04/05/2006

DUBAI - May 4 - The World Travel & Tourism Council (WTTC) released its 2004 Travel & Tourism forecasts for the Middle East countries at the Arabian Travel Mart in Dubai, UAE.

Releasing forecasts prepared on its behalf by Oxford Economic Forecasting, which follow the United Nations standard for Tourism Satellite Accounting, the WTTC reported that the Travel & Tourism recovery from 9/11, the war in Iraq, SARS and the down-turned economy is now well underway and the overall outlook for 2004 and beyond is for robust growth.

Regionally in the Middle East for 2004, WTTC is forecasting:

  • Demand: Encompassing all components of Travel & Tourism consumption, investment, government spending and exports to grow 6.8% (real terms) and total $108.5 billion in 2004. The ten-year annualized growth (2005-2014) forecast is 3.9% per annum illustrating the outlook for robust market growth in 2004.
  • Visitor Exports: A number of Middle East Travel & Tourism destinations are expected to benefit from the stronger world economy, which is expected to spur nearly $20.5 billion in total Visitor Exports within the Middle East, a gain of 13.1% on 2003 results. This level represents 6.5% of total global exports.
  • GDP: Travel & Tourism's contribution to the Middle East regional economy is illustrated by the direct industry impact of 2.5% of total GDP and the combined direct and indirect impact of the Travel & Tourism economy expected to total 9.0% in 2004.
  • Employment: The Middle East Travel & Tourism industry is expected to produce 61,000 new jobs in 2004 over it's 2003 level to total 1.234 million jobs or 3.0% of total regional employment. The broader perspective of the Travel & Tourism economy (direct and indirect) is expected to create nearly 170,000 new jobs in 2004 for the regional economy for a total of 3.422 million jobs dependent on Travel & Tourism or 8.2% of total employment.

WTTC President, Jean-Claude Baumgarten said, "The Middle East Travel & Tourism industry is poised for robust growth in 2004. The stage has been set for Travel & Tourism Demand to forge ahead to extraordinary levels of growth following three years of economic uncertainty and reluctance by consumers to travel. I am cautiously optimistic that we have weathered the perfect storm of terrorism, war and health concerns that created a disproportionate toll of concern and impact on our consumers, the industry and our economy."

Speaking about the state of the industry, Mr. Baumgarten continued, "We've learned a number of lessons these past three years about Travel & Tourism's sensitivity to external events. Perhaps one of the biggest lessons is that the economic impact of the industry goes well beyond the traditional notion of airlines, hotels, car rental agencies and tour operators, but reaches well into the fabric of our economies. When the front line of Travel & Tourism is hit by a fall in Travel & Tourism demand, our entire economy suffers. And although the industry can and does do a great deal to help alleviate the concerns of our customers and get them moving again, government officials must step in and become partners with the industry to strengthen its position and resolve."

At the press event, the WTTC released its 2004 List of Middle East Travel & Tourism economies. This year Qatar, new to the WTTC list of economies covered in the research, has placed first in the regional list as the fastest growing Travel & Tourism economy in the Middle East. Yemen and Oman placed second and third respectively.

Middle East
Travel & Tourism Demand, 2005-2014
(% Annualized Real Growth)
1 Qatar 7.3
2 Yemen 5.9
3 Oman 5.5
4 Cyprus 4.6
5 Jordan 4.4
6 Saudi Arabia 4.1
7 Israel 3.8
8 Iran 3.7
9 Syria 3.5
10 Kuwait 3.4
11 Bahrain 3.3
12 Lebanon 2.8
13 United Arab Emirates 2.5

Richard Miller, Executive Vice President of the World Travel & Tourism Council presented the research to a special briefing of regional industry leaders at the Arabian Travel Mart. Speaking at the briefing Mr. Miller reported said, "We have just concluded our 4th Global Summit for Travel & Tourism in Doha, Qatar and have witnessed firsthand the master plan that has been announced by Qatar authorities to make Travel & Tourism a strategic priority. The number one growth ranking for Qatar in the WTTC TSA research list is right on target and well deserved. It illustrates the substantial investment that Qatar has planned for this industry."

For more information, please contact us at enquiries@wttc.org.