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Abu Dhabi, Riyadh bag highest hotels occupancy in MEA
Published in The Saudi Gazette on 26 - 06 - 2011

Movenpick Hotels & Resorts offer a choice between breaks or leisure getaways in its different locations around Saudi Arabia.
JEDDAH: Abu Dhabi reported the largest occupancy increase in the Middle East and Africa region in May, according to latest data supplied by STR Global.
The UAE capital's hotels saw occupancy levels rise 17.4 percent to 64.2 percent.
Saudi Arabia's Riyadh reported the second-best occupancy increase with an 8.4 percent rise to 73.5 percent.
Overall, the region saw a mixed performance during May. The Middle East/Africa ended the month with a 12.5 percent decrease in occupancy to 53.7 percent, average daily rate rose 8.5 percent to $151.96, and revenue per available room ended the month with a 5.1 percent decrease to $81.53.
Elizabeth Randall, managing director at STR Global, said: "The political changes and demonstrations across parts of Northern Africa and the Middle East continue to influence hotel performances.
"The MENA markets reporting positive occupancy and average room rate increases for May are Jeddah, Makkah, Madina, Riyadh and Dubai. Despite new supply still entering the Dubai market, May was the second consecutive month of moderate average rate increases since mid-2008."
Cairo's hotel industry continued to suffer in the post-revolution era with occupancy dropping 47.6 percent to 34.4 percent.
Only one market in the Middle East experienced ADR increases of more than 10 percent - Riyadh saw an 11.3 percent rise to $284.93.
Despite its occupancy rise, Abu Dhabi posted the largest ADR decrease of the key markets, registering a 22.3 percent drop to $145.27, STR Global data showed.
Riyadh experienced a double-digit revPAR increases, up 20.6 percent to $209.43 while Muscat, Oman recorded a 22 percent drop to $79.14.
Two markets experienced ADR increases of more than 10 percent: Cape Town, South Africa (+17.6 percent to $135.28), and Riyadh (+11.3 percent to $284.93).
Abu Dhabi posted the largest ADR decrease of the key markets, registering a 22.3 percent drop to $145.27, followed by Amman (-11.0 percent to $143.24) and Beirut, Lebanon
(-10.9 percent to $189.79).
Two markets experienced double-digit RevPAR increases: Riyadh (+20.6 percent to $209.43) and Cape Town (+17.8 percent to $59.50).
Four markets reported RevPAR decreases of more than 20 percent: Cairo (-49.3 percent to $40.06); Amman (-28.3 percent to $81.93); Beirut (-26.6 percent to $108.07); and Muscat, Oman (-22.0 percent to $79.14).
Accor Middle East said earlier it plans to recruit more than 1,412 Saudi nationals as part of its expansion plan over the next five years.
The company said it has worked closely with the Saudi Commission for Tourism and Antiquities (SCTA) towards a nationalization plan for Accor hotels in the Kingdom.
A comprehensive Saudization plan has been approved by SCTA which will see the company recruit 1,412 Saudis by the end of 2015, taking the total to 1,757.
The objective is for Saudi nationals to gradually reach 80 people of the total workforce in Accor hotels in the Kingdom.
Christophe Landais, managing director Accor Middle East, said: "We fully support the Saudisation programme in its endeavour to solve the growing unemployment in the country and we strongly believe that sustainable hotel development will succeed only through the development of Saudi nationals."
The hotel group's pledge come as Saudi Arabia embarks on a new phase of its Saudization jobs policy.
The French hotel group said it plans to open five ibis hotels across the Gulf by 2014 as part of a bid to grow its Middle East network to 54 hotels by 2014.
The chain currently operates nine of the budget brand hotels in the Middle East, with new units planned for Bahrain, Saudi Arabia and Syria.


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