37.5% to its GDP and will support over 750,000 jobs by 2020
Latest Oxford Economics Report examines continued impact of
aviation sector on Dubaiâs economy and projects continued growth beyond
Emirates airline, Dubai Airports and the aviation sector as
a whole contributed $26.7 billion to the Dubai economy in 2013, which was
almost 27% of Dubaiâs GDP and supported a total of 416,500 jobs accounting for
21% of the emiratesâ total employment. These figures were based on the latest
report âQuantifying the Economic Impact of Aviation in Dubaiâ conducted by
global research firm, Oxford Economics, as a follow-up to a 2011 study done by
the same firm.
The objective of the report was to quantify the economic
impact of the aviation sector and its subsequent Dubai-based supply chain. In
addition, the report explains the benefits that aviation brought to Dubaiâs
economy in 2013 in terms of gross value added (GVA)** and employment, and
provides forecasts for the sector and its knock-on effects in 2020 and 2030.
The report re-affirms aviationâs growing significance as a
major engine of economic development, and its far-reaching contributions to
other industries as a catalyst for a spectrum of economic activity.
âDubaiâs success stems from a clear vision, careful
planning, and collaborative execution. It is no accident that we are a global
aviation hub today. It has taken us years to build up the critical competencies
and infrastructure that we have today, and we now have a solid base on which to
further develop. We will continue to take a consensus-based approach to
infrastructure investment, embrace open competition, and focus on opening up
and connecting markets through efficient operations. At the end, we want Dubai
to be the top choice for international travellers and traders - as a
destination, and as a transport hub,â said HH Sheikh Ahmed Bin Saeed Al Maktoum,
Chairman and Chief Executive of Emirates Airline and Group, Chairman of Dubai
Airports and President of the Dubai Civil Aviation Authority.
Core impact of aviation: It is estimated that the aviation
sector, including the Emirates Group, Dubai Airports, and other aviation
businesses such as airlines flying into Dubai, regulatory authorities and Dubai
Duty Free, had a core impact of US$16.5 billion GVA in 2013. This includes
direct, indirect and induced contributions and is equal to 16.5% of Dubaiâs GDP,
supporting over 259,000 Dubai based jobs.
Moreover, for every $100 of activity in the aviation sector,
a further $72 is added in other sectors of the local economy from supply chain
connections and expenditures. For every 100 jobs created in aviation, an additional
116 jobs are created elsewhere in Dubai.
Tourism benefits: Aviation has proved to be an indispensable
catalyst for the growth of Dubaiâs tourism industry. Tourism and travel
activities in 2013 had an economic impact of $10.2 billion GVA supporting a
further 157,100 jobs. In 2013, Dubai welcomed nearly 10 million non-UAE
visitors who spent $13 billion, accounting for around 1% of foreign visitor
spend globally that year. The success of Dubai as a destination has been a
public and private effort to invest in world-class aviation and tourism
infrastructure to support the influx of visitors. The results have paid
dividends and Dubai currently captures a 0.4% share of the worldâs business and
tourism traffic, double the share it had in 2000.
Connectivity: One of Dubaiâs greatest assets is its enhanced
connectivity. In 2013, Oxford estimated that passengers could connect from
Dubai to 25 cities (or 81% of world cities) with populations of over 10 million
people. Overall, Dubai had direct passenger flight connections to 149 cities
with populations of over 1 million people, creating potential export markets of
over 916 million people, or 13% of the worldâs population. Cargo tonnage
between 1990-2013 handled in Dubai has grown on average of 13.5% per year, compared
to global average trade volumes of 5.6% per year.
The passenger and cargo connectivity provided from Dubai has
positively impacted Foreign Direct Investment (FDI) and trade. It also has
provided greater access to foreign markets, encouraging exports, and increasing
competition in the local economy, benefiting consumers.
Economic benefits in 2020 and 2030
Between 2014 and 2020, the contribution of the aviation
sector to Dubaiâs economy is expected to grow at a faster rate than the economy
as a whole, on the back of strong growth in international passenger traffic and
cargo. The sectorâs airline and airport capacity continues to expand to
accommodate for growing demand.
