Latest news with #OussamaElKadiri
Yahoo
21-05-2025
- Business
- Yahoo
Saudi Arabia bets on luxury to lure tourists
Saudi Arabia is banking on luxury resorts and lavish palaces to reinvent a sector that has largely been defined by religious and business tourism. A new report by Knight Frank shows that 78% of the kingdom's hotel pipeline is focused on upscale and luxury properties, part of what a senior Saudi tourism official described as a branding exercise to make the kingdom a desirable destination. Habitas AlUla, Six Senses, Amaala, and other design-forward resorts are among the most recognizable hotels in the national branding project. 'The plan is to put the country or the destination on the map,' Oussama El Kadiri, head of hospitality at real estate consultancy Knight Frank, told Semafor. 'The hotel product is not only there for people to sleep in, but also to be seen.' Saudi Arabia's tourism push is part of the kingdom's Vision 2030 efforts to diversify its economy. The overall effort has had some success — non-oil sectors generated more than half of Saudi GDP in 2024 — but there are challenges. Foreign direct investment hasn't reached its target. Tourism is picking up, though: The kingdom last year surpassed its target of 150 million annual visits, largely driven by domestic travel, according to official data. The government's strategy is to build high-end properties itself, and as Saudi Arabia becomes part of the global tourism map, private capital will fill out the rest: the 3- and 4-star hotels, the short-stay inventory, and other attractions that make repeat travel viable. A couple of months ago, when I visited the Six Senses Sand Dunes, the first resort to open under the Red Sea Project in 2023, the setting was cinematic — every corner felt curated, textured, ready to be photographed — and nearly empty. These are places you recognize before you arrive, because you've already seen them online. Saudis are the largest segment staying in these ultra-luxe spots, and they are coming because they can finally see more of their country. Many Saudis are skipping another hop to Cairo or Dubai to explore the kingdom. The average Saudi household earns just over 18,000 Saudi riyals a month ($4,800), with half earning less than 11,000 riyals. These aren't incomes built for long luxury getaways. In order to fill up the growing luxury inventory, growing numbers of wealthy Saudis will have to choose to vacation at home, while foreign tourists will have to swap more established destinations like the Maldives or the Seychelles for the Red Sea.
Gulf Insider
12-05-2025
- Business
- Gulf Insider
Saudi Arabia Bets on Luxury in Hotel Sector
Saudi Arabia's hospitality sector is scaling up fast, with nearly 80% of its future hotel supply geared toward the luxury, upscale, and upper-upscale categories, according to Knight Frank's Saudi Arabia Hospitality Market Review – 2025. Driven by Vision 2030 goals, the Kingdom aims to develop 362,000 hotel rooms by the end of the decade, supporting its target of 150 million domestic and international visitors annually. As of Q1 2025, Saudi Arabia had 167,500 hotel keys, with 61% already in high-end segments. Another 99,500 rooms are planned or under construction, and 78% of these will cater to the premium market. 'The focus on high-end hotel development plays to Saudi Arabia's growing reputation as a luxury destination,' said Faisal Durrani, Partner – Head of Research, MENA, Knight Frank. 'That said, there's a growing need for modest accommodation options to support domestic demand, which remains the sector's backbone.'Tourism revenue soars In 2024, Saudi Arabia hosted 127 million visitors, contributing 4.7% to GDP. The Kingdom is on track to hit its 10% GDP target by 2030. International arrivals rose 9.5% to 30 million, while inbound tourism spend hit a record SAR153.61 billion ($40.9 billion), up 13.8% year-on-year, according to the Saudi Central Bank. Travel has been made easier by the eVisa platform, which allows citizens from 66 countries — including the US, UK, China and Japan — to enter for leisure, Umrah, business events, and family visits. Hajj remains under a separate visa system. Diversified visitor mix While religious tourism remains foundational, Saudi Arabia is attracting a broader audience. As of Q3 2024, leisure tourists made up 30% of inbound travel, visits to friends and family 24%, and business, education, and medical travel accounted for the rest. Religious pilgrimage made up 26% of all inbound visits. 