Skift Take

Asfar's launch aligns with the Saudi sovereign fund’s broad strategy, which is centered around tapping opportunities within the tourism sector and building strategic partnerships with private companies.

Series: Middle East Travel Roundup

Middle East Travel Roundup

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Saudi Arabia’s sovereign wealth fund Public Investment Fund (PIF) has announced the establishment of the Saudi Tourism Investment Company (Asfar) to support the growth of the country’s tourism sector.

What Will the Tourism Investment Company do?

Invest in new tourism projects. Develop attractive destinations. Invest in the local tourism value chain.

Involving the Private Sector: The company will help the private sector by partnering on investments and by creating an attractive environment for local suppliers, contractors, and small and medium-sized enterprises to develop tourism projects and destinations.

Other Tourism-Related Companies Owned by PIF:

Aseer Investment Company, which aims to transform Aseer into a year-round tourism destination Saudi Downtown Company, mandated to build and develop downtown areas within Saudi Arabia. Dubai Hotel Market Finds Its Balance

We read JLL’s second quarter market overview report and this is what we found out about the hotel market in Dubai and Abu Dhabi:

For DubaiDubai's hotel market began to show signs of stabilization in the second quarter. While average daily rates (ADR) decreased by 6% to $188, occupancy increased to 78% from January-June.

However: The decline in rates is not a sign of a slowdown but rather a healthy indicator of the market finding its balance, JLL said. In the second quarter, around 1,000 keys were added in Dubai, increasing the total supply to 151,000 keys. By the end of this year, another 6,000 keys are slated to be added.

Source: JLL second quarter market overview report

For Abu DhabiHotel Figures: The hotel industry maintained its steady growth from January-June in Abu Dhabi. Average daily rate increased by 26% to $137, while city-wide occupancy surged to 71%. Revenue per available room went up 28%. Abu Dhabi’s total stock remained stable at 32,500 keys and the capital is slated to add another 200 keys by the end of this year.

Decoding the Dubai Sustainable Tourism Stamp

What? Dubai’s sustainable tourism stamp seeks to serve as a validation of hotels’ dedication to sustainability and showcase its sustainable practices. The stamp will feature a three-tier scheme with categories ranging from Gold, Silver and Bronze.

Who? The Department of Economy and Tourism (DET) has developed the