FT: Middle East tourism loses $600 million daily amid escalating conflict

Flight cancellations, airspace closures, and growing concern among travellers are dealing a serious blow to the economies of countries in the Middle East.

The World Travel & Tourism Council (WTTC) estimates that the escalating conflict is costing the Middle East’s tourism industry $600 million per day, Caliber.Az reports, citing The Financial Times.

WTTC Chair Gloria Guevara has said that even short periods of disruption can quickly translate into significant economic losses for destinations, businesses and workers across the region.

Before the conflict began, the WTTC had projected that foreign tourists would spend around $207 billion in the Middle East in 2026.

The newspaper notes that travellers are cancelling trips en masse.

According to the analytics group AirDNA, more than 80,000 short-term rental bookings were cancelled in Dubai in the week leading up to March 6 alone.

Hundreds of flights have taken off from airports in the Middle East in the past week in an attempt to return the tens of thousands of visitors who were still stuck.

Destinations in the Middle East have previously bounced back from outbreaks of conflict. Revenue per available room — a crucial growth metric in the hotel industry — declined sharply in Qatar in the week after Israel struck Doha last September, but returned to growth in less than a month, according to figures from hotel industry analytics company CoStar.

Since the war between the US-Israel and Iran started on February 28, Dubai Airport and UAE airspace have been shut down to commercial flights, leaving thousands of travellers stranded.

Despite the heightened tensions, some residents and tourists were still seen enjoying the weather along the beach near the Burj Al Arab, which was targeted during the early days of the conflict.

By Khagan Isayev