Trending Today:
Govt Launches | Rs180mn Skardu Int’l Airport Upgrade Project
PIA Resumes | Lahore-Paris Flights After 5 Years
Etihad Goes | Four Daily To Karachi
  • Aviation
    • Airlines
    • Airports
    • CAA
    • PIA
  • Hotel/Lodges
    • Destination Pakistan
    • Events
    • Food & Beverages
    • Restaurants
  • Pakistan Tourism
    • News
    • Expos & Events
    • Rails & Roads
    • Mountains
    • Organizations
  • International Tourism
    • Cruises
    • Destination
    • Expo & Events
    • News
    • News Destination
    • Organizations
    • Technology
  • Advertise
  • E-papers
  • Newsletter
  • Aviation
    • Airlines
    • Airports
    • CAA
    • PIA
  • Hotel/Lodges
    • Destination Pakistan
    • Events
    • Food & Beverages
    • Restaurants
  • Pakistan Tourism
    • News
    • Expos & Events
    • Rails & Roads
    • Mountains
    • Organizations
  • International Tourism
    • Cruises
    • Destination
    • Expo & Events
    • News
    • News Destination
    • Organizations
    • Technology
  • Advertise
  • E-papers
  • Newsletter
Home»Uncategorized»GCC Hotels | VAT May Impact Price Strategy
Uncategorized

GCC Hotels | VAT May Impact Price Strategy

holidayweeklyBy holidayweeklyMay 22, 2017No Comments
Facebook Twitter Pinterest LinkedIn WhatsApp Reddit Tumblr Email
Share
Facebook Twitter LinkedIn Pinterest Email

DUBAI: Hotel operators in the Gulf region may need to modify their room rates and their overall fee strategy starting next year to continue to appeal to consumers following the introduction of Value-Added Tax (VAT).

VAT, which will be imposed at a 5 per cent rate starting 2018 across the GCC (Gulf Cooperation Council), has the potential to alter consumer behaviour by discouraging guests from booking hotel rooms, according to a report from HVS, a global hospitality consultancy.

HVS said the tax is likely to impact price-sensitive, millennial travellers, and said that hotels may need to alter their pricing to continue to attract guests in that demographic.

In its report, HVS said the Middle East will witness a “healthy influx of three-star hotels entering the market,” amid the abundance of four- and five-star hotels.

“As this mid-market expands with contemporary, yet affordable branded hotel products, primary markets will be susceptible to significant average rate pressure. However, our outlook remains optimistic in light of the region’s tourism potential, which will ultimately support high levels of accommodated demand,” the report said.

It cited forecasts from the World Travel and Tourism Council for the Middle East that expect travel and tourism’s contributions to gross domestic product to reach $382 billion (Dh1.4 trillion) by 2027. This growth is expected to be supported by tourism investment, which is expected to rise 6.4 per cent a year over the next 10 years, reaching a total of $99 billion.

Discussing outlook for the sector, HVS also said leisure-oriented markets in the Middle East will continue to face challenges in attraction international attention.

“However, events such as Dubai Expo 2020, and Qatar’s hosting of the 2022 Fifa World Cup, and increased visa issuances permitting foreign pilgrims to enter Makkah and Madinah will largely aid in these particular markets’ ability to increase accommodated demand in the mid to long term,” the report said

Post Views: 4
Share. Facebook Twitter Pinterest LinkedIn Tumblr Telegram Email
holidayweekly
  • Website

Related Posts

NTCB & PTDC Organise | Consultative Workshop on National Minimum | Standards for Tourism & Hospitality Sector

October 23, 2020

Promoting Roshan Digital Account | Faysal Bank & PIA Join Hands

October 23, 2020

Bahrain Tourism Authority | Nasser Ali Yousif Is New CEO

October 23, 2020
Leave A Reply Cancel Reply

Top Posts

Govt Launches | Rs180mn Skardu Int’l Airport Upgrade Project

June 26, 2025

Time to meet the Muppets on the Muppet

July 12, 2018

The world don’t move to the beat

July 12, 2018

You would see the biggest gift woud be from me and the card

July 12, 2018
Don't Miss
Airports

Govt Launches | Rs180mn Skardu Int’l Airport Upgrade Project

By holidayweeklyJune 26, 2025

GILGIT-BALTISTAN: The government has formally launched the upgrade project of Skardu International Airport, marking a…

PIA Resumes | Lahore-Paris Flights After 5 Years

June 22, 2025

Etihad Goes | Four Daily To Karachi

June 15, 2025

Uzbekistan To Launch | Direct Flights To Pakistan On June 14th

June 14, 2025
Stay In Touch
  • Facebook
  • Twitter
  • Pinterest
  • Instagram
  • YouTube
  • Vimeo

Subscribe to Updates

Get the latest creative news from SmartMag about art & design.

About Us
About Us

Email Us: info@example.com
Contact: +92 321 9264 080

Facebook X (Twitter) Pinterest YouTube WhatsApp
Our Picks

Govt Launches | Rs180mn Skardu Int’l Airport Upgrade Project

June 26, 2025

PIA Resumes | Lahore-Paris Flights After 5 Years

June 22, 2025

Etihad Goes | Four Daily To Karachi

June 15, 2025
Most Popular

Govt Launches | Rs180mn Skardu Int’l Airport Upgrade Project

June 26, 2025

Time to meet the Muppets on the Muppet

July 12, 2018

The world don’t move to the beat

July 12, 2018
© 2025 Weekly Holiday. Designed by Haseeb Ansari.

Type above and press Enter to search. Press Esc to cancel.