GCC becomes a top tourist destination
28 March 2024
This report on hotel investment also includes: Region heads for hotel boom
The GCC’s pulling power as a tourist destination was reinforced in early March when Dubai-based developer Emaar announced that Dubai Mall was the most visited place on earth in 2023, with 105 million visitors – a jump of over 19% from the 88 million recorded in 2022.
The developer also revealed that the performance has continued into 2024, with 20 million people visiting the mall during the first two months of this year.
Dubai Mall’s performance is just one facet of Dubai’s resurgent tourism industry. After a difficult year in 2020, the emirate has bounced back as a tourism destination and is now welcoming more visitors than it did before the Covid-19 pandemic.
In 2023, Dubai welcomed more tourists than ever before. There were 17.15 million international overnight visitors, according to data published by the emirate’s Department of Economy & Tourism. The total represents 19.4% growth when compared to the 14.36 million tourist arrivals recorded in 2022.
The 2023 total also exceeded the previous record of 16.73 million visitors that was registered in 2019.
The performance has continued into 2024. Dubai welcomed 1.77 million international tourists in January 2024, an increase of 21% compared to the 1.47 million visitors recorded in the same period of 2023.
Dubai Mall was the most visited place on earth in 2023, with 105 million visitors
Saudi tourism growth
While full-year data for most other GCC markets has yet to be reported, one other GCC country that has recorded strong numbers for 2023 is Saudi Arabia.
The kingdom welcomed more than 100 million tourists last year, achieving its 2030 goal seven years early. The 2023 total comprised 77 million domestic and 27 million international visitors, generating revenues of $27bn for the kingdom.
Saudi tourism numbers cross 100 million
Riyadh wants more growth and aims to emulate Dubai by developing ambitious projects that are designed to be global attractions in the future. The target now is to increase tourist numbers to the kingdom to 150 million by the year 2030, with a split of 80 million domestic and 70 million international tourists.
Saudi Arabia welcomed more than 100 million tourists last year, achieving its 2030 goal seven years early
Regional travel
Digging deeper into the data for Dubai reveals an interesting trend. Western Europe ranked first in terms of source markets for international tourists with a share of over 18%, or 327,000 visitors. This was closely followed by the GCC countries with 311,000 visitors, representing nearly 18%.
Intra-GCC tourism has been identified by policy makers as a key driver for future growth in the region. The logic is simple: the six-country block is home to 60 million people with many wealthy frequent travellers.
The importance of GCC travellers is evidenced by statistics from GlobalData, which show that Saudi Arabia was the largest source market for travellers visiting the six GCC states in 2023, with a total of 6.3 million travellers.
Oman and Kuwait were also in the top 10, accounting for 2.3 million travellers each.
The GCC is also promoting travel within the region by implementing a unified tourist visa for the six countries. The concept was discussed, along with the Gulf Tourism Strategy, at the eighth meeting of GCC tourism ministers in Doha earlier this year.
The GCC tourist visa is expected to significantly improve the Gulf states’ standing as a tourist destination by making travel within the region easier for visitors from outside.
The visa, which is expected to operate in a similar way to the EU’s Schengen Visa, will allow tourists to visit GCC countries on a single visa.
The move to make travel within the region more frictionless should enhance the performance of the GCC’s tourism sector in the future.
Register for MEED's guest program now to access this article.
Exclusive from Meed
-
-
-
Contractor wins Emaar Oasis The Address villas deal28 July 2026
-
Kuwait signs $16bn oil pipeline infrastructure deal27 July 2026
-
Consortiums submit bids for Shagaya zone two plant27 July 2026
All of this is only 1% of what MEED.com has to offer
Subscribe now and unlock all the 153,671 articles on MEED.com
- All the latest news, data, and market intelligence across MENA at your fingerprints
- First-hand updates and inside information on projects, clients and competitors that matter to you
- 20 years' archive of information, data, and news for you to access at your convenience
- Strategize to succeed and minimise risks with timely analysis of current and future market trends
Related Articles
-
Kuwait extends deadlines for power infrastructure packages
28 July 2026
Kuwait’s Public Authority for Housing Welfare (PAHW) has extended the bid submission deadline for two tenders covering power transmission works at the South Saad Al-Abdullah residential development.
The first tender covers the supply, installation and maintenance of 10 main 132/11kV transformer substations for the third phase of the development.
The bid deadline has been extended to 19 August. The original deadline was 5 August.
The second tender covers the supply, installation and maintenance of 10 main 132/11kV transformer substations for the fourth phase of the project.
The bid deadline for this project has also been moved to 19 August.
