These are some of the ways the emirate is competing with its neighbors Saudi Arabia<\/a> and Qatar<\/a> for tourist dollars and, so far, it\u2019s beating them handily<\/a>. Dubai has more restaurants per capita than any major city except Paris<\/a>. <\/p>\n But the city-state\u2019s booming restaurant scene is testing the limits of its growth-at-all-costs model, raising questions about how long Dubai can keep feeding its own ambitions. <\/p>\n A crowded and competitive market<\/p>\n The competition is cutthroat, so presentation is key. <\/p>\n \u201cGone are the days when it just tastes good,\u201d said Kym Barter, the general manager of Atlantis The Palm, a resort perched on a manmade archipelago that boasts more Michelin stars than any other venue in the Middle East. <\/p>\n But dazzling Dubai\u2019s food bloggers \u2014 the most popular of whom have millions of social media followers \u2014 isn\u2019t enough. Staying afloat means battling high rents<\/a> and winning over a diverse and demanding group of consumers. <\/p>\n Dubai has roughly nine expatriate residents for every Emirati citizen. Most of its private sector workers are migrants on temporary contracts, and only Vatican City has a higher share of foreign-born residents. <\/p>\n Tourists, in turn, outnumber locals about five to one by some estimates, and they spend lavishly. Visitors to Dubai drop an average of over five times more than those traveling to nearby Saudi Arabia<\/a> or even the U.S.<\/a>, according to global restaurant consultant Aaron Allen. <\/p>\n Dubai is \u201con the right path\u201d to becoming the world\u2019s food capital, said Torsten Vildgaard, executive chef at FZN by Bj\u00f6rn Frantz\u00e9n. The restaurant, which runs at more than $540 a head, was one of two in Dubai to nab three Michelin stars in May. <\/p>\n \u201cWe\u2019re only seeing the tip of the iceberg of what\u2019s to come in terms of gastronomy here,\u201d Vildgaard added. <\/p>\n With each new set of illuminated high-rises and hotels, another crop of eateries emerge, vying for patrons. The legions of construction workers powering Dubai\u2019s progress also need affordable options. <\/p>\n That growth, propped up in part by investor pressure on some of the world\u2019s biggest chains to expand in Dubai, has created what some analysts warn is a bubble. <\/p>\n \u201cIf you\u2019re a publicly traded company like Americana, what are you supposed to do \u2014 just stop opening restaurants?\u201d restaurant consultant Allen said, referring to the Gulf-based operator of KFC, Pizza Hut and other big franchises. <\/p>\n <\/p>\n People dine at Ravi restaurant in Satwa district of Dubai, United Arab Emirates, Monday, June 9, 2025. (AP Photo\/Altaf Qadri)<\/p>\n People dine at Ravi restaurant in Satwa district of Dubai, United Arab Emirates, Monday, June 9, 2025. (AP Photo\/Altaf Qadri)<\/p>\n Read More<\/p>\n The frenetic expansion of Dubai\u2019s restaurant industry is part of a regional shift that has seen Gulf Arab states pour hundreds of billions of dollars<\/a> into building out tourist destinations as they move away from hydrocarbons to diversify their economies. Saudi Arabia has a high-stakes, $500 billion project: a straight-line futuristic city called Neom<\/a>. <\/p>\n But, in a Muslim-majority region, the United Arab Emirates has gone to lengths that some consider too much of a compromise, including relaxing restrictions on alcohol<\/a> that fuel its pubs and nightlife and other social reforms.<\/p>\n High costs and failure rates<\/p>\n The rapid development comes at a price. Dubai\u2019s restaurants have a high failure rate, industry veterans say, though local authorities don\u2019t say what the rate of closures is. In the downtown district and other prime areas, annual rents for restaurants can top $100 per square foot. That\u2019s on a par with some of the world\u2019s most expensive cities. <\/p>\n Still, the emirate issued almost 1,200 new restaurant licenses last year, according to Dubai\u2019s Department of Economy and Tourism. The department declined to respond to questions. <\/p>\n Empty tables during peak hours are common, even in top locations. Part of the problem, managers say, is that traffic congestion<\/a> is so severe that convincing diners to drive out can be a tall task.<\/p>\n \u201cI sometimes go, \u2018Do I go into the restaurant right now, because I\u2019m going to get into traffic?\u2019\u2019\u2019 said Waseem Abdul Hameed, operations manager at Ravi<\/a>, a Pakistani family-owned eatery famous for its official Adidas shoe line and a 2010 TV feature from Anthony Bourdain. <\/p>\n He knows restaurateurs who have had to shut up shop and others who are squeezed by slim margins and increasingly reliant on delivery apps, Hameed said. <\/p>\n<\/p>\n