Tourism's contribution to Dubai's economy revealed

Dubai's Economy and Tourism

Tourism continues to be a cornerstone of the UAE’s economic diversification strategy, with Dubai at the forefront of the industry’s growth. According to the World Travel & Tourism Council’s (WTTC) latest Economic Impact Research (EIR) report, 2025 is shaping up to be a record-breaking year, with the sector’s total economic contribution forecast to hit AED 267.5 billion (US$72.8bn), accounting for almost 13% of national GDP.

To put this year’s forecast into perspective, in 2015, the sector’s total contribution to the country’s GDP was AED133.8 billion (US$36.43 billion) or 8.7%, growing by 4.4% in 2016.

At the time, the WTTC predicted the sector’s contribution to UAE GDP would grow at 5.4% per annum to hit a predicted AED236.8 billion ($64.47 billion), or 11.2% of GDP, by 2026.

Furthermore, international visitor spend in the UAE is expected to reach an all-time high of AED 228.5 billion this year – 37% above the pre-pandemic peak of 2019.

Robust employment and domestic growth

The travel and tourism sector is fast becoming one of the UAE’s most important employers. By the end of 2025, the WTTC predicts the industry will support more than 925,000 jobs, up from 898,600 jobs in 2024, when the sector contributed AED257.3 billion to the economy. This means nearly one in eight employees in the UAE now work in travel and tourism.

While international tourism remains the cornerstone of the industry’s growth to date, the UAE’s domestic tourism market is also expanding rapidly. Domestic visitor spend is projected to reach AED60 billion in 2025, a 47% increase on 2019 levels, according to the WTTC. This underscores the UAE’s growing popularity as a staycation and weekend getaway destination among residents and regional travellers, thanks to the country’s continued investment in leisure, cultural and natural attractions.

Visionary strategies driving tourism expansion

The WTTC credits the UAE’s strategic vision and leadership for the sector’s success. Initiatives such as the UAE Tourism Strategy 2031, the National Tourism Charter and the rollout of smart city developments have created a future-ready tourism ecosystem focused on sustainability, connectivity and  delivering unrivalled visitor experiences.

“The UAE continues to lead the way in global travel and tourism,” comments Julia Simpson, president & CEO of WTTC. “From cutting-edge smart cities to exceptional hospitality and seamless visa systems, the country is a model of how strategic vision drives economic growth.”

Dubai’s smart infrastructure, world-class events industry and seamless air connectivity – through the world’s busiest international hub, Dubai International Airport, and the fast-growing Dubai World Central – have significantly boosted its global competitiveness. The city consistently ranks among the world’s most popular destinations, having welcomed a record 18.72 million international visitors in 2024, with this figure on track to reach 19 million+ in 2025.

Strong growth forecast for decade ahead

Looking ahead, the WTTC forecasts the UAE’s tourism sector will contribute nearly AED 287.8 billion to the country’s economy by 2035, representing 10.4% of GDP, while supporting more than 1 million jobs.

Across the wider Middle East, the outlook is similarly optimistic. In 2024, the region’s tourism sector contributed $341.9 billion to GDP and supported 7.3 million jobs. These figures are expected to rise to $367.3 billion and 7.7 million jobs respectively in 2025.

Dubai’s tourism growth strategy is underpinned by a steady stream of major developments and government initiatives, from new cultural attractions and entertainment precincts to luxury eco-resorts and heritage restoration projects.

Flagship initiatives such as Dubai 2040 Urban Master Plan, Dubai Reefs and Hatta Development Plan are expanding the city’s appeal far beyond its traditional urban core, while the groundbreaking Dubai Economic Agenda, D33, which aims to double the size of Dubai’s economy in the decade up to 2033, will further consolidate Dubai’s position as a leading global city for business and leisure.

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