Market Update: Dubai hotel room revenues jump 19.1% to AED 2.74 billion in January – Business – Economy and Finance – Full Analysis

Dubai’s hotel room revenues rose 19.1% in January to reach AED 2.74 billion ($746 million), up from AED 2.3 billion in the same period of 2025, according to the latest data from the Department of Economy and Tourism (DET).

The surge in revenue was driven by a 16% increase in the Revenue Per Available Room (RevPAR), which climbed to AED 668 compared to AED 576 in January last year. Occupied room nights also saw a 2% uptick, reaching 4.11 million nights.

Key Performance Indicators

The DET report highlighted that Dubai’s tourism sector outperformed 2025 levels across all major metrics, including room inventory, booked nights, and average daily rates (ADR). International tourist arrivals for the month grew by 3% to reach 2 million visitors.

The record-breaking returns have solidified Dubai’s position as one of the world’s most competitive hospitality markets, attracting global hotel groups looking to expand their footprint in the emirate.

Capacity and Diversification

The sector continues to expand its capacity to meet accelerating demand, with new properties entering service across luxury, mid-scale, and budget categories.

Analysts noted that this diversification has successfully attracted a broader spectrum of visitors—ranging from business and conference travelers to leisure and family tourists—maintaining stable occupancy levels despite the continuous increase in supply.