The Gulf countries have implemented clear strategies to diversify their economies, acknowledging that hydrocarbons will eventually become depleted and alternative sources of sustainable economic growth must be sought.
The tourism and hospitality industry is among the key growth drivers that governments are promoting as a crucial economic diversification strategy, creating employment opportunities and significantly contributing to their GDP.
“By establishing appropriate procedures and legislation, robust regulatory frameworks will facilitate the industry’s effective implementation and attract substantial investments, bolstering the Gulf countries’ prominence on the global tourism landscape,” said Joe Chidiac, CEO, JC Media Group.
Already, the efforts to enhance the tourism sector are producing positive outcomes. In 2022, the UAE’s tourism industry contributed 11.9 percent to the country’s GDP, with Dubai hosting 14.3 million visitors, a 97 percent increase from 2021. Saudi Arabia’s tourism sector contribution increased to 4 percent by the end of 2022, compared to approximately 3 percent in 2019. The Kingdom aims to elevate the industry’s GDP contribution to 10 percent by 2030.Â
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Across the region, projects are emerging to promote previously undiscovered heritage tourism sites, as part of efforts to stimulate the sector’s growth. Saudi Arabia, for instance, is directing its focus toward promoting its spectacular archaeological discoveries, while the UAE offers several opportunities to explore museums that showcase its rich history and archaeological treasures.Â
The Gulf states are making significant strides in their pursuit of economic diversification, with Qatar drawing global attention by hosting the 2022 FIFA World Cup and poised to welcome visitors from around the world. Bahrain aims to attract 14.1 million tourists by 2026, while Oman and Kuwait have also initiated extensive redevelopment plans in this sector.Â
Governments in the region have invested in their tourism infrastructure, featuring luxurious hotels, mountain resorts, desert landscapes, recreational parks, and serene beaches. They are also implementing various policies to strengthen their tourism sectors, such as hosting major global events.
“With warm hospitality and exceptional services, the region is poised to become a top tourist destination,” Joe Chiciac emphasized.
“It is, therefore, not surprising that several GCC cities, including Dubai, rank high in global rankings as some of the best destinations for international travelers.”
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