'Hosting global events like Expo 2030, Asian Games 2029, and the FIFA World Cup 2034 will be transformative,' said Oussama El Kadiri, Partner – Head of Hospitality, Tourism & Leisure Advisory, MENA. 'These will draw 150 million visitors and boost Saudi Arabia's profile as a top destination for culture, business and sport.' Key growth engines In 2024, Saudi Arabia welcomed 1.8 million Hajj pilgrims and 35.7 million Umrah pilgrims — including 16.9 million international Umrah pilgrims, a record 25% increase from 2023. Over 252,000 hotel rooms are planned or under development in Makkah and Madinah, with 64% in 4- and 5-star categories. Mega-projects like Rua Al Haram, Rua Al Madinah, and Masar Makkah are reshaping the religious tourism landscape. 'Opening up Holy Cities to international investment is a pivotal move,' said Amar Hussain, Associate Partner – Research, KSA. 'It will inject capital, boost liquidity, and accelerate project delivery.' Also read: Saudi Arabia: Kingdom Arrests 15,928 Illegals In One Week Source Gulf News
Gulf Business
18-03-2025
- Business
- Gulf Business
Saudi Arabia set to deliver 362,000 new hotel rooms by 2030
Image: Getty Images Saudi Arabia is set to add 362,000 new hotel rooms by 2030 as part of a $110bn expansion of its hospitality sector, according to data released ahead of the 2025 edition of the Future Hospitality Summit ( The event will be held from May 11-15. The kingdom's ambitious growth in infrastructure, real estate, tourism, and hospitality is in line with Vision 2030 and is positioning Saudi Arabia as a global leader in the travel and tourism industry. This expansion is creating substantial investment opportunities and setting new industry benchmarks, allowing investors to actively participate in the country's long-term economic transformation, according to industry experts. Strategic growth and investment opportunities in the kingdom Oussama El Kadiri, partner and head of Hospitality, Tourism, and Leisure at Knight Frank, stated: 'Fuelled by ambitious Vision 2030 goals, Saudi Arabia's tourism sector presents a compelling investment landscape, evidenced by its record-breaking SAR444.3bn GDP contribution in 2023, accounting for 11.5 per cent of the national economy. This growth reflects the kingdom's strategic initiative to position itself as a leading global tourism destination.' El Kadiri also highlighted that international arrivals to Saudi Arabia reached 30 million in 2024, up from 27.4 million in 2023, demonstrating a robust upward trajectory. This growth is expected to continue, with Saudi Arabia aiming to attract 70 million international visitors annually by 2030. Impact of global events on Saudi's hospitality, tourism sectors The kingdom's economic transformation will be further bolstered by a series of high-profile global events. The 2029 Asian Winter Games, World Expo 2030, and the FIFA World Cup 2034 are expected to drive further growth in tourism, hospitality, and related industries, not only increasing visitor numbers but also enhancing Saudi Arabia's global reputation as a premier destination for leisure, business, and mega-events. Hotel sector performance According to leading hospitality data provider STR, hotel room revenue in Saudi Arabia reached $5.6bn between January and October 2024, a 3.5 per cent increase from 2023 and 26.5 per cent higher than in 2019. Key regions such as Riyadh and Medina saw significant growth in both occupancy and average daily rate (ADR) in 2024, with growth expected to continue in the coming years. In Riyadh, ADR increased by 16 per cent on 2023, while Medina saw a 5 per cent rise. Market challenges and forecast 'Saudi Arabia is undoubtedly one of the most exciting destinations in the world, undergoing a remarkable transformation into a world-class tourism hub,' said Philip Wooller, senior director, Middle East & Africa at STR. 'The key to sustaining this momentum lies in balancing the influx of new hotel developments with a competitive market edge. While we anticipate tremendous success driven by strong demand generators, STR also forecasts a slight softening in rates as new hotel supply enters the market in the short term. This adjustment will be crucial in attracting fresh demand and ensuring healthy occupancy levels across the kingdom.' Read:
