Latest news with #RedSeaProject
Al Arabiya
2 days ago
- Business
- Al Arabiya
Saudi Arabia tops global tourism spending growth in Q1 2025: UN report
Saudi Arabia led the world in international tourism spending growth during the first quarter of 2025 and ranked third globally in tourist arrival gains, according to the latest UN World Tourism Organization (UNWTO) data. The Kingdom recorded a 102 percent surge in international visitor numbers and spending compared to the same period in 2019, significantly outpacing the global average of 3 percent and the Middle East's 44 percent. For more news on Saudi Arabia, visit our dedicated page. In its latest World Tourism Barometer, the UNWTO confirmed that Saudi Arabia placed first worldwide in tourism receipts growth and third globally in international arrivals. Regionally, the Kingdom ranked second in the Middle East for visitor growth. According to the Ministry of Tourism, foreign visitor spending in Q1 2025 reached $13.2 billion (SAR 49.4 billion) – an increase of nearly 10 percent over Q1 2024. The Kingdom's travel account surplus also rose 11.7 percent year-on-year. Saudi Minister of Tourism Ahmed al-Khateeb welcomed the results, saying they 'support the Kingdom's efforts to boost tourism as part of its Saudi Vision 2030.' The strong performance reflects the impact of Vision 2030 and the Kingdom's ambitious giga-projects – including NEOM, AlUla, the Red Sea Project, Amaala, and Sindalah – as well as streamlined visa policies and expanded tourism infrastructure, according to the Saudi Press Agency (SPA). Religious tourism continues to play a central role, with Mecca and Madinah drawing millions of pilgrims annually. Mecca alone attracted 9.4 million visitors in 2022. Meanwhile, heritage destinations like Hegra in AlUla – known for its ancient Nabatean tombs – are expanding Saudi Arabia's appeal to leisure and cultural tourists. The 'Quality of Life' Program has also contributed to this momentum, with $9.2 billion (SAR 34.6 billion) invested since 2018 in entertainment, festivals, and infrastructure improvements aimed at enhancing the visitor experience. With this upward trajectory in both receipts and arrivals, Saudi Arabia appears well on track to reach its Vision 2030 goal of 150 million annual visits and establish itself as a leading global tourism destination.
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Business Standard
6 days ago
- Business
- Business Standard
Saudi Arabia's new skill-based work permits for foreign workers explained
Foreign workers entering Saudi Arabia, including thousands from India, will now be classified under a new skill-based work permit system that came into force on July 1, 2025. The change applies to all new recruits, while reclassification of existing expatriates began on June 18, according to the Saudi Press Agency and a ministerial notice. Three categories based on qualifications and wages The reform divides foreign workers into three skill levels — high-skill, skilled, and basic — using a combination of qualifications, work experience, technical capabilities, wages, and age. The reclassification is part of a broader effort by Saudi Arabia's Ministry of Human Resources and Social Development to streamline its labour market and match workforce capabilities with actual market requirements. A digital evaluation process via the Qiwa platform has been introduced to standardise how workers are assessed. According to the Saudi government, the demand for technically trained and experienced professionals has surged due to ongoing 'giga-projects' such as NEOM, the Red Sea Project, Qiddiya, and Diriyah Gate. These projects span a range of sectors, including tourism, construction, and technology, and are being delivered under tight timelines. Meanwhile, foreign workers continue to play a central role in Saudi Arabia's workforce, with 15.7 million expatriates making up 44.4 per cent of the total population as of 2024. Among those aged 15 to 64, 89.9 per cent of non-Saudis fall into the working-age bracket, based on data from the General Authority for Statistics (GASTAT). For Indians workers, Saudi continues to be a preferred destination. According to India's Ministry of External Affairs, there are 2.65 million Indians working in Saudi Arabia. This number represents a significant portion of the Indian expatriate community in the Gulf region. What's changing under Saudi Arabia's new work permit system Skill-based classification: All foreign workers are now grouped into three categories — high-skill, skilled, and basic — based on qualifications, experience, technical skills, age, and wage level. New hires vs existing staff: Classification began for new foreign workers on July 1, 2025. For those already in the country, it started on June 18. Digital evaluation via Qiwa: Assessments will be carried out on the Qiwa platform, aligned with Saudi Arabia's official classification of professions and educational levels. Implementation Timeline: Phase 1 (from July 5, 2025): Classification applied to current expatriate workers in Saudi Arabia. Phase 2 (from August 3, 2025): Mandatory for all new incoming workers. Classification criteria: According to the Saudi government, foreign workers are assessed using: • Educational qualifications • Years of relevant experience • Practical/vocational skills • Wage level • Age bracket Occupation groups: Occupations are mapped to nine major groups in the Saudi Unified Occupational Classification, including: • Managers • Professionals• Technicians and assistants • Clerks • Sales and service workers • Agricultural workers • Craftsmen • Machine operators • Elementary occupations Mechanism of classification: Each applicant will be assigned a skill level depending on: • Type of occupation • Minimum educational level required • Proof of experience and qualifications • Wage threshold (varies by skill level) • Age limits (e.g. for basic level, under 60) For example: A high-skill worker must belong to top 3 occupational groups, earn above a set wage, and meet the experience and qualification criteria. A basic skill worker will usually be under 60 and belong to elementary roles. Can workers change their classification? Yes, if they later meet the criteria for a higher category (e.g. higher wage, updated qualifications), they may request reclassification via the ministry's online portal, the government stated. Workforce planning and transparency The new classification is intended to improve transparency and workforce planning, giving employers a clearer picture of skill availability. It also allows workers to request reassessment if they qualify for a higher category. The evaluation will follow a points-based system, giving weight to professional experience where formal education may be lacking, according to Saudi government. 