The Population Effect On Travel And Tourism In The UAE
1. The Population Effect
The steady rise in expatriate workers moving to the UAE, the importance of family and religious travel, and a comparatively robust natural population growth are contributing to a rise in inter-regional travel within the GCC. The report states: “Pivotal among these trends are a near 30% increase in population, a huge swath of under-15 population, and a desire for large families.”
The total amount of spend by GCC member visitors within the region is expected to jump almost fourfold in the next 15 years, from $55 billion today to $216 million in 2030.
Furthermore, the UAE has yet to fully tap into the growing independent, middle-income and “coming-of-age” segments, both within the GCC and internationally. For example, for the fast-growing base of young Russian, Chinese and Indian leisure and business travelers, Dubai is among their highest in-demand destinations due to the city’s close proximity, modernity, beaches and extensive leisure activities.
“By 2030, China’s middle class will comprise 70% of its total population, while the comparable figure for India will be 50%,” quotes the report. “The impact on the GCC travel and tourism industry will be huge.”
2. The ‘Beyond Oil’ Effect
In economics, the “Dutch Disease” refers to countries that are over-reliant on the exportation of natural resources, while under-developing their manufacturing and services sectors. The UAE’s diversification into aviation, tourism, trade, financial services and other
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