Zawya
18-03-2025
- Business
- Zawya
Saudi Arabia set to deliver 362,000 new hotels rooms by 2030
Saudi Arabia is poised to develop 362,000 new hotel rooms by 2030 as part of its $110 billion hospitality sector transformation, according to data released ahead of the 2025 edition of the Future Hospitality Summit (FHS) Saudi Arabia. Saudi Arabia's ongoing and unprecedented expansion across infrastructure, real estate, tourism, and hospitality, in line with Vision 2030, is positioning the kingdom as a global leader in the travel and tourism sector. This strategic growth is setting new industry standards while creating significant investment opportunities, enabling investors to actively participate in the country's long-term economic transformation, according to industry experts. Oussama El Kadiri, Partner – Head of Hospitality, Tourism and Leisure at Knight Frank, said: 'Fuelled by ambitious Vision 2030 goals, Saudi Arabia's tourism sector presents a compelling investment landscape, evidenced by its record-breaking SAR444.3 billion ($118.46 billion) GDP contribution in 2023, accounting for 11.5% of the national economy. This growth reflects the kingdom's strategic initiative to position itself as a leading global tourism destination." The sector's rapid growth is further evidenced by the increase in international arrivals, which reached 30 million in 2024, up from 27.4 million in 2023. This upward trajectory, coupled with a strong investment pipeline, supports Saudi Arabia's goal of attracting 70 million international visitors annually by 2030, he said. El Kadiri further emphasised the impact of upcoming global events on Saudi Arabia's economic transformation. Major international events, such as the 2029 Asian Winter Games, World Expo 2030, and the FIFA World Cup 2034, are expected to drive further growth in tourism, hospitality, and related industries. These events will not only increase visitor numbers but also enhance Saudi Arabia's global reputation as a premier destination for leisure, business, and mega-events. Leading hospitality data and analytics provider STR reports that KSA hotel room revenue reached an impressive $5.6 billion between January and October 2024 – up 3.5% on 2023 and 26.5% higher than in 2019. Key regions including Riyadh and Madinah witnessed significant growth in both occupancy and ADR performance in 2024, with upward trajectory set to continue this year and beyond. In Riyadh, ADR was up 16% on 2023, with a 5% increase in Madinah. "Saudi Arabia is undoubtedly one of the most exciting destinations in the world, undergoing a remarkable transformation into a world-class tourism hub. The key to sustaining this momentum lies in balancing the influx of new hotel developments with a competitive market edge. While we anticipate tremendous success driven by strong demand generators, STR also forecasts a slight softening in rates as new hotel supply enters the market in the short term. This adjustment will be crucial in attracting fresh demand and ensuring healthy occupancy levels across the Kingdom,' commented Philip Wooller, Senior Director, Middle East & Africa – STR. FHS Saudi Arabia's action packed agenda features a plethora of presentations, panel discussion and workshops on investing in KSA's hospitality sector – for seasoned investors and first timers. Among, them: Investing in Vision: Highlighting investable opportunities in Saudi Arabia's Evolving Hospitality Landscape; Navigating the Hospitality Investment Industry in Saudi Arabia: A Beginner's Guide for New Attendees; and Government Insights on Investment Incentives in Saudi Arabia. Organised by The Bench, FHS Saudi Arabia returns to Mandarin Oriental Al Faisaliah in Riyadh from May 11 to 13, uniting hospitality industry leaders and decision makers who are not only playing a key role in sector's success today, but are highly influential in shaping KSA's future hospitality landscape. Centred around the theme 'Where Vision Shapes Opportunity', this year's event is expected to surpass the 2024 edition – which welcomed 1,400 delegates and created $1.1 billion worth of business opportunities – in terms of attendance and business openings, a statement said. - TradeArabia News Service Copyright 2024 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