Both projects were initially tendered in May. As reported by MEED, PAHW previously issued addendums for both substation tenders, revising the qualification requirements for bidders.
According to the revised requirements, contractors must be approved by Kuwait’s Ministry of Electricity, Water & Renewable Energy and have experience supplying and installing at least 10 132kV substations in Kuwait.
The addendums also introduced requirements related to transformer and gas-insulated switchgear manufacturing approvals, as well as operational performance records for installed equipment
Sabah Al-Ahmad residential city
Meanwhile, bids were submitted on 16 July for two 132kV underground cable tenders for the South Sabah Al-Ahmad residential development.
PAHW had tendered the contracts in May.
The first cable tender covers the supply, extension and maintenance of 132kV underground cables feeding eight main transformer substations serving the N1, N6 and N11 districts in the project’s fourth phase.
According to sources, Egytech Cables, a subsidiary of Egypt’s Elsewedy Electric, was the lowest bidder with an offer of $42.37m.
The other bidders include:
- TBEA Shandong Luneng Taishan Cable (China, $44.06m)
- Riyadh Cables (Saudi Arabia, $44.57m)
- The Contractor General Trading & Contracting (Kuwait, $46.26)
The second cable tender covers the supply, extension and maintenance of 132kV underground cables linked to substations serving the N5, N6, N8 and N10 districts in the project’s third phase.
Egytech Cables submitted the lowest offer of $39.95m. TBEA Shandong Luneng Taishan Cable submitted a bid of $41.89m along with Riyadh Cables ($42.05m) and The Contractor General Trading & Contracting ($44.97m).
https://image.digitalinsightresearch.in/uploads/NewsArticle/17786669/main.jpg -
Ashghal tenders northern Smaisma infrastructure consultancy
28 July 2026
Qatar’s Public Works Authority (Ashghal) has issued a tender for consultancy services related to infrastructure development in the northern Smaisma area.
The tender was issued on 19 July, with a bid submission deadline of 8 September.
The scope covers construction supervision consultancy services for package seven (A and B).
According to local media reports, the scope of package seven A includes the airstrip road, the coastal road and connections to the existing Al-Khor Expressway, spanning an area of about 18.5 kilometres.
Ashghal floated the main contract tender for this package in March, as MEED reported.
The contract duration is four years from the start of construction.
Package seven B includes foul sewer infrastructure, drainage networks and road development works spanning more than 1.3km.
The latest tender follows Ashghal’s announcement of contract awards for 12 new projects, with a total value exceeding QR4.5bn ($1.2bn).
According to a notice published on its website, these include six building projects, most notably the redevelopment of Hamad General Hospital, with a contract value of about QR1.1bn ($301m).
Other projects awarded include the construction of a post office building in Al-Thumama; renovation works at the Qatar Racing & Equestrian Club and the Qatar Equestrian Federation; and the implementation of Phase 4 of the Al-Uqda Equestrian Complex development.
In the roads and infrastructure sector, four projects have been awarded, led by packages one and two of the road and infrastructure development works in Izghawa and Al-Thumaid.
The awards also include a landscaping project and an air-conditioned walkway at Qatar University, as part of broader public-facilities improvement initiatives.
UK analytics firm GlobalData forecasts that Qatar’s construction industry will expand by 4.3% in 2026, supported by investments in renewable energy and transportation infrastructure.
Meanwhile, the Planning & Statistics Authority reports that Qatar’s construction value-added grew by 6.6% year on year in the first half of 2025.
GlobalData also expects the industry to grow at an average annual rate of 4.6% in 2027-29, supported by investment in construction, energy and infrastructure projects.
https://image.digitalinsightresearch.in/uploads/NewsArticle/17791590/main.gif -
Contractor wins Emaar Oasis The Address villas deal
28 July 2026
Dubai-based Dutco Construction has won a contract to build the third phase of Emaar’s Address Villas Tierra at The Oasis development.
The contract was awarded by Dubai-based real estate developer Emaar Properties.
The scope comprises the construction of 199 Address-branded four-, five- and six-bedroom villas.
Local firm Mirage is the project consultant. Barajeel Engineering Consultants is the architect of record.
Site preparatory works are under way, and the project is slated for completion in 2028.
Dutco is already active at The Oasis. In April last year, Emaar Properties appointed Dutco Construction for the main works on the Mirage package of The Oasis development.
The Mirage package involves the construction of about 202 residential villas and is expected to be completed by the end of 2027.
Local firm X Architects is the project consultant, and Kristina Zanic is the sub-consultant.
Emaar announced The Oasis project in June 2023. The estimated $20bn development will comprise 7,000 residential units, including mansions and villas.
