The tourism arm of the UN has called the Middle East the “most important” market for the sector's performance, amid a call to increase investments in the industry globally.
The industry's growth in the region is being driven by robust investments in people and sustainability, Natalia Bayona, executive director of UN Tourism, said at the Annual Investment Meeting Congress in Abu Dhabi on Tuesday.
Tourism is also helping create frameworks that can help boost economic growth, Ms Bayona said. While the Middle East offers “cultural heritage and breathtaking landscapes, [it] also presents vibrant opportunities for tourism investments”, Ms Bayona said in a video message at the event.
“Tourism is resilient and it's a dynamic force of the global economy … the Middle East is the most important region in the world when it comes to tourism performance.”
UN Tourism released its new report at Aim Congress, which lays out four key dimensions – governance, economic, sociocultural and environmental – to serve as a comprehensive framework to achieve the goal of sustainable investment in the sector.
The report calls for a range of measures such as co-operation between stakeholders and laws to respect cultural heritage and aims to “support policymakers in steering the sector towards a more resilient, inclusive and sustainable path”.
In the Middle East, investments by regional governments into tourism have become a major asset, Ms Bayona said, noting that leaders “have assured that tourism is a state policy”.
“And thanks to the investments … we are seeing the strongest results in this region.”
The Middle East welcomed about 95 million guests last year, 32 per cent more compared to the pre-pandemic year of 2019 and 1 per cent higher than 2023, UN Tourism said in a January report – the best performer in markets tracked by the agency.
Globally, there were more than 1.4 billion international travellers last year, which is 99 per cent of pre-pandemic levels and an 11 per cent surge from 2024, resulting in receipts hitting $1.6 trillion, which is 4 per cent higher compared to 2019, it added.
“Our ambition goes beyond recovery; we aim for transformation, [which] requires robust investments … but at the end of the day, [we aim] to create economic frameworks that can help to boost economic growth and to bring together this sector,” Ms Bayona said.
Tourism is considered one of the strategic pillars in transitioning towards a new economic model, and nations in the Middle East have continued to enhance their offerings to attract more guests.
On Monday, the UAE's Economy Minister Abdulla bin Touq said that hotels in the Emirates recorded a 3 per cent annual rise in revenue to Dh45 billion ($12.3 billion) last year, reflecting a robust uplift in the country's tourism sector.
Saudi Arabia, meanwhile, has also increased its focus on tourism by opening more entertainment venues, hosting sporting events and streamlining visa processes.
These reflect the crucial role governments play in shaping the tourism investment landscape, which includes “setting [a] field of priorities, providing transparent and predictable frameworks, and creating environments that stimulate investor confidence”, said Samer Al Kharashi, director general of UN Tourism's Middle East unit.
“Moreover, policies must continuously adapt to involve market dynamics, emerging trends and shifting travel preferences. Equally important is recognising the vital role of the private sector as the main source of tourism investments,” he added.
Technology is also playing a crucial role in developing the tourism sector, reshaping everything from investments to guest experiences, on the back of artificial intelligence, smart data systems and cloud-based platforms, said Matthew Stephenson, head of investments and services at the World Economic Forum.
“Destinations that invest in digital infrastructure, data capabilities and skills development will attract not only more investors, but also higher value investments,” he said.
“The choices we make now about where to invest in, who we invest with and how we measure success will define the future of the sector … governments play a central role in creating the enabling environment that investors need [with] transparent regulations, efficient procedures, strong governance and incentives.”
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Rating: 4/5
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Hometown: Bogota, Colombia
Favourite place to relax in UAE: the desert around Al Mleiha in Sharjah or the eastern mangroves in Abu Dhabi
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