Sunday, January 23, 2022

Travel, Tourism & Hospitality


UAE outpaces recovery in global travel market: CBRE
November 2021 783

The UAE has outpaced the tepid recovery in the global travel market, said leading commercial real estate services and investment firm CBRE in its latest UAE Hospitality Market Review.

On a global level, partly due to seasonality and more recently due to the re-enactment of lockdown measures in recent weeks, there has been a recovery in the recovery in the number of flights slow in November 2021.

In October, the number of daily flights for the month reached an average of almost 95,000, in the month-to-date to 21st November, this has fallen to around 90,500. In the year-to-date to November 21st, compared to the same period in 2019, the average number of daily flights is 28.8% lower. Whilst, this is a marked improvement from 2020, where the average number of daily flights sat 42.2% below the comparative 2019 figure, it is clear that the global recovery in travel still has some way to go.

In contrast, Dubai International Airport, has seen a sustained recovery over recent months. In the month-to-date to 21st  November compared to the same period a year earlier, Dubai’s percentage increase in the average number of daily flights, stands almost three times higher than the 33.7% increase seen globally. Whilst Dubai’s total flight and passenger number still sit a material level below pre-pandemic levels, Dubai International Airport is expected to return to full operational capacity in the coming weeks and return to pre-pandemic levels within a year.

In October 2021, with the commencement of EXPO 2020 and increasing levels of international visitation, we have seen a significant uplift in KPIs in the UAE. The average occupancy rate across the UAE in October registered at 78.8%, the highest level recorded in October since October 2015. As at October 2021, Dubai recorded the highest occupancy rate of 80.7%. In the year-to-date to October 2021, Ajman has recorded a 77.9% occupancy rate, the highest of all the emirates.

Year-on-year in the year to date to October 2021,  Dubai, Fujairah and Ajman have recorded ADR increases of 14.9%, 13.8% and 3.9% respectively, overall, the UAE has seen its ADR increase by 13.6%. During this period Abu Dhabi and Sharjah were the only markets to see ADRs decline, with rates falling by 1.5% and 0.5% respectively.

RevPARs across the UAE have risen by 44.9% year-on-year in the year to date to October 2021. Over this period Dubai, Ajman and Sharjah have seen their respective RevPARs increase by 57.1%, 51.0% and 37.3%. Abu Dhabi’s RevPAR increased by a more muted 5.9%, not surprising given Abu Dhabi’s longer lasting pandemic restrictions.

Taimur Khan, Head of Research – MENA at CBRE in Dubai, said: “With growing international visitation, an increasing number global locations re-entering lockdowns and a number of planned events at EXPO 2020, we envisage both international and domestic leisure tourism, combined with returning corporate tourism, will continue to underpin strong performance levels across the UAE.” – TradeArabia News Service








Digital Edition







©Copyright Al Hilal Group 2017. Designed and Developed by Northstar Technologies.