The real estate, tourism, and hospitality sector, as well as transportation sectors collectively represent a significant portion of Abu Dhabi’s non-oil GDP, accounting for around 30 per cent. In January-April 2024, the number of residential real estate sales transactions in Abu Dhabi saw an increase of 7.7 per cent year on year. This growth was primarily driven by sales of ready units, which saw a 24.9 per cent year on year increase, while off-plan sales experienced a marginal growth of 0.8 per cent year on year.
Dubai, on the other hand, maintained its position as a top international tourism hub, with hotel occupancy rates remaining at 83 per cent and the average duration of stay per visitor staying almost unchanged at 3.9 nights. However, there was a 2 per cent year on year increase in the total occupied room nights, totaling 11.2 nights. The first three months of 2024 saw an 11 per cent rise in tourist arrivals compared to the same period last year, with 5.2 million international overnight visitors welcomed by the emirate.
Zayed International Airport in Abu Dhabi welcomed over 6.8 million passengers in the first quarter of 2024, showcasing Abu Dhabi’s status as a major transportation hub. This represented a 36 per cent increase in passenger numbers compared to the first quarter of 2023. Dubai International Airport also experienced a busy quarter, recording its highest number of passengers ever at 23 million travelers passing through its facilities, indicating its significance as a global aviation hub and a major contributor to Dubai’s economy.
To further strengthen its position as a global travel and tourism hub, Dubai approved a massive AED128 billion project for a new passenger terminal at Al Maktoum International Airport. This expansion project aims to increase the size of Dubai’s main international airport fivefold, making it the largest in the world by both size and capacity, with the capability to handle up to 260 million passengers annually.
In conclusion, Abu Dhabi and Dubai continue to thrive as key players in the real estate, tourism, and hospitality sectors, as well as in transportation. The growth in sales transactions, tourist arrivals, and passenger numbers at airports highlights the robust nature of these sectors and their importance to the overall economic landscape of the UAE. With strategic investments in infrastructure and ambitious expansion plans, both emirates are poised to maintain their status as global hubs for business and leisure travel.
