Strong tourism activity and rising visitor spending continued to drive economic growth in the UAE in 2025, according to the Emirates News Agency (WAM).
Tourism activity remained robust in the first half of the year, with hotels welcoming more than 16 million guests. By mid-2025, the country had 1,243 hotel establishments offering over 216,000 rooms, while 16 new hotels entered the market during 2024 to help meet rising demand.
Passenger traffic through the UAE’s airports also increased, with approximately 102.9 million passengers handled in the first eight months of 2025, representing a 5.3 per cent rise compared with the same period in 2024.
Visitor spending continued to climb. International tourists spent AED217.3 billion in 2024, an increase of 5.8 per cent year on year and more than 30 per cent higher than in 2019. Domestic tourism spending reached AED57.6 billion, up 2.4 per cent annually, highlighting solid demand from both overseas and local travellers.
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 international investment through a competitive business environment. The country’s appeal is supported by its year-round tourism offering, modern infrastructure and a diverse range of attractions.
Tourism fuels UAE’s economic momentum
The UAE benefits from a combination of natural, social and legislative advantages, including its strategic location linking East and West, varied landscapes spanning deserts, mountains and beaches, political and economic stability, and a society rooted in tolerance and coexistence. These strengths have helped secure leading positions in global tourism rankings.
As a result, the UAE ranks among the world’s top seven destinations for international tourist spending and leads several global competitiveness indicators related to travel and aviation, particularly the quality of air transport infrastructure.
Investment in the sector has kept pace with demand. Tourism investments reached AED28.8 billion in 2023, increased to AED32.2 billion in 2024 and are projected to reach AED35.2 billion in 2025, reflecting strong investor confidence.
Government initiatives such as the ‘World’s Coolest Winter’ campaign, launched under the slogan ‘Our Winter is Entrepreneurial’, highlight incentives designed to attract investors and support tourism entrepreneurs. These include tax exemptions, 100 per cent foreign ownership, no income tax, full profit repatriation and access to more than 40 free zones.
Further 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 ranked first regionally and 18th globally in the World Economic Forum’s 2024 Travel & Tourism Development Index, underlining tourism’s expanding role in national growth and diversification.
