Tourism arrivals to Oman will increase at a compound annual growth rate (CAGR) of 5 percent between 2018 and 2023 to 3.5 million, according to new data from Colliers International.
The data, which was commissioned by Arabian Travel Market, found that the rise will be largely fueled by Indian visitors, who accounted for 21 percent of international arrivals during 2018.
In 2018, other significant source markets for Oman included the UK (9 percent), Germany (7 percent), the Philippines (6 percent) and the UAE (6 percent).
While India is expected to remain Oman’s top source market over the next five years, the Philippines is projected to have the highest growth rate at 11 percent, compared to 10 percent for the UK, 7 percent for Germany and 2 percent for the UAE.
The Colliers research also found that there are approximately 4,600 additional hotel keys expected by 2022, with 20 new hotels expected to open in Muscat in 2019 alone.
At the moment, supply in Muscat is dominated by the upper-midscale segment, four four-star properties accounting for 32 percent of the total, compared to 24 percent for five-star and 14 percent for three-star properties.