current market activity indicates we are on track to exceed this milestone, further demonstrating sustained investor confidence.”

In the UAE, Dubai’s hospitality sector – which has around 10,000 new rooms on the way between now and 2027 – continues to deliver an outstanding performance, according to the hospitality division at leading real estate advisory group and property consultant, Cavendish Maxwell.

“Occupancy levels rose to 81% in H1 2025, an increase of 2.5% year-on-year,” said Vidhi Shah, Director, Head of Commercial Valuation at Cavendish Maxwell. “Meanwhile ADR across Dubai’s hotels and resorts reached US$159, up 4.7%. With its hospitality sector continuing to lead the way in setting new benchmarks in safety, inclusivity and connectivity, Dubai remains a premium, global destination for leisure and business travellers, in turn opening up a plethora of new investment opportunities.”

Oman is also increasingly becoming a hot spot for hospitality investment, with tourism expected to contribute 5% to GDP by 2030 and 10% by 2040 – and overtake transport and logistics to become the country’s second most important industry after hydrocarbons.

Oman is set to boost hotel room inventory by 25% by 2030, with 9,600 new keys on the way in the next five years, and 2,600 by the end of 2025, recent insight from Cavendish Maxwell shows. In H1 this year, more than 1.1 million guests checked in to 3-5 hotels, where revenues rose more than 18% to US$367 million. The strong performance led to almost 5% growth in hospitality employment, with 10,800 people now working in the industry.  

The Middle East’s continued growth in tourism and hospitality is being further boosted by various government campaigns and initiatives across the region to encourage investment, international visits and business set up.

In KSA, upcoming global events like Expo 2030 and the FIFA World Cup 2034 are boosting already strong demand for real estate, including project in the hospitality sector.  In addition, from January 2026, foreigners will be able to purchase real estate assets in designated zones – a landmark development set to further deepen investor appetite.

Investment and real estate is a key track at FHS World, with more than 30 presentations, panel debates, workshops and one-to-one conversations covering everything from smart capital to sustainability and investment, cross border strategies to building global partnerships, investing in mixed-use projects and much more.  Visit futurehospitality.com/world/agenda for subjects and speakers across the three-day programme.

Hospitality

A SIZZLING VALENTINE’S ROMANCE AT MARRIOTT AL FORSAN

Published

on

Indulge in a romantic four-course dinner paired with a bottle of Prosecco

Celebrate love this Valentine’s Day with an intimate dining experience at The Grill, Marriott Al Forsan. Couples are invited to indulge in a sizzling four-course dinner, thoughtfully crafted for the occasion and perfectly paired with a bottle of Prosecco.

Set against a warm and elegant ambiance, it’s the ideal setting for a memorable night together.

Date: Saturday, 14th February
Time: 6:30 PM – 11:30 PM
Venue: The Grill, Marriott Al Forsan, Abu Dhabi

Continue Reading

Hospitality

PROJECT CHAIWALA AND OATLY INTRODUCE THE KARAK CLUB AT DXB AIRPORT

Published

on

Project Chaiwala branded takeaway iced chai cup, canvas tote bag, and rolling suitcase covered with brand stickers being carried while walking through an airport terminal

Project Chaiwala (PCW), Dubai’s homegrown chai brand founded in 2017 by Justin Joseph and Ahmed Kazim, has partnered with Swedish oat-based dairy alternative brand Oatly to launch The Karak Club, exclusively at Dubai International Airport (DXB). For a limited time, the world’s busiest international airport will welcome travellers from every corner of the globe to experience the UAE’s beloved karak chai with a plant-based twist.

With the support of travel and retail partner Lagardère Travel Retail, The Karak Club will be live across DXB Terminal 3 and select Terminal 1 outlets from December 15, 2025, to February 15, 2026. The concept reimagines Dubai’s unofficial national drink using Oatly’s non-dairy alternatives in innovative formats such as iced chai, smoothies, shakes, and soft serve. Travellers can also purchase limited-edition merchandise, including postcards, custom playing cards, luggage tags, stickers, and tote bags, celebrating the collaboration.

“This is Project Chaiwala showcasing Dubai’s unique flavour to the world through Oatly’s plant-based magic, turning karak from a fresh milk tradition into a global lifestyle experience,” said Ahmed Kazim, Co-founder of Project Chaiwala.

“Born from our first Karak Club community event at Project Chaiwala’s Cinema Akil flagship in Alserkal Avenue, this DXB edition targets young, global urban travellers seeking authentic flavours of Dubai’s third-culture identity in a modern, accessible way. As a homegrown brand with global aspirations, we’re proud to champion Dubai’s multicultural spirit at DXB, following our representations at SXSW 2025 with Museum of the Future, EXPO 2020, and COP28,” added Justin Joseph, Co-founder of Project Chaiwala.

“We’re honoured to bring the Karak Club to DXB, one of the world’s cultural melting pots, through our collaboration with Project Chaiwala and Lagardère Travel Retail UAE. Together, we’re celebrating the heritage of karak chai, reimagined with Oatly as a delicious alternative to the traditional dairy-based drink. In a moment of taste bonanza and rising non-coffee based beverages, Project Chaiwala’s creativity and Lagardère’s commitment to delivering lifestyle experiences at DXB enable us to bridge cultures through flavour for travellers and the wider airport community”, says Dimitri de Martignac, Regional Director Oatly MEA.

