Based on daily data from August, Dubai reported:
- increases in supply (+6.0%) and demand (+4.3%);
- a 1.7% decrease in occupancy to 74.2%;
- a 12.5% decrease in average daily rate to AED587.50; and
- a 13.9% decrease in revenue per available room to AED435.66.
When looking at a 12-month moving average through July, supply growth in Dubai outpaced demand +7.4% to +5.7%.
According to STR Global analysts, the exchange rate between the Euro and the United Arab Emirates Dirham favors outbound tourism. At the end of June, Oanda showed that exchange rate to be at its lowest since the first quarter of 2003. Oxford Economics projects the number of United Arab Emirates arrivals in Southern and Eastern Europe to grow by 8.0% for total year 2015.
STR Global will release August 2015 results during the week of 21 September. The August edition of the STR Global Hotel Market Forecast is now available.