Using industry growth forecasts and modelling projections
based on current expansion plans for Dubai International (DXB) and Al Maktoum
International at Dubai World Central (DWC), it is estimated that the overall
economic impact of both aviation and tourism related activities will rise to a
robust $53.1 billion in 2020. This will be equivalent to 37.5% of Dubaiâs GDP,
supporting over 754,500 Dubai-based jobs.
By 2020, it is estimated that Emirates will fly 70 million
passengers, and the airline and its partners are already progressing plans for
the right infrastructure to be in place to support and capitalise on passenger
growth. The same year, Dubai expects to welcome over 20 million visitors for
Expo 2020. Projects to support the six month mega-event in Dubai are already
underway. This includes a sizable increase in airport capacity which
encompasses expansion of airspace, airfield, stands and terminal areas to allow
Dubai International to accommodate 60% more aircraft stands by 2015, and
service 90 million passengers by 2018. By 2020, Dubai International is
estimated to receive 126.5 million passengers, almost 30% higher than its
original 2010 assessments.
Looking further ahead, the total economic impact of aviation
by 2030 is projected to grow to $88.1 billion and will support 1,194,700 jobs.
A summary of the report and the full Oxford Economics
report, âQuantifying the Economic Impact of Aviation in Dubai,â can be found
*The Oxford Economics Report only quantifies the direct,
indirect, induced and tourism benefits, and do not attempt to put a value on
âconnectivity benefitsâ as in the 2011 report Explaining Dubaiâs Aviation
Model. For comparison, the direct, indirect, induced and tourism benefits in
the 2011 report totalled US$19.6 billion, or 24% of GDP.
**Gross Value Added (GVA) is defined as the contribution an
institution, company or industry makes to Gross Domestic Product (GDP). The sum
of GVA contributions of all Dubai organizations is equal to Dubai GDP. In
simple terms GVA is understood as turnover minus the cost of bought-in goods and
services used in the production process.
Resource efficiency, conservation, and new technologies are
the focus of a new international partnership on sustainable tourism
A new international programme that aims to catalyze a shift
to more sustainable tourism over the next decade was launched at the World
Travel Market in London this week.
The Sustainable Tourism Programme of the Ten-Year Framework
of Programmes on Sustainable Consumption and Production Patterns (10YFP) will
be led by the World Tourism Organization (UNWTO) of the United Nations and the
Governments of France, the Kingdom of Morocco and the Republic of Korea, with
the support of United Nations Environment Programme (UNEP), which hosts the
Tourism is today one of the largest and fastest-growing
economic sectors in the world. It contributes 9 per cent to global GDP,
accounts for one in 11 jobs worldwide, and for 6 per cent of global exports. By
2030, UNWTO forecasts that there will be 1.8 billion international tourism
If not sustainably managed however, tourism can deplete
natural resources leading to water shortages, loss of biodiversity, land
degradation and contribute to climate change and pollution, among other
impacts. Tourismâs contribution to global warming is estimated at 5 per cent of
global CO2 emissions.
UNEPâs 2011 Green Economy Report reveals that under a
âbusiness-as-usualâ scenario, projected tourism growth rates to 2050 will
result in increases in energy consumption by 154 per cent, greenhouse gas
emissions by 131 per cent, water consumption by 152 per cent, and solid waste
disposal by 251 per cent.
âAs tourism continues to grow, so too will the pressures on
the environment and wildlife. Without proper management and protection, as well
as investments in greening the sector, ecosystems and thousands of magnificent
species will suffer,â said UN Under-Secretary-General and UNEP Executive
Director Achim Steiner.
"Tourism has been identified by UNEP as one of the ten economic
sectors best able to contribute to the transition to a sustainable and
inclusive green economy. This important initiative is about steering the
industry onto a truly sustainable path -- one that echoes to the challenge of
our time: namely the fostering of a global Green Economy that thrives on the
interest, rather than the capital, of our economically important nature-based
assets." he added.
UNWTO Secretary-General Taleb Rifai said, âAs the leading
organization for tourism, the World Tourism Organization seeks to maximize
tourismâs contribution to development while minimizing its negative impacts.
UNWTO is pleased to be at the helm of such an important initiative and to be
collaborating with governments and institutions to implement the 10YFP Sustainable
For example, in the Galapagos Islands and Palau, visitors
pay an entry tax to protected areas, which are sometimes referred to as âgreen
feesâ. The revenues generated from these fees - which in Palauâs case is US$1.3
million annually since 2009 - are used to support conservation and sustainable
The Organisation for Economic Co-operation and Developmentâs
(OECD) Tourism Trends and Policies 2012, reports that, as the importance of the
tourism sector continues to grow in OECD countries, the greatest challenge to
achieving sustainable tourism is horizontal and vertical policy coordination.
