The rapid expansion of paid parking in Dubai is set to continue as the city grows, with operator Parkin insisting charges are essential to prevent congestion and ensure there are enough spaces.
Parkin operates 268,300 paid parking spaces across Dubai, up more than a quarter from 211,500 a year ago as new areas have been brought under its management.
The expansion has prompted frustration for some residents as previously free spaces have become subject to charges at a time when households face wider cost-of-living pressures.
But Mohamed Al Ali, chief executive of Parkin, told The National that regulated parking was critical infrastructure for a rapidly expanding city.
“Parking is reaching every single person here,” he said. “We can see continued urban expansion, changing mobility patterns, and the growing expectations for smarter and more seamless services.”
Drivers should expect the network to grow further. “Parking is a service, as simple as that. This is what you are paying for, that service in an advanced city,” he added. “As the city expands, our parking spaces will expand with it.”
He believes that without paid parking, people will abuse the system. He said some locations that do not have parking regulations were exploited, with people leaving their cars long term and vendors operating out of pickup trucks.
“Imagine you reach your destination and there is no monitoring framework. Can you imagine how it will look like, how long you need to find an available lot, the quality of the spaces, or the infrastructure?”
Khattab Abu Qaoud, chief financial officer of Parkin, told The National the difference between controlled and uncontrolled zones was stark.
“You need to regulate traffic so users can find spaces,” he said. “Dubai's traffic is quite heavily growing. The city is growing. And if you compare controlled zones to uncontrolled zones, you'll notice that the area develops in the controlled zone. It is better for everyone involved.”
Comparing prices
While Parkin’s roll-out of paid parking has drawn criticism, Mr Abu Qaoud believes it offers ease and value for customers.
“It has the highest quality compared to the global cities and it is the cheapest across the globe, or at least the most cosmopolitan cities,” he said.
Figures show Dubai is cheaper than New York and London, although the infrastructure of the cities is vastly different. Parking ranges from $1.50 to $5.50 (Dh5-Dh20) in New York's downtown Manhattan area for the first hour. In London, on-street parking can range from £5 to £10 (Dh25-Dh50) per hour. In Riyadh, public parking costs 3.45 Saudi riyals (Dh3.38) per hour.
“It is on the more affordable side because we cater for the whole city and for those coming outside of Dubai,” Mr Abu Qaoud said. “Traffic needs to be managed. You need to also manage the commercial areas that want to keep on growing. Parking is one of the ways to help with that growth. It adds to the economy.”
Profits up
Parkin, which uses dynamic pricing, saw its profits rise in the second quarter, even with the Iran war affecting use.
Total revenue rose 14 per cent to Dh364.1 million in the second quarter, compared with the same period in 2025.
“Once you enhance people's compliance, of course that will increase our revenues. It's not like we are focusing only on the enforcement side. From our side we try to provide whatever should be easy for them.”
Enforcement revenue, money from fines paid, was up 11 per cent this quarter to Dh107.5 million (about US$29.3 million), making up almost 30 per cent of total revenue.
Mr Abu Qaoud said Parkin was focused on encouraging users to use the app for convenience and to take advantage of its auto-renewal features instead of using text messages.
“It's just a matter of changing behaviour,” he said. “We're raising awareness and providing technologies for ease of payment and ease of use.”
Looking to future
Parkin’s expansion has been rapid. This year, it anticipated expanding by up to 7,500 spaces, but it soared past that number, adding 9,900 spaces in the first half alone.
The company plans to increase the number of street cameras to 5,000, which will further automate parking. It is also working on providing parking technology for other markets.
Its recent expansion into Sharjah and Abu Dhabi marks a new chapter, as the company looks to continue growing operations in other emirates and other countries in the region.
“We have discussions even internationally with a few countries. It's an early stage, but we are studying the opportunities,” he said.
