Steady growth forecasted for MENA hospitality sector in 2022

Beirut is the only market in the region where occupancy is expected to decline, while Dubai, Riyadh, Makkah and Jeddah will continue to rise

According to a newly released report from Colliers, MENA’s hospitality market will benefit from a controlled and consistent approach to operations as the sector continues to build on the recovery that began in the fourth quarter of 2020.

With the exception of Beirut, Lebanon, where hotel occupancy is expected to fall by 10%, the property services company forecasts growth in 2022 for all MENA markets surveyed in its Monthly Market Forecast for December 2021.

In the UAE, Expo 2020 is expected to have a positive ongoing impact and is set to benefit from “overspill demand” when the FIFA World Cup comes to Qatar next year


Hotel occupancy in the key tourist areas of Dubai Marina and Jumeirah Beach Residence is forecast to be 80% in 2022, an 11% improvement year-on-year, while Abu Dhabi’s beach properties will see 61% occupancy, up 13% from last year.

The report also forecasted that key Saudi markets, including Riyadh, Makkah and Jeddah, will see their hotel occupancies up by 13%, 69% and 8% respectively, as early indicators suggest sustained demand for the Holy City.

In Egypt, the return of Russian tourists is expected to support hotel occupancy, particularly in Red Sea destinations. Occupancy in Cairo is set to increase by 24% to reach 71%, and Hurghada will see a 33% increase, reaching 69%.

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