The cost of war to tourism

The US/Israeli war with Iran is costing the travel and tourism industry at least $854 million a day, estimates the World Travel and Tourism Council.

Air travel has been disrupted and traveller confidence undermined.

Usually around 526,000 passengers a day pass through the Middle East’s major aviation hubs, including Dubai, Doha, Abu Dhabi and Bahrain.

The Middle East accounts for five per cent of global international arrivals and 14 per cent of global international transit traffic, points out a spokesperson for the WTTC.

Any disruption affects demand worldwide, which impacts airports and flights, hotels and cruise lines.

WTTC’s analysis is based on its 2026 pre-conflict forecast for the Middle East, which projected $294 billion in international visitor spending across the region this year.

But Gloria Guevara, president and CEO of the WTTC, says: “Travel and tourism is the most resilient of sectors.

“History shows that the sector can recover quickly, especially when governments support travellers through hotel support or repatriation.

“Our analysis of previous crises demonstrates that security-related incidents often see the fastest tourism recovery times, in some cases as quickly as two months, when governments and industry work together to restore traveller confidence. WTTC commends governments who have worked tirelessly in recent days to support recovery efforts.

“Clear communication, strong coordination between the public and private sectors, and measures that reinforce safety and stability are critical to rebuilding trust with travellers and supporting the sector’s recovery.”