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Iran conflict costing travel and tourism sector US$600 million daily: WTTC

Aviation

The World Travel and Tourism Council (WTTC) has estimated that the escalating conflict in Iran is already affecting the travel and tourism sector across the Middle East, with losses of at least US$600 million per day in international visitor spending. The impact stems from disruptions to air travel, declining traveller confidence, and interruptions to regional connectivity.

According to WTTC, the Middle East plays a significant role in global travel, accounting for around 5 per cent of international arrivals worldwide and about 14 per cent of global international transit traffic. As a result, disruptions in the region have ripple effects across the global travel ecosystem, impacting airlines, airports, hotels, car rental services and cruise operators.

Major aviation hubs, including Dubai, Abu Dhabi, Doha and Manama (Bahrain) have experienced operational disruptions and temporary closures amid the escalating situation. Together, these hubs typically handle around 526,000 passengers daily, making them critical nodes in global air connectivity.

WTTC said that its analysis is based on its 2026 pre-conflict forecast, which projected US$207 billion in international visitor spending across the Middle East this year. The organisation noted that interruptions to travel flows can therefore translate rapidly into substantial economic losses for the tourism sector.

Despite the current challenges, WTTC emphasised that travel and tourism remains one of the world’s most resilient economic sectors. Research conducted by the council indicates that tourism demand following security-related crises can recover within as little as two months, provided governments and industry stakeholders work together to restore traveller confidence.

Gloria Guevara, President & CEO of the World Travel & Tourism Council, said, “Travel & Tourism is the most resilient of sectors. The impact of international visitor spending across the Middle East is significant and averages around US$600 million per day, but 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.”

She added, “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.”