Saudi Arabia’s tourist expenditure hits $40bn with 10% growth, says minister 

Jeddah - Yasmine El Tohamy - RIYADH: Tourist spending in Saudi Arabia reached approximately SR150 billion ($40 billion), reflecting a 10 percent increase in both traveler numbers and expenditure compared to last year, as revealed by a top minister. 

At a conference convened to review the 2024 summer tourism program, the Kingdom’s Minister of Tourism Ahmed Al-Khateeb also said that Saudi Arabia will launch a tourist visa next month, aimed at attracting more international visitors and bolstering the sector’s growth. 

This comes as Saudi Arabia has set an ambitious target to host 150 million tourists annually by 2030, underscoring its commitment to transforming the Kingdom into a premier global tourism destination. 

The country’s passenger air traffic surged by 17 percent in the first half of 2024, reaching 62 million compared to 53 million in the same period last year, according to statistics released by the General Authority of Civil Aviation.  

This growth was supported by a 12 percent increase in flights, with 446,000 recorded compared to 399,000 in the first half of 2023. 

Highlighting the sector’s rapid expansion, Al-Khateeb shared the statistics from the first half of the year. “We achieved 60 million visits and approximately SR150 billion in tourist spending,” he stated, emphasizing a 10 percent rise in both visitor numbers and expenditure compared to the previous year. 

Emphasizing Saudi Arabia’s diverse attractions and substantial economic impact, the minister described the country as a “continent,” highlighting its vast natural beauty and varied landscapes, including mountains, resorts, Red Sea beaches, and vibrant cities.  

This diversity, he noted, positions Saudi Arabia uniquely to offer a wide array of tourism products to global travelers. 

Highlighting the government’s commitment to its citizens, he outlined initiatives aimed at enhancing opportunities and training for Saudis. “We’ve raised salaries and conduct over 100,000 training courses annually,” he emphasized, stressing the ministry’s proactive stance in encouraging private sector investment in Saudi human capital. 

Al-Khateeb also emphasized the crucial role of the private sector in shaping the tourism landscape. “The tourism and travel sector worldwide is primarily managed by the private sector, and we recognize its pivotal role in our sector’s development,” he affirmed. 

Underscoring the government’s support for infrastructure, Al-Khateeb pointed to the substantial impact of the Tourism Development Fund. Launched a year and a half ago, the fund has already financed over 100 projects totaling SR35 billion, encompassing a mix of small to medium-sized ventures and larger-scale initiatives. 

“In Aseer (region) alone, the Tourism Development Fund has allocated SR1 billion to 10 projects, reflecting a significant focus on enhancing hospitality offerings in the region,” Al-Khateeb highlighted, showcasing the Kingdom’s commitment to regional development through strategic investment. 

To enhance transparency and support stakeholders, the minister announced the launch of comprehensive tourism statistics on the ministry’s website. “An annual report will provide valuable insights for the media and investors, detailing every statistic and figure relevant to Saudi Arabia’s tourism sector,” he concluded.