The escalating conflict between the U.S., Israel and Iran is already hitting the Middle East travel and tourism sector hard, with the World Travel & Tourism Council (WTTC) estimating losses of at least $600 million per day in international visitor spending.
The region, a vital global travel hub, normally accounts for 5% of international arrivals and 14% of global transit traffic.
Major aviation centres in Dubai, Abu Dhabi, Doha and Bahrain, which together handle around 526,000 passengers daily, have seen widespread flight cancellations and airspace closures, severely disrupting regional and global connectivity.
WTTC’s 2026 pre-conflict forecast projected $207 billion in visitor spending across the Middle East. Analysts say any disruption to travel flows quickly translates into substantial losses across airlines, hotels, car hire companies and cruise lines.
Regional carriers have dramatically reduced operations.
On 24 February, Emirates, Etihad Airways and Qatar Airways operated 527, 325 and 563 flights respectively. By 10 March, that had fallen to just 309, 56 and 66.
The conflict has halted a recent tourism boom in the Gulf and wider Middle East. Ibrahim Khaled, head of marketing for the Middle East Travel Alliance, said cancellations have surged for destinations flagged on U.S. and UK no-go lists, with flights disrupted and trips effectively on hold.
A report by Tourism Economics forecasts that inbound arrivals could decline by 11%–27% year on year in 2026, equating to 23–38 million fewer international visitors and $34–$56 billion in lost visitor spending.
GCC countries, including the UAE and Saudi Arabia, are expected to be worst hit due to their reliance on air connectivity and perceptions of safety. Countries such as Qatar and Bahrain, which receive a higher proportion of land arrivals, are comparatively less affected.
“The impact on tourism demand from this conflict is larger than last year’s, due to retaliatory strikes by Iran on GCC countries and wider airspace closures,” the report added.
Analysts warn of knock-on effects for global travel, as disruption to Middle East hubs affects flights between Europe, Asia and Africa.
Despite the immediate disruption, tourism experts stress the region’s resilience. Khaled said demand typically rebounds quickly once stability returns, and WTTC research suggests recovery can occur in as little as two months with strong government and industry support.
According to Gloria Guevara, WTTC President and CEO, travel and tourism is one of the most resilient sectors.
She noted that while international visitor spending across the Middle East averages $600 million per day and has been severely impacted, history shows the sector can recover quickly, particularly with hotel support, repatriation efforts and clear communication to travellers.
“Coordination between the public and private sectors is critical to rebuild trust and restore stability,” Guevara said.
WTTC continues to monitor developments closely, working with governments and industry leaders to support traveller safety and the long-term resilience of the regional and global tourism sector.
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A freight train carrying more than 1,000 tons of Russian grain will depart for Armenia through Azerbaijani territory on Wednesday. The shipment consists of 11 wagons loaded with a total of 1,023 tons of agricultural cargo.
Tensions in the region remained high on Tuesday (10 March), as the United States and Iran exchanged increasingly sharp warnings, including threats over the strategic Strait of Hormuz, a critical artery for global oil supplies.
Iran's new Supreme Leader, Mojtaba Khamenei, was 'lightly injured,' an unnamed Iranian official said on Wednesday, as Tehran and Israel continued to exchange missile and drone strikes - all the latest updates throughout the day on AnewZ.
Global oil prices reached a four year high on Monday (9 March), surpassing $119 a barrel, as conflict in the Middle East rumbled on. Meanwhile, the Turkish Military said NATO air defence systems destroyed a missile fired from Iran towards the country.
U.S. President Donald Trump called his recent phone conversation with Russian President Vladimir Putin “very good.” The two leaders spoke on Monday about the situation in Iran and other international issues.
Start your day informed with AnewZ Morning Brief. Here are the top news stories for the 10th of March, covering the latest developments you need to know.
A towering lava fountain from Kilauea shot about 400 metres into the air late on Tuesday (11 March) on Hawaii Island, prompting temporary closures at Hawaii Volcanoes National Park and part of a key highway as volcanic ash and debris fell over nearby areas.
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Global air travel remained in turmoil on Monday after U.S. and Israeli strikes on Iran and retaliatory strikes in the Gulf region prompted widespread airspace closures across the Middle East, disrupting one of the world’s most important aviation corridors.
Chinese travellers made an estimated 362.58 million cross-regional passenger trips on Monday, the final day of the Spring Festival holiday, according to official data.
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