Herein, an in-situ DRIFT technique was used to study the reaction mechanism of methanol dehydration to dimethyl ether (DME). Moreover, the effect of silver loading on the catalytic performance of η-Al2O3 was examined in a fixed bed reactor under the reaction conditions where the temperature ranged from 180-300 °C with a WHSV= 48.4 h-1. It was observed that the optimum Ag loading was found to be 10% Ag/η-Al2O3 with this novel catalyst also showing a high degree of stability under steady-state conditions and this is attributed to the enhancement in both the surface Lewis acidity and hydrophobicity.