Tourist expenditure in Saudi Arabia hits $40 billion in H1 2024

Tourist expenditure in Saudi Arabia reached around USD 40 billion (SAR 150 billion) in the first half of 2024.

During a conference, Minister of Tourism Ahmed Al-Khateeb noted that Saudi Arabia received 60 million visitors in the same period. This translated to a 10% increase in the number of visitors and tourist expenditure versus the same period in 2023.

Also in the first half of 2024, Saudi Arabia received a record-breaking 60 million tourists. It aims to target 1.6 million tourism jobs by 2030.

In the first quarter of 2024 alone, inbound tourist expenditure went up by 22.9% to SAR 45 billion (USD 12 billion). Saudi Arabia also ranked first on the United Nations’ list of countries with growth in international tourists. The UN has also recognized Saudi Arabia for receiving 100 million visitors in 2023.

More opportunities for Saudis: Supporting tourist spending

The Minister referred to the kingdom as a continent, with beautiful natural landscapes and bustling metropolises. This provides an exciting array of tourism products for tourists.

On top of the tourist expenditure spike, Minister Al-Khateeb emphasized efforts to raise salaries and increase training opportunities for Saudis in the tourism industry. The kingdom has already conducted 100,000 training courses annually.

Encouraging tourism expenditure: The TDF

The Tourism Development Fund (TDF) also played a role in the tourist expenditure increase, particularly on tourist infrastructure. The fund has already financed more than 100 projects, covering a range of small to medium-sized ventures. It started operations in June 2020 and has spent USD 9.3 billion (SAR 35 billion).

In Saudi Arabia’s Asir region, in particular, the Tourism Development Fund has allocated USD 266 million (SAR 1 billion). The budget will be spent on hospitality projects in the area.

The region’s tourism grew by 153%, attracting 8 million tourists in 2023, with a tourist expenditure of USD 3 billion.

New visa offerings to boost tourism expenditure

Minister Al-Khateeb also confirmed that Saudi Arabia will introduce a new tourist visa in August 2024 to attract more tourists. This new tourist visa will likely boost tourist expenditure further in the coming years.

The kingdom has already launched its “Visiting Investor” electronic visa to attract foreign investors to push the Saudi economy. It is valid for one year and permits multiple entries for visa holders.

In June 2023, Saudi Arabia also started issuing its new instant e-visa for eligible nationalities. This includes an e-visa for tourists, those visiting family or friends, or those on official business.

All these efforts support Saudi’s goal of attracting 150 million visitors annually by 2030.

According to the General Authority of Civil Aviation, passenger air traffic increased by 17% in the first half of 2024. The country has received 62 million air passengers versus 53 million in the same period in 2023.

In line with this, there were 12% more flights, with 446,000 more versus 399,000 in the first half of 2023.

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