Aviation contributes 27% to Dubai’s GDP: Oxford Economics
Dubai, UAE, 24 October 2024: Emirates Group and Dubai Airports have today released an economic impact study that reaffirms the central role aviation plays in Dubai’s economy, by quantifying its contributions and forecasting the sector’s upwards trajectory, based on financial and passenger growth projections for the sector.
The study, compiled by global research firm Oxford Economics, includes an assessment of direct economic activity generated by the aviation sector, indirect activity generated through the sector’s supply chain, and induced activity supported through wage-funded consumption by the local aviation workforce. The study also assesses the catalytic impact of tourism spending facilitated by the aviation sector in Dubai.
Sheikh Ahmed bin Saeed Al Maktoum, Chairman and Chief Executive, Emirates Airline and Group, and Chairman of Dubai Airports said: “Dubai’s aviation sector has been a core pillar of our city’s economic growth strategy to date, and it will continue to play a key role in the D33 Economic Agenda."
Aviation sector’s contribution to Dubai economy
In 2023, Dubai’s aviation sector, consisting of Emirates Group, Dubai Airports and other aviation sector entities including flydubai, Dubai Duty Free, Dubai Aviation Engineering Projects (DAEP), Dubai Police, Dubai Customs, Dubai Immigration, Dubai Air Navigation Services, Dubai Civil Aviation Authority, the General Directorate of Residency and Foreigners Affairs (GDRFA), and Dubai Aviation City Corporation, are estimated to have supported USD 37.3 billion, equivalent to 27% of Dubai’s GDP. These figures are projected to increase steadily, with aviation activities facilitated by Emirates and Dubai Airports and expected to reach 32% of Dubai’s forecasted GDP by 2030.
Aviation-led activity also accounted for 631,000 jobs across Dubai, equivalent to one in five jobs in the emirate in 2023. A further 185,000 aviation-linked jobs are expected to be created by 2030, with the total number of jobs supported by Dubai’s aviation sector forecast to grow to 816,000 jobs.
Aviation and tourism in Dubai
Aviation is also the driving force behind the growth of international tourism to Dubai. As one of the most frequented destinations in the world, visitors stayed an average of 3.8 nights in 2023, spending an average of AED 4,300 on hotels, restaurants, attractions and shopping. According to the report, international visitors flying to Dubai spent an estimated AED 66 billion last year.
In total, aviation-facilitated tourism spending is estimated to have contributed: 8.5% of Dubai’s GDP, supporting 329,000 jobs. Tourism to Dubai is projected to grow significantly over the next six years, and contribute 10% to Dubai’s projected GDP.
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