Mid East Info
17-03-2025
- Business
- Mid East Info
Saudi Arabia set to deliver 362,000 new hotels rooms by 2030 under US$110 billion hospitality project expansion
Riyadh, Saudi Arabia – 17 March 2024. The Kingdom of Saudi Arabia is poised to develop 362,000 new hotel rooms by 2030 as part of its US$110 billion hospitality sector transformation, according to data released ahead of the 2025 edition of the Future Hospitality Summit (FHS) Saudi Arabia. Saudi Arabia's ongoing and unprecedented expansion across infrastructure, real estate, tourism, and hospitality, in line with Vision 2030, is positioning the Kingdom as a global leader in the travel and tourism sector. This strategic growth is setting new industry standards while creating significant investment opportunities, enabling investors to actively participate in the country's long-term economic transformation, according to industry experts. Oussama El Kadiri, Partner – Head of Hospitality, Tourism and Leisure at Knight Frank, said: 'Fueled by ambitious Vision 2030 goals, Saudi Arabia's tourism sector presents a compelling investment landscape, evidenced by its record-breaking SAR 444.3bn GDP contribution in 2023, accounting for 11.5% of the national economy. This growth reflects the Kingdom's strategic initiative to position itself as a leading global tourism destination. The sector's rapid growth is further evidenced by the increase in international arrivals, which reached 30 million in 2024, up from 27.4 million in 2023. This upward trajectory, coupled with a strong investment pipeline, supports Saudi Arabia's goal of attracting 70 million international visitors annually by 2030. El Kadiri further emphasized the impact of upcoming global events on Saudi Arabia's economic transformation. Major international events, such as the 2029 Asian Winter Games, World Expo 2030, and the FIFA World Cup 2034, are expected to drive further growth in tourism, hospitality, and related industries. These events will not only increase visitor numbers but also enhance Saudi Arabia's global reputation as a premier destination for leisure, business, and mega-events. Leading hospitality data and analytics provider STR reports that KSA hotel room revenue reached an impressive US$5.6 billion between January and October 2024 – up 3.5% on 2023 and 26.5% higher than in 2019. Key regions including Riyadh and Medina witnessed significant growth in both occupancy and ADR performance in 2024, with upward trajectory set to continue this year and beyond. In Riyadh, ADR was up 16% on 2023, with a 5% increase in Medina. 'Saudi Arabia is undoubtedly one of the most exciting destinations in the world, undergoing a remarkable transformation into a world-class tourism hub. The key to sustaining this momentum lies in balancing the influx of new hotel developments with a competitive market edge. While we anticipate tremendous success driven by strong demand generators, STR also forecasts a slight softening in rates as new hotel supply enters the market in the short term. This adjustment will be crucial in attracting fresh demand and ensuring healthy occupancy levels across the Kingdom,' commented Philip Wooller, Senior Director, Middle East & Africa – STR. FHS Saudi Arabia's action packed agenda features a plethora of presentations, panel discussion and workshops on investing in KSA's hospitality sector – for seasoned investors and first timers. Among, them: Investing in Vision: Highlighting investable opportunities in Saudi Arabia's Evolving Hospitality Landscape; Navigating the Hospitality Investment Industry in Saudi Arabia: A Beginner's Guide for New Attendees; and Government Insights on Investment Incentives in Saudi Arabia. Organised by The Bench, FHS Saudi Arabia returns to Mandarin Oriental Al Faisaliah in Riyadh from 11-13 May 2025, uniting hospitality industry leaders and decision makers who are not only playing a key role in sector's success today, but are highly influential in shaping KSA's future hospitality landscape. Centred around the theme 'Where Vision Shapes Opportunity', this year's event is expected to surpass the 2024 edition – which welcomed 1,400 delegates and created US$1.1 billion worth of business opportunities – in terms of attendance and business openings. For full details and to register, visit
