Travel and tourism market is expected to achieve a CAGR of over 8%

Expo 2023 Doha

Qatar's travel and tourism industry is anticipated to show a Compound Annual Growth Rate(CAGR) of 8.31% from 2024 to 2028, as reported by Statista.

The current year's tourism revenue is predicted to be $1,356 million (QR4937.20 million), with the projected market volume reaching $1,856 million (QR6757.70 million) by 2028.

The hotel market is identified as the largest segment, expected to have a market volume of $635.10 million (QR 2312.40 million) in 2024. The vacation rental market is projected to have around 1,645k users by 2028.

In 2023, Qatar welcomed over 4 million visitors, facilitated by simplified visa procedures. The successful hosting of the FIFA World Cup in 2022 contributed to significant infrastructure improvements, with around 1.5 million fans visiting Doha.

The travel industry is witnessing increased bookings, fueled by factors like reduced travel restrictions and cultural events such as Expo 2023 Doha and the ongoing AFC Asian Cup. User penetration is expected to increase from 77.4% in 2024 to 90.7% in the next four years, with an average revenue per user (ARPU) of $640.40 (QR2331.70).

Online sales are projected to contribute to 87% of total revenue in the leisure sector by 2028. According to Fitch Solutions, sporting events like the AFC Asian Football Cup and the World Aquatics Championships will drive double-digit year-on-year growth in non-oil activity during Q1, attracting fans and boosting service exports.

By 2024, the travel and tourism industry is expected to generate $199 billion (QR724.56 billion) in revenue worldwide, with the United States leading the way.

Source: The Peninsula