The United Arab Emirates is preparing a new tourism support package as regional tensions linked to the Iran conflict weigh on travel demand and aviation activity.
Economy and tourism minister Abdulla bin Touq Al Marri said authorities are in daily contact with industry stakeholders and will soon roll out measures aimed at easing pressure across the sector.
“We are supporting the tourism sector… we do have a package that will come up very soon that will really address the tourism issues and the challenges that they are facing,” he said in an interview with Business Breakfast on Dubai Eye 103.8.
The move follows disruption to travel flows and airline operations, which has placed strain on hotels and tourism operators across the UAE.
Fee deferrals already in place
Authorities have already introduced short-term relief via a Dh1 billion support package, allowing tourism businesses to defer key government fees for three months from 1 April.
Hotels can postpone 100 per cent of sales fees on rooms and food and beverage, as well as the Tourism Dirham, improving short-term cash flow. The measures also extend to hotel apartments and holiday homes.
Officials say the goal is to help operators manage near-term costs while maintaining operations during a softer demand period.
Industry consultation shaping response
The latest measures have been developed in consultation with industry stakeholders, according to Issam Kazim.
Authorities say ongoing engagement has helped inform both the current relief measures and the upcoming support package, with a focus on maintaining sector momentum.
Price controls and supply stability
The government is also monitoring pricing and supply chains, particularly in food and beverage, to prevent cost increases for consumers.
Retailers must seek approval before raising prices, with no increases approved so far, according to the minister.
Officials have urged consumers to avoid stockpiling and to continue purchasing through established retail channels, citing strong supply chain resilience.
Confidence in recovery
Despite current pressures, the UAE government has signalled confidence in the sector’s resilience.
“The UAE is strong… [this] will not determine the future of the UAE economy,” Al Marri said, adding that the country is expected to rebound.
The combination of fee deferrals and a forthcoming support package is expected to provide short-term relief, with the pace of recovery likely to depend on how quickly travel demand stabilises.
