Saudi Arabia Shifts Focus from Luxury to Mass Tourism

Saudi Arabia is expanding its mid- and upper-mid-range tourism offerings, focusing on increasing hotel accommodations for religious pilgrimages in addition to its previous emphasis on luxury resorts.

Saudi Arabia is expanding its mid- and upper-mid-range tourism offerings, focusing on increasing hotel accommodations for religious pilgrimages in addition to its previous emphasis on luxury resorts.

Tourism Minister Ahmed Al-Khateeb indicated that the kingdom aims to cater to the middle class and upper middle class, stating that they will not overlook this demographic. This initiative is part of Crown Prince Mohammed bin Salman’s Vision 2030 plan, which seeks to diversify the Saudi economy away from oil and increase tourist numbers to 150 million annually by 2030, with a significant proportion being international visitors.

Current high-end resort prices, averaging around $2,000 per night, limit options for middle-income travelers. To address this, Saudi Arabia plans to open ten new resorts on Shebara Island with more affordable pricing. Furthermore, the kingdom intends to nearly double pilgrimage visitors to Mecca and Medina, reaching 30 million by 2030, facilitated by increased hotel infrastructure.

The introduction of a visa system akin to Schengen for Gulf Cooperation Council countries is also in the works, aiming for implementation by 2026 or 2027.

With information from Reuters

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