More than 48% of rooms in the regional construction pipeline are in the ‘luxury’ and ‘upper upscale’ sectors, according to research from STR Global.

The company has also reported that a total of 940 new hotels will open in the MENA region by the end of 2012, compared to just 678 in Europe.

Due to the high percentage of upscale hotel developments in the Middle East, The Hotel show has witnessed a steady increase in the number of high-end and luxury suppliers participating at the show, and expects this trend to continue.

The Hotel Show director Frederique Maurell said: “When you consider that the Euro zone including the UK has a population of well over 385 million, the figures for MENA certainly stack up favourably.”

“While luxury rates have been subject to downward pressure for the last two years or more it is difficult to justify any significant investment in luxury properties. By contrast the Middle East’s luxury market is clearly thriving, providing more potential business for high-end suppliers than many other markets in the world,” he added.