$185 billion GCC transport spending will boost hotel sector

Despite the hangover of the global downturn, as well as unrest in parts of the Middle East and North Africa (MENA) region, Saudi Arabia, Qatar and the UAE in particular are forging ahead with their investment in hotels and transportation infrastructure.

“The regional hotel development pipeline from design to completion is worth over $6 billion. However, it is the infrastructure supporting the growth of the hotel sector, transporting tourists and business visitors, not to mention the boost to hotel revenues during the construction and fit out stages, that will shape the hospitality landscape,” said Frederique Maurell, Exhibition Director, The Hotel Show 2011.

“Just as an indication, according to a study last year by research company BMI, over $107 billion has been earmarked for investment in transport infrastructure projects over the next ten years. That was before Qatar’s successful bid for the FIFA World Cup, which according to Global Arab Network could add another $78 billion to the regional transport budget.

Projects include a $13 billion new international airport, $20 billion for roads and highways, $5 billion for a new deep-water seaport and up to $40 billion for a 340 kilometre rail network, including a high-speed connection linking Qatar with other Gulf states.

“Naturally these are only industry analysts’ estimates, but it does give a vivid illustration of the huge amounts being spent over the next decade in the GCC countries which will undoubtedly boost the hospitality sector,” said Maurell. 

Now in its twelfth year, The Hotel Show, the region’s premier trade show for the industry, opens today (Tuesday 17 May) at the Dubai World Trade Centre until Thursday, with technology and sustainability taking the lead.

“New product launches this year will also mostly be technology driven, such as tidal wave machines for water parks, loyalty cards that double as room keys and the next generation property management systems,” said Maurell.

UAE-based Etisalat one of the largest telecommunications companies in the world has agreed to be this year’s headline technology sponsor. Etisalat will showcase its new e-Hospitality services that offer a combination of voice PRI, internet dedicated access and Etisalat TV services.

Sustainability is also high on the agenda this year. Italian company Technogym has designed a treadmill that uses 40% less energy than conventional ones, highlighting the savings potential throughout any property.

The Hotel Show covers over 22,000 square metres of exhibition floor space, showcasing the latest products, services and technologies from all aspects of the hospitality and leisure sector. The event has a distinctive international feel this year with 400 exhibitors representing 25 countries are showcasing more than 500 products.

“We have 45 exhibiting countries registered this year representing over 42% of the net floor space. The largest pavilion is Germany with over 600 square metres accommodating 29 exhibitors. The Turkish participation is a close second with over 540 square metres. Then France, Belgium, Spain, Italy and the UK are also prominent, covering a combined 3,200 square metres,” said Maurell.