TravTalk Middle East Online Magazine
The UAE has strengthened its position as a global hub for cultural, entertainment, and business events. From extravagant festivals like the Dubai Shopping Festival to world-renowned events like Expo 2020, the region has strategically leveraged its position to attract millions of visitors annually. Emirates like Dubai and Abu Dhabi have transformed into bustling hubs where tradition meets modernity.
The Dubai World Cup, Abu Dhabi Film Festival, GITEX Global, and Dubai Food Festival are just a few examples that draw visitors from across the globe to the UAE. The country’s tourism sector experienced remarkable growth in 2024, which aligns with the objectives of UAE Tourism Strategy 2031.
Reports indicate that Abu Dhabi, Dubai, and Sharjah airports collectively handled over 103 million passengers by September 2024.
The UAE government has prioritised investments in infrastructure, airports, and hotels, creating a seamless experience for international visitors. The recently announced expansion of Al Maktoum Airport, which will eventually become the world’s largest by capacity, is one example of this sustained investment. The synergy between the public and private sectors has enabled the country to host large-scale events that cater to diverse demographics and interests. The festivals and events play a critical role in the UAE’s economy. For instance, the Dubai Shopping Festival (DSF) is not just a retail extravaganza but a significant contributor to the country’s GDP. According to the Dubai Festivals and Retail Establishment (DFRE), DSF attracts millions of visitors annually, generating billions in retail sales and boosting the hospitality sector. The hospitality industry, in particular, experiences a surge during these events. Hotels record high occupancy rates, while restaurants and recreational centres witness increased footfall. The impact extends beyond tourism, generating economic linkages across the economy, including in the transportation, retail, and healthcare sectors, positioning festivals as a powerful economic catalyst.
According to the World Travel and Tourism Council (WTTC), the tourism sector’s contribution to the UAE’s national economy is projected to reach AED 236 billion in 2024, accounting for 12 per cent of the country’s GDP. The remarkable performance of the hospitality sector further highlights this growth. Revenue from hotel establishments rose to AED 33.5 billion in the first nine months of 2024, reflecting a 4 per cent increase compared to the same period in 2023. The UAE’s average hotel occupancy rate climbed to 77.8 per cent, one of the highest globally, while hotel nights surged to approximately 75.5 million between January and September 2024, marking an 8 per cent year-on-year growth. The increasing popularity of high-profile festivals, world-class events, and cultural celebrations across the seven emirates has attracted millions of visitors, creating a ripple effect that benefits multiple industries.
Festivals in the UAE are not just about economic gains; they also serve as platforms for cultural preservation and exchange. Events like the Sharjah International Book Fair and Al Dhafra Camel Festival celebrate Emirati heritage while inviting global audiences to experience the region’s rich traditions.
Dr Ross Curran
Associate Professor, Edinburgh Business
School at Heriot-Watt University Dubai
