Dubai is facing an existential crisis with the US and Israeli war on Iran forcing visitor numbers to fall sharply, with widespread hotel closures and job losses decimating the global tourism hotspot's hospitality sector.
On Monday, Dubai Airports reported that first-quarter passenger traffic was down by at least 2.5 million from the same period in 2025, with March seeing a 66 percent drop in passenger numbers as travellers chose to steer clear of the Gulf.
The company did not specify forecasts for this year but on Saturday, in a bid to kickstart tourism, the UAE announced that all air travel restrictions put in place after Iran launched retaliatory strikes on Gulf countries that house or cooperate closely with US forces had been lifted.
In a post on their official X account, the Civil Aviation Authority wrote: "Our decision came following a comprehensive assessment of operational and security conditions, in coordination with the relevant authorities."
The statement was clearly meant to relay confidence to international travellers, especially after several European airlines announced they would be suspending flights to the Middle East.
