5 QUESTIONS TO MOHAMED AL MAHMEED, HEAD OF TOURISM INVESTMENT PROMOTION, QATAR TOURISM AUTHORITY
1. Can you describe the hospitality and tourism business evolution in Qatar during the last five years?
Qatar is the fastest growing destination within the region in terms of visitor arrivals, averaging 11.5 percent growth over the past five years. According to the UNWTO, Qatar is the only country in the Middle East to witness consistent growth in arrivals for a decade, from 20052015. The country had 20 new hotels opening in 2015 alone. In 2016, a new grading and classification system for the hospitality sector was rolled out, aimed at raising the standards of hotels. The Qatari tourism industry ranked second most competitive in the region, and 43rd out of 141 countries by the World Economic Forum, Travel & Tourism Competitiveness Index, 2015.
2. Where do investment opportunities reside?
Our strategy focuses on building on Qatar’s offerings in four priority areas: Sports and recreation tourism, culture and heritage, urban and family entertainment, and business events. Qatar presents a variety of investment opportunities in tourism products and services, leisure, health and wellness, culture and heritage, gastronomy, and MICE, among others. We are also working with private sector partners to diversify the hospitality industry, and to develop attractive accommodation. We are encouraging the development of more three- and four-star hotels, the launch of experiential hotels, and investment in resorts, eco-lodges, boutique hotels, and other new hospitality offerings.
3. What are the benefits and the advantages of investing in Qatar?
Investors that set up companies in Qatar now benefit from a rare competitive edge, being among the first to start up in a fast growing market with still only a few players. As one of the safest and most stable countries in the world, Qatar offers the ideal investment environment for foreign investors. Much of the groundwork is already laid for the industry, as our government has already invested nearly USD 200 billion in infrastructure supporting tourism, through projects including: Hamad International Airport, Doha Metro System, Msheireb Downtown Doha, National Museum of Qatar, and the New Hamad Port.
4. What are you offering as facilitation to investors?
Qatar identified tourism as a priority sector. The country’s tourism sector is a nascent one, and many firsts are ahead, and efforts are intensifying to turn challenges into opportunities. The government is stepping up efforts to attract foreign investments. QTA established a Tourism Investment Promotion Unit to attract investors and facilitate building relationships between investors, local and international talent, as well as government authorities. We have also released an investors’ guide, including all the necessary details about the legal procedures, financing, and government processes. A new e-licensing system is underway. It will make applying for or renewing tourism licenses more efficient and transparent. The passing of laws and policies are being accelerated to incentivize foreign investment and ownership of businesses. We are also working to carve out new avenues for local startups and entrepreneurs, as their participation in developing the sector is key. We partnered with Qatar Development Bank and Qatar Business Incubation Centre (QBIC) to create QBIC Tourism, a specialized incubator that provides the ideal business environment for entrepreneurs looking to enhance the Qatar tourist experience. Launched in January 2016, QBIC Tourism has incubated 11 start-ups.
5. What are your future plans?
Recent projections indicate that Qatar is on track to meet 2030 tourism targets, and may be able to exceed them, with the right investments, both local and foreign. Our strategy for the coming years places great emphasis on promoting investment opportunities in Qatar. We are also working on diversifying our calendar of festivals and events, and look forward to introducing new festivals in the coming year.