Guest nights in Dubai fell 16% and revenues dropped 15% because of the impact of the global economic recession. The drop shows that the tourism industry in Dubai slowed during the first quarter. Dubai’s Department of Tourism and Commerce Marketing (DTCM) data showed the number of hotel guest nights dropped to 3.87 million during the first three months of 2009. However the DTCM figures showed total number of guests, not including hotel apartments, increased 3.7 million during the same period to 1.62 million.
A major shopping festival in the first quarter of the year usually attracts a higher number of tourists to Dubai, but that didn’t happen this year. HSBC economist Simon Williams said the drop off is not surprising because “Three of Dubai’s key tourist markets – the UK, the euro zone, and Russia – are in recession. “ Hotels in Dubai had to reduce rates during the first quarter to stay competitive and revenues fell to Dh AED 3.14 billion.
