The Ministry of Tourism in Saudi Arabia has reported a remarkable increase in the number of licensed tourist hospitality facilities, reaching a total of 4,425 in 2024. This figure represents an impressive growth rate of 89 percent compared to previous years. This surge in licensed facilities is a clear indication of the Kingdom’s commitment to enhancing its tourism sector, which has been experiencing significant expansion due to a rising influx of both domestic and international visitors.
Strategic vision
The growth in the tourism sector aligns with Saudi Arabia’s Vision 2030 initiative, which aims to diversify the economy away from oil dependency and promote tourism as a key economic driver. The Kingdom has set ambitious goals to attract 150 million visitors annually by 2030, significantly increasing the tourism sector’s contribution to the GDP from 6 percent to 10 percent.
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Investment in infrastructure
The Ministry of Tourism has been actively working to improve the hospitality landscape by facilitating the licensing process for operators and investors. This effort is part of the “Our guests are a priority” campaign, which emphasizes compliance with licensing and classification standards to enhance service quality in the hospitality sector.
Regional highlights
Moreover, the province of Makkah has emerged as a leader in this growth, with 1,030 licensed hospitality facilities by the end of 2024, marking an 80 percent increase from the previous year. This growth is particularly significant given Makkah’s status as a major religious tourism destination for Umrah and Hajj pilgrims.
Visitor statistics
In 2024, Saudi Arabia welcomed approximately 30 million inbound tourists, an increase from 27.4 million in 2023. This influx is indicative of the Kingdom’s growing appeal as a travel destination, supported by ongoing investments in tourism infrastructure and services.
The hospitality sector is expected to continue expanding, with significant developments planned in key areas such as Makkah and Madinah. By 2025, thousands of additional hotel rooms are projected to be in various stages of development, further enhancing the Kingdom’s capacity to accommodate tourists.