The overall development will cover more than 9.4 million square metres. The developer has said that more than 25% of the land will be dedicated to lakes, canals, parks, jogging tracks, green spaces and other amenities.
https://image.digitalinsightresearch.in/uploads/NewsArticle/17791774/main.png -
Kuwait signs $16bn oil pipeline infrastructure deal
27 July 2026
Register for MEED’s 14-day trial access
Kuwait Oil Company (KOC) has signed a $16bn infrastructure agreement with a consortium comprising Blackstone, Brookfield and KKR to establish a joint venture covering the country’s domestic and export crude oil pipeline network.
Structured as a 20.5-year lease-and-leaseback transaction, the deal covers all 13 of KOC’s crude oil pipelines, spanning about 320 kilometres.
Known as Project Peregrine, the transaction is set to become Kuwait’s largest energy infrastructure partnership and the largest foreign direct investment in the country’s history.
Under the agreement, KOC will retain a 51% ownership stake in the newly formed joint venture, while Blackstone, Brookfield and KKR will collectively own the remaining 49%, with each investor holding an equal share. KOC will maintain full ownership, operation and maintenance of the pipeline system.
The joint venture will lease the pipeline usage rights from KOC and grant the company exclusive rights to operate the network in exchange for a volume-based tariff. The agreement does not affect Kuwait’s authority over crude production or refinery throughput.
The transaction is expected to generate $7.85bn in upfront proceeds for KOC, supporting Kuwait Petroleum Corporation’s capital investment programme, including its goal of increasing crude oil production capacity to 4 million barrels a day by 2035.
KPC deputy chairman and CEO Shaikh Nawaf Saud Al-Sabah said the agreement marks a milestone for Kuwait’s energy sector while preserving state control of critical infrastructure.
“Project Peregrine represents the largest foreign direct investment in Kuwait’s history while preserving full national ownership and operational control,” Al-Sabah said.
The agreement also marks the first time major global institutional investors have committed long-term capital to Kuwait’s midstream infrastructure.
Representatives of Blackstone, Brookfield and KKR said the investment reflects confidence in Kuwait’s energy sector and long-term infrastructure strategy.
The transaction remains subject to customary regulatory approvals and closing conditions.
https://image.digitalinsightresearch.in/uploads/NewsArticle/17786431/main4812.jpg -
Consortiums submit bids for Shagaya zone two plant
27 July 2026
At least three consortiums have submitted bids for zone two of the third phase of Kuwait’s Al-Dibdibah power and Al-Shagaya renewable energy project.
The Kuwait Authority for Partnership Projects (Kapp) is procuring the 500MW solar photovoltaic (PV) independent power project (IPP) in partnership with Kuwait’s Ministry of Electricity, Water & Renewable Energy (MEWRE).
According to a source, bids were submitted on 26 July. The bidding consortiums are:
- Abu Dhabi Future Energy Company (Masdar, UAE) / Al-Ghanim International (Kuwait)
- Acwa (Saudi Arabia) / Arabian Engineering Projects Contracting Company (Kuwait)
- EDF Renewables (France) / Al-Kharafi & Sons (Kuwait) / Korea Western Power Company
Kapp issued a tender to develop the project last November. In October 2025, MEED reported that five consortiums and five individual companies had prequalified to participate in the project.
The Al-Dibdibah power and Al-Shagaya renewable energy phase three zone two project is located within the administrative boundaries of Kuwait’s Jahra governorate, west of Kuwait City.
The winning bidder will design, finance, construct and maintain the project.
The zone two scheme is the fourth renewable energy project to be developed under Kuwait’s public-private partnership programme.
Zone one
Kuwait aims to have a renewable energy installed capacity of 22,100MW by 2030 as part of the 20-year strategy announced in March 2025 and ending in 2050.
In July, MEED reported that a frontrunner had emerged for the Al-Dibdibah and Al-Shagaya phase three, zone one contract following the opening of financial bids.
The phase three, zone one IPP will have a total power generating capacity of 1,100MW.
Similar to the zone two project, EY and DLA Piper, together with DNV, are advising the client on the zone one solar IPP.
Separately, Kuwait-based contractor Power Grid Company recently won a KD48.6m ($158.7m) contract to build a 400kV overhead transmission line linking the Shagaya solar energy generation station with Wafra in southern Kuwait.
The transmission line will connect Shagaya to the Wafra (Z) transformer station and is part of the wider Shagaya masterplan. The contract was awarded by MEWRE, with Power Grid one of three firms that submitted bids last year.
https://image.digitalinsightresearch.in/uploads/NewsArticle/17786075/main.jpg