Strong tourism activity and rising tourist spending continued to boost economic growth in the UAE in 2025, according to the Emirates News Agency (WAM).
Tourism activity remained strong in the first half of the year, as hotels welcomed more than 16 million guests. By mid-2025, the country had 1,243 hotel properties offering more than 216,000 rooms, while 16 new hotels will enter the market by 2024 to help meet the growing demand.
Passenger traffic at UAE airports has also increased, with nearly 102.9 million passengers handled in the first eight months of 2025, representing an increase of 5.3 percent compared to the same period in 2024.
Tourist fees continued to rise. International tourists spend AED217.3 billion in 2024, which is a growth of 5.8 percent per year and more than 30 percent more than in 2019. Domestic tourism spending reached AED57.6 billion, up 2.4 percent year-on-year, highlighting strong demand from overseas and domestic tourists.
These results reflect an integrated national strategy aimed at strengthening the UAE’s position among the world’s leading tourism destinations while attracting local and foreign investment through a competitive business environment. The country’s appeal is supported by its year-round tourism offering, modern infrastructure and variety of attractions.
Tourism is fueling the UAE’s economic momentum
The UAE benefits from a combination of natural, social and legal advantages, including its strategic location connecting East and West, diverse landscapes including deserts, mountains and beaches, political and economic stability, and a society based on tolerance and coexistence. These strengths have helped secure leading positions in global tourism rankings.
As a result, the UAE ranks among the top seven destinations in the world for global tourist spending and leads several global competitiveness indicators related to travel and aviation, especially the quality of air transport infrastructure.
Investment in this sector has kept pace with demand. Investment in tourism reached AED28.8 billion in 2023, increased to AED32.2 billion in 2024 and is expected to reach AED35.2 billion in 2025, indicating strong investor confidence.
Government initiatives such as the ‘World’s Coolest Winter’ campaign, launched under the slogan ‘Our Winter Brings Business’, highlight incentives designed to attract investment and support tourism entrepreneurs. This includes tax exemption, 100 percent foreign ownership, no income tax, full profit repatriation and access to more than 40 tax-free zones.
Additional measures under the UAE Tourism Strategy 2031 focus on digital transformation, sustainability and product diversification, with new projects planned for 2026. In recognition of its performance, the UAE is ranked first regionally and 18th globally in the World Economic Forum’s 2024 Travel & Tourism Development Index, emphasizing the growing role of diversified tourism and expanding the role of diversified tourism.
