The hospitality industry in Qatar is booming – and for good reason. Gearing up to host the 2022 World Cup Championship, Qatar’s government is ready to invest $17 billion to bolster the nation’s tourism sector.
The $17 billion earmarked for tourism is just part of the $65 billion investment plan Qatar’s government is unfolding. Currently, hospitality supply levels (33 percent) are just barely outpacing demand levels (28 percent) meaning more hotel rooms and restaurants are needed.
Tourism in Qatar is the fastest growing in the GCC, with a 12 percent increase in 2012. Visitors from the Middle East are up 22 percent from last year, and guests from other global regions saw a 10 percent increase.
Though the World Cup will attract plenty of tourists (an estimated 400,000), Qatar’s hospitality sector is driven by businessmen. In 2011, nearly 75 percent of guests checking in were traveling for business. But they’re traveling in style, as 75 percent of Qatar hotels are luxury locations.
With 17 new hotels (5,544 rooms) currently under construction, Qatar plans to house 60,000 hotel rooms by 2022 to meet World Cup regulations. That’s 46,593 more rooms needed, giving Qatar the largest growing hospitality industry in both the Middle East and Africa.