'The measure is meant to improve worker performance, attract global talent to transfer expertise and experience to the Saudi labour market, and benefit from international knowledge,' said a report by the Saudi Press Agency. This reclassification feeds into the ongoing Professional Verification Program, which was launched in 2021 and expanded last year. It verifies the educational and professional credentials of foreign workers across sectors such as engineering, healthcare and education before they enter the Kingdom. The programme currently covers 128 countries and is set to expand to 160. Record low unemployment and steady remittances Labour market indicators appear to be improving. The overall unemployment rate in Saudi Arabia dropped to 2.8 per cent in the first quarter of 2025 — the lowest on record — while the jobless rate among expatriates fell to 0.8 per cent, according to GASTAT. At the same time, foreign workers continue to contribute to the Kingdom's economy. In February 2025 alone, remittances by expatriates reached SR12.78 billion ($3.41 billion), according to the Saudi Central Bank. What employers and workers must do The ministry has urged employers to review their workforce composition and complete the reclassification process on Qiwa. Workers who believe they meet the criteria for a higher classification can also submit reassessment requests through the platform.
Zawya
7 days ago
- Business
- Zawya
Saudi Arabia ranks among top 3 globally in mega and giga-project volume: Report
Saudi Arabia has recorded a 643 percent surge in mega-projects since 2010, rising from 64 to 476 projects in 2025, placing it among the top three countries globally for such projects, according to a new report by UK-based global consultancy and construction company Mace. For giga-projects specifically, Saudi Arabia shares second place globally with India, with 43 giga-projects each, behind the United States, which leads with 88, the report titled ' The Future of Major Programme Delivery' said. The report classifies mega-projects as those with a capital value of $1 billion or more and giga-projects as those with a value of $10 billion or more. Overall, the US tops the chart with 1,663 mega and giga-projects (active and complete), followed by India (729), Saudi Arabia (577), and the UK (484). The UAE (233) is placed seventh after Australia (451) and Canada (331). The growth in Saudi Arabia is driven by the Kingdom's ongoing transformation under Vision 2030, which includes landmark projects such as NEOM, The Red Sea Project, Diriyah, Qiddiya, King Salman International Airport, and New Murabba. The sectoral breakdown of Saudi Arabia's mega-projects includes: Energy and utilities: 178 Commercial and leisure: 110 Infrastructure: 75 Residential buildings: 71 Industrial: 42 Institutional: 42 High delivery performance The report said the Kingdom ranks among the most efficient globally in delivering energy and utility mega-projects, with an average project duration of under nine years from announcement to completion—matching timelines observed in the US, Hong Kong, and the Philippines. According to data presented in the report, the average delivery duration in Saudi Arabia for energy and utility, and residential building mega-projects, is around 8 years, indicating a high level of progress from announcement to completion. However, for infrastructure mega projects, the average duration is around 12 years. Incidentally, the Kingdom also has the sixth highest proportion of stalled mega-projects since 2010, highlighting the inherent complexity and risk in managing such large-scale undertakings. The Future of Major Programme Delivery' is based on analysis of a dataset of more than 5,000 mega and giga-programmes and projects around the globe. (Writing by Anoop Menon; Editing by SA Kader) (
Al Arabiya
07-07-2025
- Business
- Al Arabiya
Saudi Arabia launches new skill-based work permit system to attract global talent
Saudi Arabia has introduced a new classification system for expatriate work permits as part of its efforts to enhance labor market efficiency, attract international expertise, and support the Kingdom's Vision 2030 goals. The initiative, announced by Minister of Human Resources and Social Development Ahmed al-Rajhi, will categorize foreign workers into three tiers: high-skill, skilled, and basic, based on factors such as qualifications, experience, technical abilities, wage levels, and age, the Saudi Press Agency (SPA) reported. The system officially came into effect for incoming expatriates on July 1, while reclassification for current residents began on June 18, according to the ministry. The reform comes as Saudi Arabia accelerates development of its flagship giga-projects – including NEOM, the Red Sea Project, Qiddiya, and Diriyah Gate – which require a growing number of highly skilled professionals across sectors such as construction, engineering, tourism, and technology. According to SPA, the ministry stated that the new system is designed to 'enhance worker performance, attract global talent to transfer expertise and experience to the Saudi labor market, improve operational efficiency, benefit from international experience, and build an environment that supports innovation and the development of business models.' The reclassification will be implemented through the Qiwa platform and is aligned with the Unified Saudi Classification of Professions and Educational Levels. A unified digital assessment tool will ensure workers are evaluated consistently and matched to labor market needs. Authorities say this measure will help employers access better-qualified workers, reduce mismatches between skills and job requirements, and gradually lessen dependence on low-skilled labor. Encouraging labor market trends The announcement follows encouraging labor market trends in the Kingdom. The overall unemployment rate in Saudi Arabia dropped to 2.8 percent in the first quarter of 2025 – the lowest on record – while the unemployment rate for non-Saudis declined to 0.8 percent, according to figures from the General Authority for Statistics (GASTAT). This reflects rising demand in the private sector and targeted recruitment aligned with sector-specific workforce requirements. Expatriates continue to play a vital role in the Saudi economy, representing 15.7 million people – or 44.4 percent of the total population – in 2024. Among working-age expatriates (aged 15 to 64), 89.9 percent are employed in productive sectors, according to GASTAT data. The new classification also complements the Professional Verification Program, launched in 2021 and expanded in 2024, which verifies the qualifications of foreign workers prior to arrival in the Kingdom. The initiative currently covers 128 countries and is expected to expand to 160, with a focus on key sectors such as engineering, healthcare, and education. Employers have been urged to review their workforce composition and reclassify employees accordingly through the Qiwa platform. The ministry's guidance also allows workers to request reassessments if they meet criteria for higher classifications. A points-based evaluation system will provide flexibility by allowing experience to compensate for gaps in formal education. The ministry said the complete guidance manual, detailing evaluation procedures and compliance requirements, is available on its official website.
