Hospitality industry in the region faces short-term challenges caused by currency fluctuations
- Strong dollar set to impact regional tourism market
- Currency fluctuations pose a cyclical threat
Currency fluctuations and a strengthening dollar pose the biggest challenges for the regions tourism industry, says Gerard Lawless, president and CEO of the UAEs Jumeirah Group.
Speaking at a panel discussion during the Arabian Hotel Investment Conference (AHIC) held in Dubai on 8 May, Lawless told the audience that the combination of a weakening euro and a strengthening dollar is making places such as Dubai and other GCC cities far more expensive than it used to be.
While this is a direct challenge being faced now, it is a cyclical one that will pass. But if we look at our two major issues at the moment, I think currency changes pose a bigger challenge than the question of too much supply because I feel the demand is there and will continue to grow, says Lawless.
Lawless used Singapore as an example, which has suffered due to a strong Singaporean dollar in recent years.
A MEED Subscription...
Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.