Dubai Local Time

Municipality fee waived for new three-star, four-star hotels

The ten percent municipality fee will be waived for newly developed three and four star hotels in Dubai, announced a top official at department of Tourism and Commerce Marketing (DTCM).


Speaking during the 14th edition of ‘The Hotel Show’, Helal Saeed Al Merri, the Director General of DTCM, said that the scheme, developed by DTCM and Dubai Municipality, will help in development of three and four star hotels. This is aimed to double the visitor numbers to Dubai by the year 2020, when the number of hotels would be doubled.


This incentive programme is developed under the directive of HH Sheikh Mohammed bin Rashid Al Maktoum, the Vice President and Prime Minister of UAE and Ruler of Dubai.


The initiative helps people intending to develop three and four-star hotels, to do so faster, said Al Merri, adding that the Municipality fee will be waived for a period of four years, from the time of granting building permit.


Dubai will welcome 20million visitors annually by the year 2020, as part of 2020 vision, which in-turn will boost the tourism sector’s contribution to the economy of the city.


To widen the tourism offering in Dubai and achieve the vision, the DTCM is focusing on developing three areas – promoting Dubai as leading family destination, event destination and improving its position as business destination. Moreover, doubling the number of hotels in Dubai is an area of great concern, as it is vital to ensure that hotel prices do not shoot up, said Al Marri.


With more hotels coming up, the demand-supply of hotel rooms could be balanced. While there is demand for hotels in beach locations, there is also need for hotels in other areas, including locations that are near attractions.


Al Marri expects different kinds of hotels to enter the market in the coming years, leading to 2020, including those owned by emerging and independent operators, besides larger hotel brands.


Meanwhile, with regards to World Expo 2020, Al Merri said Dubai is in a good position to win the bid. He highlighted the importance of investing in technology, which is important for tourism strategies in Dubai.


Posted on 30/9/2013


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