By Santhosh V Perumal
Business Reporter



Doha’s hospitality industry portrayed a rosy picture with its hotels’ rooms yield increasing more than 4% during the first nine months of this year despite fall in occupancy, according to Ernst and Young (EY).
Doha hotels’ rooms yield increased to $167 year-to-date (ytd) in September on 5.5% increase in average room rate to $242; even as occupancy fell 1% to 68%, EY said in its Middle East Hotel Benchmark Survey.
However, in September alone, Doha hotels’ rooms’ yield plunged 8.1% to $153 owing to a 7% plunge in occupancy to 67% but average room rate was up 1.3% to $227.
Elsewhere in the Gulf Cooperation Council; EY found that hotels in Madina saw its hotel rooms’ yield soar 26.3% to $175 on the back of 2% rise in occupancy to 77% and despite 22.9% rise in average room rate to $226.
Makkah hotels’ rooms’ yield saw 22.5% increase to $141 in spite of a 3% fall in occupancy to 53% as average room rates increased 30.6% to $264.
Jeddah witnessed 10.5% expansion in hotel rooms’ yield to $228 owing to a 1% jump in occupancy to 78% and 7.8% in average room rate to $288.
However, Riyadh witnessed 6.2% plunge in hotel rooms’ yield to $134 as there was 6.3% decline in the average room rate to $212; whereas occupancy was flat at 63%.
In the UAE, hotels in Ras Al Khaimah (RAK) witnessed increase in yields; whereas those in Dubai and Abu Dhabi recorded declines year-to-date in September this year.
Overall, RAK hotels witnessed 7% increase in hotel rooms’ yield to $87 as occupancy rose 0.5% to 61.1% and average room rate by 7% to $142.
RAK City hotels’ rooms’ yield grew 4% to $42 on the back of 1.8% jump in occupancy to 60.5%; even as average room rate was unchanged at $70.
RAK Beach hotels’ rooms’ yield was up 2% to $99 mainly on 3% increase in average room rate to $161 and a marginal 0.2% in occupancy to 61.3%.
However, overall, Dubai hotels saw 6% slippage in rooms’ yield to $193 as there was 6.7% decline in average room rate to $243; although occupancy was up 1% to 79%.
Dubai City hotels’ rooms’ yield saw 9.8% contraction to $142 with average room rate plummeting 9.6% to $179; while occupancy was flat at 79%.
Dubai beach properties saw 2.3% fall in rooms’ yield to $280 on 4.7% decline in average room rate to $352 and despite 2% jump in occupancy to 79%.
In the case of Abu Dhabi, hotel room’ yield was down 2.3% to $132 with occupancy falling 1% to 76% and average room rate by 0.8% to $173.
Manama (Bahrain) witnessed 10.6% shrinkage in hotel rooms’ yield to $94 on the back of 2% fall in occupancy to 47% and 7.2% in average room rate to $197 year-to-date in September.
Kuwait also saw its hotel rooms’ yield drop 6.5% to $128 on the back of 1% decline in occupancy to 48% and 3.8% in average room rate to $265. Muscat’s hotel rooms’ yield plunged 7.4% to $149 owing to 3% fall in occupancy to 64% and 2.6% in average room rate to $232.

US Chamber issues inaugural report
on business
sentiment in Qatar

The US Chamber of Commerce, in collaboration with the American Chamber of Commerce in Qatar (AmCham Qatar) and Ernst & Young, yesterday released its inaugural report providing a barometer of US business sentiment in Qatar.
“US Business Outlook in Qatar: 2015 Report” includes a series of goal recommendations for the bilateral relationship between the US and Qatar, including agreeing on a list of economic issues in the near term that could immediately and favourably impact bilateral economic ties and identifying concrete steps that both sides can take over the next six months to bolster trade and investment.
The issuance of the report coincides with today’s US-Qatar Economic & Commercial Dialogue, which the US Chamber and its partners have advocated for as a platform to ensure consistent and sustained engagement by our governments on key issues affecting bilateral trade and investment.
“The chamber applauds the efforts of both governments in establishing this Dialogue,” said Khush Choksy, Vice President (Turkey & Middle East Affairs) at the US Chamber.
“We believe public and private sector leaders from both nations will utilise the report to understand the opportunities and issues for American businesses in the dynamic and growing Qatari market. The report underscores the positive experience and outlook US companies have for Qatar, and there is a real opportunity to take this economic relationship to new heights.”
The report was developed through a survey of senior business executives representing US companies doing business in Qatar as well as focused interviews with a few select business leaders.

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