Saudi Arabia records 89% growth in licensed tourism hospitality facilities

10/04/2025 02:39 AST

Saudi Arabia's tourism sector saw significant growth in 2024, with the number of licensed hospitality facilities increasing by 89 percent to 4,425 across various regions of the Kingdom.

In a post on X, the Ministry of Tourism's official spokesperson Mohammed Al-Rasasimah described the surge as "remarkable," adding that it reflects efforts "to support the sector's growth and enhance its investment attractiveness."

He added that the expansion comes amid a significant boom in the Kingdom's tourism sector, driven by an influx of travelers and the ministry's commitment to fostering a world-class hospitality environment.

The ministry reported in March that the number of licensed hospitality facilities in Makkah reached 1,030 by the end of 2024, marking an 80 percent rise compared to the previous year.

This increase positions the province as the leader in the Kingdom for the highest number of licensed facilities and rooms, underscoring the region's dedication to enhancing visitor experiences, the Saudi Press Agency reported.

This move also reinforces the ministry's dedication to protecting the rights of visitors and Umrah pilgrims using hospitality services in Makkah as part of its ongoing efforts to improve service quality.

"The ministry's inspection teams conduct regular monitoring and inspection visits throughout the year to ensure that all facilities comply with licensing requirements, detect violations, and impose fines under the Tourism Law and Regulations of Tourist Accommodation Facilities," SPA said.

Saudi Arabia's hospitality sector is growing beyond Makkah. By the end of the third quarter of 2024, the total number of licensed hospitality facilities across the Kingdom surpassed 3,950, a 99 percent increase from the third quarter of 2023. Licensed rooms climbed to 443,000, a 107 percent jump from the 214,000 recorded a year earlier.

According to CoStar, a global real estate data provider, Makkah and Madinah have 17,646 and 20,079 rooms, respectively, in various stages of development in 2025.

This comes as Saudi Arabia recorded 30 million inbound tourists in 2024, up from 27.4 million in 2023, government data revealed. The Kingdom aims to attract 150 million visitors annually by 2030, with plans to raise the tourism sector's gross domestic product contribution from 6 percent to 10 percent.

Saudi Arabia's aggressive expansion in hospitality and tourism underscores its ambition to position itself as a global travel hub, catering to religious and leisure visitors.

Arab News