Dubai's Parkin Seeks Approval to Increase Paid-Parking Prices Again

Dubai's public parking operator, Parkin, is seeking regulatory approval to increase paid-parking tariffs once again, following a year of record-breaking financial performance driven by the city's expanding paid parking network.

The company made its request to the Roads and Transport Authority (RTA) as fourth-quarter 2025 results showed net profit surged 53 per cent to Dh183.6 million ($50 million), marking a 47 per cent increase on the same period in 2024. Full-year revenue reached Dh1.32 billion, up 43 per cent year-on-year, while net profit hit Dh625.5 million, representing a 48 per cent annual increase.

The financial boom has been fueled by a significant expansion of paid parking spaces across Dubai and substantial tariff increases. Public parking revenue alone jumped 29 per cent in the final quarter of 2025 to Dh144.5 million, driven by an increase in the weighted average hourly tariff to Dh3.03 from Dh2.01 during the same period the previous year.

"Seasonal card sales reached record highs as customers continued to recognise the relative value offered by this product," said Mohamed Al Ali, chief executive of Parkin. Users "took advantage of the temporary price gap between the variable daily tariffs effective April 2025 and the unadjusted seasonal card rates," resulting in seasonal card sales being up by 140 per cent in the fourth quarter and 113 per cent during the full year.

Parkin's latest proposal to the RTA includes further increases to the weighted-average public parking tariff and changes to the seasonal card structure designed to reduce "existing price arbitrage and better align with the variable pricing introduced earlier this year." The company claims these changes would "preserve the existing discount framework to promote long-term fairness for customers, Parkin, and the RTA."

The RTA is currently reviewing the pricing request, which comes as Parkin continues to expand its portfolio rapidly. The operator anticipates adding approximately 5,500 to 7,500 public parking spaces over 2026, which would bring in an additional Dh560 million to Dh610 million in revenue. Parkin currently manages 229,000 paid parking spaces in Dubai.

The push for higher fees reflects Dubai's broader strategy to monetize urban infrastructure as the city grows. Dubai, which until half a decade ago was largely free to park in, has been implementing paid parking charges as it manages a population that hit four million in 2025, up from about 2.5 million in 2014.

The company's success in driving revenue through parking fees highlights the effectiveness of Dubai's approach to using transportation infrastructure as a revenue stream while simultaneously managing urban congestion through economic incentives.