Who knows what 2009 may bring?

Now that 2008 has drawn to a close we enter a new episode in our personal and professional lives. Perhaps it's time to make a fresh start and look to 2009 with an air of optimism?

Yet it is difficult to disregard some of the global events of 2008 as they will, no doubt, have great bearing on the industry and the world over the next 12 months.

On the economic front, record oil prices crippled the airline industry in 2008, impacting almost every industry imaginable and manifesting itself with rising costs of living and soaring food prices.

When oil prices took a downward trend, many breathed a sigh of relief, but little did they know that a global recession of unprecedented proportions was on their doorstep.

Until now, the Middle East has been relatively sheltered from the credit crisis, but even this booming region will not escape these financial woes.

Already real estate developments, including those related to the travel industry, are either postponed or cancelled as investors tighten their purse strings.

Industry experts predict that the Gulf could be see a slowdown in growth as opposed to negative growth as witnessed elsewhere, but only time will tell.

In the meantime UAE banks hiking up mortgage lending rates will severely impede the spending power of the nation's middle class, leaving them less disposable income to use for holidays and short breaks.

This spells trouble for agents and operators looking to increase leisure sales next year, while corporate agents are already noting spending cutbacks.

But even economic woes pale into insignificance next to the shocking acts of terrorism that have taken the lives of innocents in 2008, most recently with the four-day siege in Mumbai.

The event, which has been dubbed ‘India'a 9/11' deliberately targeted leisure and business visitors and served as a rude awakening that terrorists can strike anywhere anytime.

So as we enter a new year, all we can do is be prepared and stick together both as individuals and as an industry and face the challenges of the year ahead.

Gemma Greenwood is the senior group editor of ITP Business' travel & hospitality magazines.

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READERS' COMMENTS

Well said SR
Posted by Sanjay, Dubai on Tuesday 20 January 2009 at 23:33 UAE time


I totally agree with SR.
Perhaps the author lives a very sheltered life :)

Are we still in Sept '08??
Posted by SR, Dubai on Tuesday 20 January 2009 at 18:34 UAE time


""Until now, the Middle East has been relatively sheltered from the credit crisis, but even this booming region will not escape these financial woes.""

Obviously this article had been written in September '08!!!

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