Positive overall gains were recorded in the hotel sector across the Middle East and Africa (MEA) during the final calendar month of 2013.
The region reported a 3% year on year increase in occupancy to 59.5%, a 4.2% increase in average daily rate (ADR) to US$180.65 and a 7.3% increase in revenue per available room (RevPAR) to US$107.44, according to the December results from STR Global.
The UAE led the way with a 2.9% increase in occupancy to 76.3%, a 4.9% rise in ADR to US$234, and a 7.8% increase in RevPAR to USD179. STR’s area director of Middle East & Africa for STR Global, Philip Wooller, described the UAE as the region’s “Jewel in the Crown” and was particularly upbeat about the prospects for Dubai which aims to double visitor numbers from 10 million to 20 million in the seven years leading to the World Expo 2020.
“It will be a fascinating journey for Dubai; announcements will soon be released for all the new projects in the run up to the event,” Wooller said. “The numbers alone suggest the hotel supply will need to nearly double from the existing 68,000 rooms to 120,000 rooms.”
Meanwhile the 2022 World Cup Host, Qatar, recorded negative results in December, posting the largest decrease in ADR and RevPAR anywhere in the region. Doha hotels reported a 22.9% drop in ADR to US$182.65 and a 16.9% in RevPAR to US$119.47.
Another tourism giant at the wrong end of the results table was Egypt. Despite some signs of improvement in the traditional tourist areas of the Red Sea Resorts, the country reported 15.8% decline in occupancy and a 10.6% decline in RevPAR as political unrest continued to plague the nation. Similarly, the hospitality sector in the Levant region – Lebanon, Jordan, Syria, Israel and Palestine – continues to struggle for the same reasons.
Commenting on these security issues, Wooller said: “It has become increasingly difficult to talk about the Middle East as one region when reviewing the performance of the hotel industry.”
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