Addressing these challenges is the mandate of the 10YFP
Sustainable Tourism Programme as it strives to achieve major shifts in tourism
policies and stimulate greater sustainability within the tourism supply chain. A
collaborative initiative, the programme aims to improve resource efficiency,
management effectiveness, and the use of new technologies to promote
sustainable consumption and production patterns in this key sector.
As the most visited tourism destination in the world, France
highly values the preservation of its rich culture and natural heritage. This
is fundamental to maintain the quality of a destination which receives 85
million tourists a year.
Building on its support to sustainable tourism, as former
Chair of the International Task Force on Sustainable Tourism Development, and
former Chair of the Global Partnership for Sustainable Tourism, France will
pursue its commitment by co-leading this programme. Franceâs experience in this
regard will be of benefit to the 10YFP and partners in this important
Dr Lahcen Haddad, Minister of Tourism for the Kingdom of
Morocco, emphasises that the aim of Moroccoâs new Vision 2020 is to make the
country one of the worldâs top 20 tourism destinations, making it a model of
sustainable tourism development in the Mediterranean.
âThis ambitious strategy aims to capitalize on and preserve
our natural and cultural advantages so that their exploitation yields the most
sustainable social and economic benefits for all stakeholders,â said Minister
âBy taking this proactive role, Morocco seeks to establish
itself as a leading sustainable tourism destination in the Mediterranean.
Morocco is committed to the 10YFP and has been since our active participation
in the work of the International Task Force and its successor, the âGlobal
Partnership for Sustainable Tourismâ.
Morocco served as the Chair of this Partnership since 2013
and is delighted to be a co-lead of the 10YFP Sustainable Tourism Programme.â
Ms. Hyeri Han, Deputy Director of the International Tourism
Division of Koreaâs Ministry of Culture, Sports and Tourism, one of the
Programmeâs co-Leads said, âThe Government of the Republic of Korea already
integrates principles of sustainability into its tourism policies and is
accelerating programme implementation nationally, with the intention of
offering best practices and lessons learned on sustainable tourism.â
Korea has been committed to the promotion of global
sustainable tourism and actively supported the process of the inclusion of
âsustainable tourismâ in the Rio+20 outcome document.
Kerala Tourism department has conferred its Prestigious Nishagandhi Puraskar 2015 to Eminent Lyricist Mr. Ilaya Raja. Th Jury consist Mr. K. Jayakumar IAS IRetd) Vice Chancellor of Malayalam University, Mr. Gouridasan Nair, Senior Journalist from The Hindu, Mr. Kamal V Rao IAS, Principal Secretary of Kerala Tourism and Mr. Sheik Pareed IAS, Director of Kerala Tourism Department has unanimously selected Mr. Ilaya Raja for the award. The Award was announced by Mr. A.P. Anil kumar, Minister for Tou ...
The 2013 UNWTO and WTM MinistersÂ´
Summit at the World Travel Market (WTM) will put a spotlight on the essential
connection between air transport and tourism, debating the challenges and
opportunities of promoting higher policy coordination between aviation and
Air transport, being an important
factor in outbound or inbound tourism, plays a vital role in foreign tourist
arrival in India. Therefore, the discussions on the matter must be considered
as important for the tourism i ...
Ezeego1.com, the online travel search site has introduced
special summer packages for Australia and New Zealand. The packages, that are
filled with all elements of fun, excitement and romance, start at Rs.
1,09,000/-* for Australia and Rs.
1,99,999/-* for New Zealand.
The New Zealand
package, for 8 Nights and 9 days, starts from Rs. 1,99,999/-*per person. The
action packed itinerary includes Auckland, Rotorua, Christchurch, Q ...
Global DMC, Event Management, and PCO Company announce
Strategic Partnership with Eberhard v. Forstner DESTINATIONS + more to promote
China and Hong Kong in Germany
Pacific World (http://www.pacificworld.com ), the global DMC, Event
Management, and PCO Company, have announced the formation of a new strategic
partnership with Eberhard v. Forstner DESTINATIONS + more, which will serve to
support the growing demand for China as an outbound destinati ...
