City’s tourism sector records strong H1 2025 performance with rising hotel inventory and global demand
Dubai’s hospitality sector continues its impressive post-pandemic growth, with hotel occupancy levels surpassing 81% in the first half of 2025 — a 4.5% increase compared to the same period last year. The emirate also welcomed nearly 10 million international visitors between January and June, marking a 6.1% year-on-year rise, according to a new report by real estate advisory firm Cavendish Maxwell.
The report highlights that Dubai’s hotel supply has steadily expanded in response to growing demand. Since 2021, the city’s inventory has increased from 670 establishments to around 730 today, reflecting investor confidence and Dubai’s positioning as a leading global tourism hub.
Industry analysts note that the city’s performance has outpaced GCC peers, with Dubai and the UAE real estate markets delivering the strongest results across the region. Rising visitor inflows, supported by strategic initiatives in events, infrastructure, and cultural tourism, have further reinforced the emirate’s reputation as a world-class destination.
The combination of high occupancy rates, increased international arrivals, and expanding hotel capacity points to a robust outlook for Dubai’s hospitality and real estate markets heading into the second half of the year.