The Dubai Department of Economy and Tourism (DET) has introduced a new investor incentive programme to accelerate hotel development in several high-growth zones of Dubai. The initiative is part of the emirate’s broader tourism strategy and follows the approval of Executive Council Resolution No. 68 of 2025.
Under the scheme:
- Newly licensed hotels, resorts and serviced apartments in designated areas—such as Dubai South, Palm Jebel Ali, Dubai Parks and Dubai Islands—will be eligible to have 100 % of the Dubai Municipality room-fees and the Tourism Dirham charge reimbursed for the first two years of operation.
- Eligible establishments must begin guest operations within three years of application, and the benefits apply only to those registered after the resolution’s adoption.
- The DET will review and approve applications and ensure hotel projects meet licensing and classification requirements throughout the two-year benefit period.
According to key officials, the move is expected to strengthen Dubai’s accommodation capacity in emerging tourism zones, relieve pressure on central areas and support the emirate’s Dubai Economic Agenda D33, which targets doubling the economy and reinforcing Dubai’s position as a top global destination.
With the incentive in place, investors are being encouraged to accelerate development in these zones, contributing not only to more hotel rooms but also to infrastructure growth, visitor-experience diversification and long-term job creation in the hospitality sector.
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