Qatar's hospitality market is expected to grow at a compound annual growth rate (CAGR) of 12.1% to $1.4bn by 2022, an Alpen Capital study has said.
The country's hotel sector is dominated (70%) by 4-star and 5-star hotels and international tourist visits are expected to grow at a five-year CAGR of 5% to 2.9mn, whereas the hotel supply is expected to grow at a five-year CAGR of 12.8% to 46,000 hotel rooms, it said in a report.
The average daily rate (ADR) is expected to grow at a five-year CAGR of 0.5% to $164 till 2022, whereas the revenue per available room is expected to decline at a five-year CAGR of 0.4% to $91 by 2022.
Qatar is considering the ongoing trade and diplomatic embargo as an opportunity to become self-reliant, and also preparing to host FIFA World Cup 2022. It is required to have 60,000 hotel rooms by 2022 as per the FIFA guidelines. By 2021, Qatar is scheduled to open 21 new hotels consisting mainly five star and four star hotels.
Qatar National Tourism Sector Strategy 2030, targets 5.6mn international tourist arrivals by 2023. To attract tourists, it has introduced new regulatory measures such as the free-of-cost 96-hour transit visa stopover package.
In 2017, Qatar launched the 'next chapter' of its National Tourism Strategy 2030. The 'Next Chapter' charts a clear path of action from product and service development that will define and outline Qatar tourism experience.
Qatar is expected to witness highest revenue growth rate during the forecast period on the back of significant investment for the upcoming mega event – FIFA World Cup 2022.
The report said Qatar’s share in the Gulf Co-operation Council hospitality sector is expected to increase by 0.8ppt driven by major events such as FIFA World Cup 2022.
Alpen Capital found that Qatar has the highest share in business spending in the GCC region on account of country’s efforts to promote the country as a leading destination for business meetings, events and exhibitions. Qatar’s business events segment contributed 5.3% to the country’s non-hydrocarbons gross domestic product (GDP) in 2016.
Qatar saw an increase in travel and tourism spending by 4.41% to $14.2bn in 2017. It also witnessed an increase in hotel supply in 2017. The hotel supply according to DTZ reached to 25,000 in the fourth quarter of 2017.
In 2018, Qatar is scheduled for the launch of a luxurious shopping destination, Place Vendome. It is inspired by high end shopping streets in Paris and will stretch over 1mn square metre.
LEAVE A COMMENT Your email address will not be published. Required fields are marked*
QCB reserves 'remains high'; economic diversification to sustain robust growth: EIU
QIIB shareholders approve foreign ownership limit increase up to 49%
Huawei Mate X gets world’s first 5G CE certificate awarded by TUV Rheinland
Oman oil minister excited to be part of Sri Lanka oil refinery project
Dana Al-Sadd occupancy rate exceeds 35% in 1 month
Turkey finance minister says economy facing social media manipulation
Economic overhaul at risk as Temer arrest roils Brazil politics
Italy, China sign new ‘Silk Road’ protocol
France is said to stop Iran’s Mahan Air flights under US pressure