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Dubai unveils incentive scheme to stimulate hotel development in accordance with accelerating demand

The Dubai Department of Economy and Tourism (DET) has launched a new incentive programme for investors designed to stimulate hotel development in future high-growth areas in the city. Under the initiative, hotel establishments covered by this decision will be reimbursed 100% of the Dubai Municipality fee on room sales and the Tourism Dirham for a period of two years after opening. The initiative applies to new hotels, resorts, hotel apartments, and other facilities approved by the Dubai Department of Economy and Tourism, and located within Dubai South, Palm Jebel Ali, Dubai Parks, and the Dubai Islands. This follows the issuance of Executive Council Resolution No. (68) of 2025 by His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, Deputy Prime Minister, Minister of Defence, and Chairman of The Executive Council of Dubai, approving the initiative. His Excellency Issam Kazim, CEO of the Dubai Corporation for Tourism and Commerce Marketing, part of the Dubai Department of Economy and Tourism, said: “The launch of this hotel incentive programme, on the directives of His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, marks an important new phase in the development of Dubai’s hospitality ecosystem, expanding its footprint in emerging areas of the city, and ensuring we can maintain our strong tourism growth trajectory. Our commitment to public-private partnerships and a diversified market approach continue to be at the heart of our tourism strategy, and this new programme is a testament to our ongoing efforts to further enhance our world-class infrastructure and expand our diverse accommodation portfolio, supporting our goal of making Dubai the best city to visit, live, work and invest in.” His Excellency Khalifa Al Zaffin, Executive Chairman …

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