Tourism awaits billions of dollars in revenues (Anatolia)
With the start of the countdown to hosting Diameter The FIFA World Cup 2022, markets and many economic sectors are preparing For the greatest recovery In the country’s history, some of them even started reaping profits early, as the total profits are estimated at tourism sector Only about $7.5 billion.
Qatar is the first Arab country to host this major global sporting event, which extends for 29 days, starting on November 20, and during this period, Doha will be a destination for about 1.5 million people from around the world, to follow sports matches, which will create promising opportunities for the sectors. Various, including real estate, trade, tourism, aviation, transportation and others.
Billions of dollars in revenue
The financial revenues from the organization of the World Cup are estimated at tens of billions of dollars, according to observers and studies, as it is expected that tourism will earn only more than 7 billion dollars, amid expectations of an increase in the revenues of trade, tourism, real estate and others, which are expected to flourish during the last quarter of this year and beyond. Finally, according to the official figures announced.
In its annual report, the Qatar Planning and Statistics Authority expected the country’s economy to grow during the current year 2022 between 1.6 percent and 2.9 percent, up from a range of 1.5 percent – 2.3 percent in 2021, driven by the improvement of most economic activities and Qatar’s hosting of the 2022 World Cup. .
According to a report prepared by the Kuwait Financial Center, it is expected that tourism spending and economic activities accompanying the 2022 World Cup in Qatar will add 1.5 percent to the value of the country’s gross domestic product. The report also expected that foreign direct investment in Qatar would increase before and after the World Championships.
Experts and economic consultants point out that the tournament will bring about a significant recovery in the Qatari economy and enhance the elements of development in various sectors, such as hotels, hospitality, transportation, housing, food commodities and others, as it is expected to increase consumer spending, especially by visitors who support sports teams, whose numbers are estimated at about two million fans. Economists expect profits to continue until 2035, and will double the profits of the previous World Cup in Russia 2018.
Tourism and Hospitality
Qatar is expected to achieve a huge economic return from tourism, as the economic research company “Capital Economics” confirms, in its recent report, that ticket sales indicate that about 1.5 million tourists will go to the World Cup in Qatar.
According to the company, each visitor for ten days will spend approximately $500 per day, which means that spending per visitor will reach $5,000. Hence, the total additional tourism spending would be approximately $7.5 billion, equivalent to about 6% of GDP.
The Director General of Ali Bin Ali Travel and Tourism Agency, tourism expert Saeed Al-Hajri, told Al-Araby Al-Jadeed that Qatar is ready to receive visitors who will attend sports matches and enjoy beach and wild tourism facilities, as well as markets and museums, noting that neighboring countries such as Saudi Arabia, the UAE and Kuwait The Sultanate of Oman is also preparing for the tournament, and the World Cup’s tourism activity will affect these countries as well, as daily flights have been scheduled from these countries to Doha.
Qatar Airways is cooperating with Fly Dubai, Kuwait Airways, Oman Air and Saudi Airlines, to provide direct daily flights to and from Doha within 24 hours to and from Doha, to attend the match on the same day and enjoy an exceptional experience, with an average of 168 flights per day, 60 flights for flydubai. 20 Kuwait Airways flights, 48 Oman Air flights, and 40 Saudi Arabian Airlines flights from Jeddah and Riyadh.
Al-Hajri pointed out that the tourism companies in Qatar have prepared various tourism programs for the fans of the World Cup, stressing that the prices are affordable for everyone and less than the countries that hosted the previous tournaments. Daily.
The official hospitality program for the 2022 World Cup recorded the highest sales rate in the history of the FIFA World Cup during the 100-day period preceding its launch. The same period increased by 29%, noting that the countries that purchased the most hospitality packages are Mexico, the United States, the United Kingdom and Argentina, while the United Kingdom, Switzerland, France and Spain topped the list of European countries in the highest demand for hospitality packages.
Qatar, Saudi Arabia and the UAE ranked first in the demand for hospitality packages in the Middle East, and there are three countries that have not participated in the World Cup, namely India, Hong Kong and Bangladesh.
Regarding the preparations of Doha hotels for the tournament, the general manager of the St. Regis Hotel, Wissam Suleiman, told Al-Araby Al-Jadeed that the Supreme Committee for Delivery and Legacy, which is the local authority responsible for the 2022 World Cup projects, has booked almost all hotels in Qatar, with an occupancy rate of 80% of the total. All hotel and 20% left are marketed by hotel management.
Suleiman pointed out that his hotel is reserved for the establishment of the Netherlands Olympic team, and pointed to the continuation of modernization and development work for all hotel facilities in preparation for the tournament. On the prices, he said that they are “reasonable” compared to the countries that previously hosted this international event.
