(MENAFNEditorial) The Foreign Exchange and Remittance Group (FERG), comprising businesses engaged in money exchange and remittances, has recorded a 10-15% increase in foreign currency exchange transactions for 2016 compared to the same period last year.
Data compiled by the organisation from the ledgers of member exchange houses also shows a spike in foreign exchange purchase transactions coinciding with the UAE’s peak tourism season.
FERG’s findings are supported by Dubai tourism figures showing increased tourism to the Emirate. Dubai welcomed 9.58 million tourists from the beginning of 2016 to August of the year. This compares favourably with the 9.38 million recorded for the same period in 2015. 21% of inbound tourists came from Eastern European countries, with the GCC contributing another 25%. 16% of all visitors to Dubai came from the South Asian region.
By country, Saudi Arabia, India and the UK occupy the top three positions as source markets for 2016’s tourist inflows. Oman is 4th on the list, with the US and Pakistan in 5th and 6th place.
“While FERG doesn’t keep tourism data to hand, we’ve certainly seen growth – at least in terms of retail currency purchases over the counter. We have registered a 10-15% spike in currency transactions for 2016 compared to 2015. This is excellent news for hospitality businesses, and shows the durability of the UAE as a perennial tourism destination,” said FERG Secretary Mr. Rajiv Raipancholia
FERG data registers an uptick in money exchange transactions during the slow summer months - powered by outbound travellers from the country. “We witnessed an increase in sales for foreign currencies such as GBP, EUR, AUD, USD as people exchanged dirhams to the currency of their travel destination,” noted Raipancholia
FERG saw heightened foreign currency sales during the UAE summer. During winter, which coincides with peak inbound tourism season for the UAE, FERG members witnessed in foreign currency purchases – as tourists’ covert their home currencies into AED. “The summer months are a peak time for foreign currency sales too outbound travellers. In the winter, our exchange house members witness a spike in foreign currency purchases driven by an inflow of visitors for New Year, and attractions such as the Dubai Shopping Festival,” Raipancholia explained.
FERG members regularly deal in over 70 different currencies –a proxy indicator of the diversity of tourist inflows to the UAE. US dollar transactions stayed steady through 2016, with the GBP and EUR also proving popular in both buying and selling transactions. The summer months saw a spike in the purchase of Swiss francs (CHF) and Australian dollars (AUD) – indicating that these destinations were popular with outbound travellers from the UAE this year.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.