Delta Corp Ltd gaming Revenue grows 83% and EBIT grows 119%
in quarter ended December 2013.
Delta Corp Ltd, Indiaâs only listed gaming and hospitality
company, reported total revenue of Rs 105.21 crore for the quarter ended
December 31, 2013, with profit after tax (and minority interests) of Rs
The gaming and hospitality business in Goa continues to show
consistently profitable growth. The core gaming business gre ...
Wego, the leading travel meta-search site in the Asia
Pacific and Middle East, launched the Wego Affiliate Network - a powerful new
platform and set of tools that enable travel and tourism website publishers to
add flight and hotel search features and generate a significant new revenue
stream from the resulting activity.
âFor many years
Wegoâs travel metasearch technology has been used by major airports, national
tourism boards ...
Hyatt Hotels Corporation announced that a Hyatt affiliate
has entered into a management agreement with P.T. Wynncor Bali for an Andaz
resort in Bali, Indonesia. Upon completion, the hotel will be the first
Andaz-branded offering in South East Asia.
âWe are delighted to introduce the Andaz brand to Indonesia,
and honored to strengthen our relationship with P.T. Wynncor Bali, a strong,
experienced developer and the owner of Grand Hyatt Ba ...
The Hideaways Club opened its first Dubai apartment recently. This
luxury two bedroom, two bathroom property is located in downtown Dubai
overlooking the worldâs tallest building, the Burg Khalifa and the
stunning Dubai Fountain. Situated within the 5 Star, the members have
the benefit of being able to use all the hotel facilities including a
swimming pool, and enjoy proximity to a huge variety of shops and
restaurants. Within the g ...
Neerja Bhatia has been promoted as Vice President - India and Indian Sub-continent of Etihad AIrwaysEtihad Airways, the national airline of the UAE, has
appointed Neerja Bhatia to the position of Vice President India and Indian
Sub-Continent (ISC). Ms Bhatia joined Etihad Airways in 2004 as Sales Manager
Western India, shortly after the airline had launched its flights to Mumbai,
its first Indian destination.
She then progressed to become Manager for Western and
Southern India, before be ...
Oman Air To Fly
Double-Daily To Key Indian Sectors
Oman Air is set to increase frequencies on four of its key
destinations to India. The number of flights from Muscat to Goa will increase
from six per week to one a day. And in a major move for the national carrier of
the Sultanate of Oman, daily flights from Muscat to Bangalore and Kochi will
increase from daily to double-daily and will operate 11 flights weekly to
Lucknow and 10 t ...
A Brand New Destination Is Born In 'God's Own Country'â˘ Pathanamthitta District emerging as an ecotourism destinationâ˘ Adavi and Konni to have face-lift with boat race, rafting, camping and tree-top cottagesThe district of Pathanamthitta will soon have an elevated status in Kerala tourism map with the Adavi Boat Festival and Gaja Vijnanolsavam to be held at Konni, a hilly town in the district. A picturesque forest patch, 10 km from Konni and 17 kilometers from Pathanamthitta, ...
Tourism New Zealand recently hosted a group of four travel
industry directors and senior members of the staff from India. The seven day
visit covered regions across the North and South Islands showcasing some of New
Zealandâs most luxurious experiences for high end Free and Independent Travellers
(FIT) luxury travellers.
The group had the opportunity to visit boutique and luxury
lodges such as Delamore Lodge, The Boatshed, Mollies Luxury Boutique Hotel,
Raetihi Lodge, Eichardtâs Pri...
The worldâs most recognised hotel brand opens in Bangalore,
offering the brandâs renowned warmth and comfort
InterContinental Hotels Group (IHGÂŽ) hasopenedHoliday
InnÂŽ& Suites Bengaluru - the first Holiday Inn hotel in the Silicon Valley
of India. Located inWhitefield, the cityâs biggest IT hub, the 122-room Holiday
Inn & Sui...
by Susheela NairAs I stepped into the
Shangri-La Hotel, a doorman in his jewel-toned sherwani and brocade headdress
greeted me. Nine enormous cylindrical
chandeliers and imposing marble columns highlighted by wall sconces with
intricate motifs herald a welcome to the lobby. The sandstone wall installation
depicting a gold-stained palm le...
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