Opening of 50 hotels
A few days ago, the Qatar Tourism Authority announced the opening of 50 new hotels this year, and the Qatari hospitality sector achieved positive returns, by selling 3.1 million hotel nights until last June, while the supply of rooms is steadily increasing, recording 30,000 rooms until the mentioned month.
Accommodation options vary during the tournament, ranging from hotel rooms (from 2 to 5 stars), floating hotels, apartments and residential villas, and fan villages. The Supreme Committee for Delivery & Legacy has signed an agreement with MSC Cruise Ships to charter two cruise ships to create a unique experience for fans. The two ships will provide 4,000 rooms for 9,500 people. During the tournament, entertainment activities including more than 90 special events will be held.
real estate boom
The housing and rental sector is witnessing an unprecedented boom, which began at the beginning of this year, and rent values continue to rise with the start of the tournament. This comes after massive spending by the state on infrastructure.
According to a previous statement by the head of the Qatari Businessmen Association, Sheikh Faisal bin Qassim Al Thani, to Qatar News Agency (QNA), more than $200 billion has been spent on basic utilities such as roads, bridges, ports, airport, metro, housing, tourism and free zones.
He pointed out that the infrastructure will turn into gains after the completion of the organization of the tournament. He stressed that the World Cup will be a strong point to attract foreign investment, and will positively reflect on the country’s future as an investment and tourism destination capable of raising competition challenges.
In this context, Raed Al-Masry, a professor of political science and international economic relations, said in an interview with Al-Araby Al-Jadeed that the real estate sector is witnessing continuous growth in the scope of construction and construction operations in all regions, and is benefiting from the high local liquidity.
Al-Masry pointed out that investors in it seek to achieve profits and permanent returns without risks, especially investors who focus on the leasing sector.
Qatar’s Barwa Real Estate Group signed a lease contract for housing units in the “Barahat Al Janoob” project, which includes 1,404 furnished housing units, with a value of 141.5 million riyals (about $38.8 million), with the Supreme Committee for Delivery and Legacy. The contract began in early August and lasted for 6 months. .
The Supreme Committee for Delivery & Legacy also signed an agreement with Accor Hotels Group to provide accommodation for 10,000 employees to manage and operate more than one million nights of accommodation in 60,000 apartments and villas during the tournament.
The expert and economic advisor, Ramzi Qasmieh, told Al-Araby Al-Jadeed that hosting the World Cup is one of the most important sporting events in the world because of its many effects on the host country, and economically it benefits several sectors, including real estate.
He pointed to the increase in demand for residential and hotel units, which led to a rise in rent prices by 10-40%, explaining that the “Economy of the World Cup” is not a process of spending and waiting for revenue, but rather a process that has dimensions of more than that, as Qatar has spent huge sums to develop The infrastructure includes roads and a modern transportation network (the metro), as well as hospitality and hotels, in addition to stadiums and advanced sports facilities.
The housing platform for the 2022 World Cup fans, since its launch last March, has witnessed a remarkable turnout from football fans from all over the world. The Executive Director of the Housing Department at the Supreme Committee for Delivery and Legacy, Omar Al-Jaber, said in a television interview, that the issue of housing is subject to supply and demand, and there are some days that witness great crowding in reservations, especially during the period from 25 to 28 November, which is the peak period. For reservations.
Huge commercial gain
Markets and major commercial centers are preparing to receive the World Cup fans, amid expectations of huge gains for the commercial sector.
Qatar has more than 20 large “malls”, the latest of which, “Plus Vendome”, was opened in Lusail City, which includes 560 shops and stores whose components reflect various international brands, while the “Mall of Qatar” is built on an area of 500,000 square meters, equivalent to an area of 50 football fields, to be one of the largest malls in the Middle East, with more than 400 stores. There are other malls such as Landmark, Tawar Mall, Flageo and others.
Popular markets, “supermarkets”, and food stores will also flourish, as an official in a food distribution company, Hisham Sultan, told “Al-Araby Al-Jadeed” that his company doubled the quantities of foodstuffs imported by nearly 4 times during the World Cup period, while maintaining The prices are the same.
He stressed that the World Cup will benefit restaurants and food stores that are preparing for this unique season, and the competent authorities in the Ministries of Commerce and Municipality are working to monitor and control the movement of markets and stores to ensure compliance with the laws. As for the investments of the public transport network, during the past few years, their value amounted to 84 billion riyals, including 66.5 billion riyals in the development of the Doha metro network, 13.5 billion riyals to develop the Lusail Tram and 4 billion riyals for the infrastructure of electric buses, which represents 25% of the fleet of buses for the championship. .