Qatar travel and tourism firms face growing cash flow strain amid Iran conflict

Travel and tourism businesses in Qatar are under growing operational and financial pressure as the Middle East conflict continues to weigh on the sector.

The Qatar Chamber’s Tourism Committee convened on Tuesday to address these challenges, highlighting liquidity strains as companies cope with refund requests from flight cancellations whilst still meeting financial obligations without attracting new customers.

At the same time, firms are facing rising operating costs amid stalled revenues, making it increasingly difficult to sustain staffing levels and office operations.

Major aviation hubs across the Gulf Cooperation Council (GCC), including Dubai, Abu Dhabi, and Doha, have seen disruptions, with airports suspending operations during the U.S.-Israeli conflict with Iran and only limited relief flights currently in service.

A key pillar of the GCC’s economic diversification efforts, the travel and tourism sector contributed over $247 billion to regional GDP in 2024—an increase of nearly 32% from 2019—and is projected to reach $371.2 billion by 2034.

To address the situation, the chamber plans to form a dedicated working group to assess industry challenges and develop appropriate solutions.

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