Middle East to Become the World's Fastest-Growing Market Despite Challenges

The World Travel & Tourism Council (WTTC) says the Middle East is expected to experience a short-term tourism slowdown in 2026 before rebounding to become the world's fastest-growing travel market over the following decade.

According to WTTC's latest Economic Impact Research (EIR): Global Trends Report, sponsored by Chase Travel, the Middle East is forecast to be the only region globally to record a decline in Travel & Tourism GDP next year. The sector is projected to contract by 14.5%, falling from $386 billion in 2025 to $330 billion in 2026.

The decline is largely attributed to ongoing geopolitical tensions affecting airspace and travel flows across one of the world's most important aviation hubs. The Middle East handles approximately 14% of all international air passengers , meaning around one in every seven international travelers passes through the region.

Despite the near-term challenges, WTTC expects a strong recovery. Between 2026 and 2036, the Middle East is forecast to become the fastest-growing Travel & Tourism region in the world, with sector GDP expanding by an average of 6.3% annually to reach $605 billion by 2036.

Dubai, UAE. Photo: Shutterstock

The growth will be driven primarily by Saudi Arabia, the United Arab Emirates, Oman, and Qatar, which WTTC describes as regional tourism success stories. Together, these four markets generated $272 billion in Travel & Tourism GDP in 2025 and are expected to reach $435 billion by 2036.

THE LINE project in Neom city. Photo: Neom

Saudi Arabia continues to lead the region's tourism transformation under its Vision 2030 strategy , with Travel & Tourism accounting for 14.1% of national GDP. The UAE remains one of the region's strongest tourism performers, contributing 11.9% of GDP, supporting 13.6% of total employment, and attracting nearly $57 billion in international visitor spending.

Oman is projected to grow its tourism economy from $7.9 billion to $12 billion by 2036, while Qatar continues to benefit from strong international demand, with visitor spending representing more than 94% of its total services exports.

WTTC President & CEO Gloria Guevara said that while geopolitical tensions have created short-term challenges, the region has repeatedly demonstrated its ability to recover.

"Travel & Tourism is often among the first sectors to feel the impact of geopolitical disruption. But history repeatedly shows that our sector is remarkably resilient, and few regions have demonstrated that resilience more clearly than the Middle East."

She added that continued investment in infrastructure, connectivity and destination development will help ensure the region emerges stronger and remains one of the world's leading tourism growth markets.