Dubai Offers Incentives to Boost Tourism Amid Regional Conflict Downturn
Quick Look
Dubai's Department of Economy and Tourism launched the 'Dubai Invite' scheme, offering residents benefits worth over 3,000 AED to attract friends and family, aiming to revive tourism numbers that plummeted after the city was drawn into the US-Israel war on Iran, leading to hotel vacancies and revenue declines.
AI-generated summary
Why It Matters
Dubai's tourism sector is experiencing a significant downturn, with international passenger numbers falling sharply after the Gulf states became drawn into the US-Israel war on Iran. This conflict led to missile attacks on Dubai and a halving of airline operations.
Dubai is offering to pay residents who attract family and friends to visit the emirate in an effort to revive tourist numbers that have plummeted since the city was drawn into the US-Israel war on Iran.
The Dubai Invite scheme, an initiative of the department of economy and tourism, allows residents of the United Arab Emirates to nominate friends and relatives and then to receive benefits worth more than 3,000 UAE dirham (about £610) if they visit.
Visit Dubai’s website says residents will receive a “benefits package” including hotel stays, dining deals and attraction tickets.
Eligibility terms state that each resident is eligible for a maximum of three benefit packages for visitors arriving before 31 October, but benefits can be redeemed until December.
The visitors must be non-UAE residents, arrive on a valid tourist visa and can only be nominated once.
The scheme comes as the UAE’s tourism sector experiences a significant downturn, with international passenger numbers falling sharply after the Gulf states became drawn into the US-Israel war on Iran.
In February, Iran retaliated by firing missiles and drones which hit the world-famous Fairmont hotel and Dubai’s international airport, shattering the image the city had sold influencers and the ultra-rich of a gilded playground, safe from the volatility of the wider region.
In 2025 Dubai welcomed nearly 20 million tourists, a record. However, since the conflict the number of airlines operating at Dubai airports has halved as many planes were turned around due to missiles and tourists avoided routes over the Middle East.
There are reports of massive hotel vacancies and businesses suffering declines in revenue of more than 50%.
Some of Dubai’s most famous hotels have shut entirely, many bringing forward plans for renovations and refurbishments such as the sail-shaped Burj Al Arab, which will close for 18 months for a major restoration.
Other hotels and businesses are leaning into the government’s new scheme, offering discounts of 45% and free nights.
What to Watch
AI outlook — possibilities, not facts
The Dubai Invite scheme will continue to operate until at least December for benefit redemption.
Very likely · Within months
Open Questions
- Will the Dubai Invite scheme successfully revive tourism?
- What is the full financial impact on Dubai's economy?
- How long will the regional conflict continue to affect travel?