Arabian Post
05-07-2025
- Business
- Arabian Post
Saudi Crown Charts Tourism Surge Ahead of 2034 Boom
Global tourism is projected to reach 30 billion trips by 2034 and contribute $16 trillion to world GDP, growing 1.5 times faster than the global economy, according to the World Economic Forum's latest report. Amid this surge, Saudi Arabia is emerging as a pivotal force, ranking the second fastest-growing tourism destination and leading global investments in innovation, infrastructure, and sustainability The WEF report, Travel and Tourism at a Turning Point: Principles for Transformative Growth, produced with Kearney and the Saudi Ministry of Tourism, highlights the Kingdom's rapid evolution. Under Vision 2030, it aims to attract 150 million visitors by 2030, underpinned by major mega-projects like NEOM, Soudah Peaks in Asir, Trojena, Al‑Ula, and the Red Sea Project. These initiatives reflect bold efforts to diversify beyond oil and position Saudi Arabia as a global tourism and cultural hub. Minister of Tourism Ahmed Al Khateeb emphasises that tourism goes beyond economic benefit; it fosters cultural diplomacy and long‑term resilience. He asserts that developing 'regenerative destinations, future‑ready infrastructure, and talent pipelines' is central to both national growth and shaping future global tourism. Saudi Arabia's investments via the Quality of Life Program—backed by a US$34.6 billion budget—underscore its commitment to improving recreation and entertainment infrastructure while supporting emerging tourism projects. ADVERTISEMENT Saudi mega-developments like NEOM's Sindalah island and the mountain resorts of Soudah Peaks and Trojena illustrate the Kingdom's integrated approach. Sindalah, an ultra‑luxury island destination opened in October 2024, with 85‑berth marina and high‑end amenities, aims to host 2,400 visitors daily by 2028. Soudah Peaks, a US$7.7 billion project nestled in the Asir Mountains, targets two million annual visitors by 2033 and aims to contribute US$7.8 billion to GDP. Trojena, designed as a year‑round mountain resort with skiing and adventure tourism, continues despite budget pressures, though a 2023 audit flagged soaring costs and alleged financial irregularities. Globally, Asia is highlighted as the fastest‑growing tourism region, with India and China expected to account for over 25% of outbound trips by 2030. Within this broader context, Saudi Arabia stands out for its strategic role in shaping global travel through luxury endeavours, sports tourism, ecotourism, and travel tech investment. Rapid industry expansion demands extensive infrastructure: an additional 7 million hotel rooms, 15 million flights annually, and substantial investments in transport and hospitality—areas where Saudi Arabia is heavily investing. Yet, the WEF report raises red flags: tourism already accounts for approximately 8% of global greenhouse gas emissions and that share could climb to 15% by 2034 if unchecked. Tourist‑derived waste is expected to reach 205 million tonnes annually—about 7% of global solid waste—and acute labour shortages plague countries worldwide, with UK turnover at 53% and US firms struggling with rising wages. WEF President Børge Brende warns of potential losses of up to $6 trillion by 2030 due to inadequate planning and lack of collaboration. He calls for transformative public‑private partnerships and sustainable fuel standards to underpin the sector's future. Kearney's Bob Willen echoes this, highlighting the need for investment in green infrastructure, workforce support, cultural preservation, and community benefit. Saudi Arabia appears poised to lead this shift. Its Vision 2030 agenda is channeling funds into infrastructure, entertainment, and training to support the projected 150 million annual visitors. Initiatives like cinemas, tourism visas, and Quality of Life enhancements are central to this strategy. By aligning mega-projects with sustainability and community inclusion objectives, Riyadh seeks to set an example of responsible tourism transformation.