Founded after countless chai breaks between Justin Joseph and Ahmed Kazim during their time as colleagues in Dubai International Financial Centre (DIFC), Project Chaiwala was inspired by the founders’ brainstorming sessions and travels to Darjeeling and West Bengal’s tea estates, inspired by their love for getting the perfect cup of chai. Their first pop-up at Etisalat Beach Canteen led to the opening of the flagship Cinema Akil café in Alserkal Avenue in 2018, a cultural hub that captures the brand’s ethos of “Blending Tradition, Brewing Innovation.” The café’s offerings include the signature Clove-Chocolate Karak, vada pav, cheese toast, spicy chana, and Karak Groove Sessions with local DJs.

Evolving from a lifestyle café into an omnichannel brand, Project Chaiwala successfully pivoted during the 2020 pandemic, expanding into packaged retail with handcrafted tea blends now available at Spinneys, ENOC, Careem, Noon, and Amazon. The brand currently employs over 20 team members across café, retail, and B2B operations — including corporate outlets at ENBD and Standard Chartered, and more than 100 HORECA accounts. Through proceeds from its clay kulhar cups, Project Chaiwala supports ethical initiatives promoting education, clean water access, and women’s empowerment.

Activation Locations at DXB:

●      Project Chaiwala, Concourse C, S34, Terminal 3

●      Project Chaiwala, Daily DXB, Concourse B, Terminal 3

●      Project Chaiwala, Concourse A, Terminal 3

●      FIX Coffee, Daily DXB, Terminal 1

Continue Reading

Hospitality

DUBAI’S HAG AL LEILA CELEBRATIONS DRAW STRONG ENGAGEMENT ACROSS CITYWIDE ACTIVATIONS

Published

on

Families and children queue around a colourful HAG AL LEILA activation inside a Dubai shopping mall, where staff distribute sweets and lead festive activities in a decorated central atrium

Dubai’s Hag Al Leila celebrations concluded this week with strong engagement across a wide-ranging programme of community, cultural, and destination-based activations, marking the opening moment of the Season of Wulfa and setting the tone for the Holy Month of Ramadan.

Observed across the city, Hag Al Leila in Dubai brought residents and visitors together through shared moments rooted in generosity, participation, and the exchange of sweets. From heritage-led experiences and neighbourhood gatherings to activations in major destinations, the programme reflected how the tradition continues to be lived and shared across generations.

Across the programme, activations recorded strong footfall and sustained participation, with high levels of engagement from families, children, and wider communities. Public response reinforced Hag Al Leila’s role as a shared cultural moment, experienced through familiar rituals that encourage connection, participation, and a gentle transition into the reflective rhythm of Ramadan.

Key activations across Dubai helped translate the tradition into diverse contemporary settings while remaining grounded in cultural authenticity. Dubai Hills Mall hosted one of the season’s most visible celebrations, adapting the traditional door-to-door custom into a guided, child-led experience within a major retail destination. Cultural institutions led by Dubai Culture delivered neighbourhood-rooted programming, including heritage trails, workshops, and creative activities designed to introduce younger audiences to the meaning and rituals of the occasion.

Dubai Municipality activated public spaces and community venues across the city, embedding Hag Al Leila within everyday neighbourhood life and ensuring broad public access to the celebration. At the Museum of the Future, the tradition was reimagined through an interactive cultural programme combining storytelling and hands-on activities, while the Knowledge and Human Development Authority’s student design initiative, delivered in collaboration with Patchi, engaged young people directly in cultural storytelling through contemporary creative expression. More than 45 activations unfolded across retail destinations, cultural venues, and community hubs, delivered in collaboration with a range of public and private partners as part of the wider Season of Wulfa programme.

Muna Faisal Al Gurg, CEO of the Museums and Heritage Sector at Dubai Culture, affirmed the Authority’s commitment to raising awareness of Hag Al Leila’s cultural significance, saying: “Hag Al Leila represents an authentic Emirati tradition that reflects the essence of our heritage and embodies generosity, kindness, and tolerance. It is also a powerful expression of our pride in our national identity. Through this initiative, we aim to strengthen community engagement, introduce the youth to our customs, and deepen their sense of belonging.”

Al Gurg added: “Each year, we celebrate this occasion through programmes hosted across our cultural sites to highlight the meaning, symbolism, and beauty of Hag Al Leila. We seek to preserve the custom in the Emirati collective memory, underscore its value, and showcase how it fosters harmony within the community. These efforts also help future generations connect with their roots and cultivate national pride.

Ahmed Al Khaja, CEO of Dubai Festivals and Retail Establishment (DFRE), said: “Hag Al Leila continues to resonate because it is experienced in familiar, shared spaces across the city. This year’s programme demonstrated how simple, community-centred moments can create meaningful connections, particularly for younger generations. The strong engagement we saw across activations reflects the city’s appreciation for traditions that bring people together and naturally set the tone for the Holy Month of Ramadan.”

With Hag Al Leila setting the tone across the city, the Season of Wulfa now moves into its next phase, as Dubai prepares to observe Ramadan through a programme of cultural, community, and citywide experiences shaped by reflection, connection, and shared responsibility.

Continue Reading

Trending

Copyright © 2023 | The Integrator