Dubai hotel bosses expect occupancy levels to rise above 60% this year
Half of hotel owners and operators in Dubai expect occupancy levels to rise above 60 percent this year, while three-quarters expect numbers to return to pre-Covid levels by 2023, according to the latest report from consultants KPMG.
Despite ongoing outbound travel restrictions among many of the UAE’s main source markets, which currently includes India, the UK and South Africa,
among others, KPMG’s ‘Suite success: Dubai hospitality survey 2021’ fuels hopes of a continued recovery for the emirate’s hospitality sector.
And 75 percent of owners and operators surveyed said they believed the vaccine will play a significant part in boosting occupancy rates – the UAE currently has one of the most efficient vaccination programmes in the world, with almost 13 million doses administered across the country to date.
Sidharth Mehta, partner, head of real estate, KPMG Lower Gulf, said:
“Though short- to medium-term challenges remain, Dubai’s successful management of the pandemic and the efforts put in by individual players have helped recovery.”
In spite of the economic crisis caused by the global coronavirus pandemic, the UAE recorded the second-highest occupancy rates globally (54 percent), behind China, in 2020. Dubai’s occupancy rates steadily improved since April 2020, touching a 12-month high of 69 percent last December, although dipping to 59.4 percent this April.
While international arrivals plummeted, the number of room nights sold to domestic tourists increased by 107 percent, surging from 2.74 million in 2019 to 5.68 million in 2020.
“Dubai’s popularity as a staycation destination has been key in supporting the emirate’s hospitality sector,” said Mehta.
Source : Arabian Business | Photocredit : Google