Visa Cardholders Go On Spending Spree In U.A.E.

Visa cardholders in the U.A.E. are doing some serious damage to their banking statements, as they have been taking full advantage of Abu Dhabi’s and Dubai’s swanky shopping avenues and wide range of cultural activities. 

According to new data issued by Visa in CPI Financial, Visa cardholders who visited the U.A.E. last year spent a whopping $4.7 billion with their cards. This figure indicated a 17.1 percent jump from the 2011 report. The VisaVue Travel data results also reported a 20 percent increase of the total number of transactions within the country.

The Visa Tourism Outlook U.A.E. report was revealed at the Arabian Hotel Investment Conference 2013, which is where hotel investors, developers, operators and advisors working in the Middle East region meet each year to discuss impacts and pressing issues surrounding hospitality and tourism.

CPI Financial reports that Marcello Baricordi, general manger of U.A.E. Visa, stated at the conference, “The U.A.E. Tourism Outlook report is Visa’s commitment to contributing market intelligence to the global tourism industry. As the world’s largest payment solutions provider, we are in a unique position to provide insight into where and how visitors are spending their money.”

Which Countries Are Spending?

The annual meeting highlighted growing tourism in the U.A.E. and listed the UK, Russia, Saudi Arabia, the U.S., China, Qatar, Angola, Kuwait, India and France to be the top 10 countries with citizens who were spending the most cash in the U.A.E. Together these markets accounted for 62.6 percent of the tourism spending.

The UK was cited to house the top spenders, as the report showed that British Visa cardholders spent 10.4 percent more in the last year for a total of $540.4 million. Russia was second in line, with visitors spending $444.6 million using their Visa cards. Russian consumers spent 29.8 percent more than they did in 2011.

Saudi Arabian travelers came in third, as the report stated that visitors from the kingdom spent $420.4 million with Visa cards, which represented a 28.8 percent increase. Following close behind Saudi Arabia were the U.S. and China.

The newest country to be listed on the top ten markets report was Qatar, which saw a 56.9 percent increase in tourism spending. The data stated that Visa cardholders from the nation spent $196.9 million in 2012.

Where Is The Money Going?

In 2012, Visa cardholders spent the most money in the U.A.E. on retail shopping. The figures show $1.4 billion was spent in retail, which was a 25.2 percent increase. Dining at restaurants came in second with $75.3 million (27.6 percent increase), followed by $15.1 spent in the fast food sector (122 percent increase).

The data also reported a reflective growth in the U.A.E., and stated that outbound travel amongst Visa cardholders were also rising significantly. Visa customers traveling from the U.A.E. spent $2.5 billion internationally in 2012, which represented a 12.2 percent jump from the prior year. The data revealed the top five destinations where U.A.E. Visa cardholders were spending the most money, citing the UK, the U.S., Germany, France and Saudi Arabia as leading markets.

To read the full article at CPI Financial click here.