Iran war: UAE readies fresh tourism support package, minister says

Dubai: Support for the UAE’s tourism sector is being stepped up, with authorities preparing a fresh package aimed at easing pressure on an industry facing disruption from regional tensions.

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“We are supporting the tourism sector, we are speaking to them daily. We do have a package that will come up very soon that will really address the tourism issues and the challenges that they are facing,” said Abdulla bin Touq Al Marri, Minister of Economy and Tourism, in an interview with Dubai Eye 103.8's Business Breakfast show.

The move comes at a time when travel flows and aviation activity have been affected by ongoing developments, placing strain on hospitality operators and related businesses.

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Immediate relief through fee deferrals

Dubai has already moved to ease pressure through a Dh1 billion economic support package, allowing hotels and businesses to defer key government fees for three months starting April 1.

Hotels can postpone 100% of sales fees on rooms and food and beverage, along with the Tourism Dirham, providing immediate liquidity support across the sector. The relief extends to hotel apartments and holiday homes, broadening the reach of the measures.

Authorities say the wider package is designed to give companies room to manage near-term costs, while maintaining operational continuity during a more challenging period.

Sector engagement shapes policy

Officials say the response has been shaped through close engagement with industry players, with regular consultations feeding into policy decisions.

“We have been closely engaging with stakeholders across the tourism sector as they navigate through unique challenges,” said Issam Kazim, CEO of Dubai Corporation for Tourism and Commerce Marketing.

That feedback loop has helped shape the current measures and the upcoming package, with a focus on maintaining momentum while addressing immediate operational concerns.

Market stability remains a priority

Alongside sector support, authorities are closely monitoring prices and supply conditions to prevent disruptions from feeding into consumer costs.

All the retailers, for instance, when it comes to food and beverages, cannot really increase any price without coming and actually submitting on the ministry website, [and] we haven’t approved any price increase,” the minister said.

Consumers have also been advised to shop through major outlets and avoid stockpiling. “We have a good structure of supply chain happening. And I think that’s something in which the UAE is very strong,” he added.

The broader message from policymakers is one of stability, with authorities signalling confidence in the country’s ability to navigate the current phase.

“The UAE is strong, a 40-day conflict will not determine the future of the UAE economy,” the minister said, adding that the country will “bounce back”.

That confidence is rooted in a combination of policy agility, infrastructure strength and continuous engagement with businesses and consumers, which together are shaping the response across tourism and the wider economy.

The combination of fee deferrals and a forthcoming support package offers breathing space at a time when demand has softened.

Price controls and supply monitoring aim to keep essential costs stable, while broader measures are designed to ensure that economic activity continues without disruption.

The next phase will depend on how quickly travel patterns stabilise and how effectively the new support package addresses the sector’s evolving challenges.