UAE hotel prices jumped 10.6 per cent in April

Average daily hotel rates in the United Arab Emirates shot up 10.6 per cent to US$283.65 (Dh1,041) in April, according to global consulting firm, STR Global. Both Abu Dhabi and Dubai experience double digit growth in revenue per available room. Abu Dhabi shot up 17.2 per cent to US$123.30 and Dubai by 12.8 per cent to US$248.88. Occupancy rate in the UAE grew by 4.2 per cent to 82.2 per cent. In 2013, 2.8 million visitors checked into hotels in Abu Dhabi, representing an increase of 18 per cent on the previous year's figure, according to Abu Dhabi Tourism & Culture Authority (TCA Abu Dhabi). In Dubai, more than 11 million people stayed in hotels in 2013, which was up 10.6 per cent on 2012, according to Dubai's Department of Tourism and Commerce Marketing (DTCM). Dubai is targeting 20 million visitors to the emirate each year by 2020. "Saudi Arabia and UAE are emerging as the stars in the region, as investors are showing increased interest in both. There is a lot of interest and optimism in the region,” stated Elizabeth Winkle, managing director of STR Global. Jeddah in Saudi Arabia recorded a 10.4 per cent jump in average daily hotel rate to US$248.88. Saudi Arabia's occupancy rate in April rose 6.5 per cent to 74.3 per cent. Regionally, average daily hotel rates in the Middle East and Africa increased 7.2 per cent to US$178.93 in April, according to the data compiled by STR Global. The Middle East and Africa region was among three out of four regions where hotel rates increased in April. The Asia Pacific region, however, is slowing. Revenue per available room jumped 9.4 per cent to US$119.89, while occupancy rate increased 2 per cent to 67 per cent in the Middle East and Africa region. "The Middle East has consistently been performing well in the recent months, with the exception of the summer months, which are impacted by Ramadan,” stated Winkle. Adding that, "the sub region has one of the highest pipelines with 40-percent room growth of existing supply. The Middle East recorded a 4.9 per cent increase in its average daily hotel rate to US$218.44 and a 5 per cent increase occupancy rate to 76 per cent. Revenue per available room in the Middle East grew 10.7 per cent to US$166.06. Egypt, where the tourism industry has taken a dive since Arab Spring in 2011, recorded a 13.1 per cent drop in occupancy to 51.9 per cent in April. Source: Gulf News