Saudi tourism hits 5% GDP milestone, US$400B investment surge – Tourism Minister

SAUDI ARABIA – Saudi Arabia’s tourism sector has reached 5% of national GDP, up from 3% pre-Vision 2030, while channeling over US$400 billion into global-leading infrastructure, according to the country’s tourism minister.

Davos 2026 Ministerial Spotlight

At the Forbes Middle East HUB during Davos’ World Economic Forum, Tourism Minister Ahmed Al-Khateeb detailed this transformation, crediting Vision 2030 for elevating tourism’s role in diversification and resilience.

The sector now employs nearly 5% of Saudis, including one million jobs total and 250,000 created in five years.

Globally, tourism underpins 10% of GDP and 357 million positions; Saudi Arabia matches this scale through targeted expansions.

Unprecedented Investment Scale

Al-Khateeb positioned the Kingdom as the world’s top tourism investor, committing US$400 billion+ to destination ecosystems, aviation via Riyadh Air’s 400-plane order, and hotels, from 550,000 to 600,000-650,000 rooms.

These prepare for Expo 2030 and 2034 FIFA World Cup. Red Sea projects add 50 hotels by 2030, creating 70,000 jobs; NEOM pioneers zero-carbon luxury. 2026 forecasts 25 new hotels amid 102% global-leading spending growth.

2025 Economic Impact Expanded

2025 smashed records with 122 million visitors (5% up) and SR300 billion (US$80 billion) spending (6% growth), injecting vitality into non-oil GDP.

Domestic tourism hit 86 million trips (+5%), leisure circuits like Red Sea and AlUla boosted per-capita spend 12%.

Religious influx, 18.5 million pilgrims, added SR90 billion, sustaining 400,000 jobs. Quality-of-life sectors contributed US$20.5 billion GDP, drawing SR110 billion (US$29.3 billion) FDI.

Multipliers amplified: every SR1 spent generates SR3.5 economic activity, supporting 1.2 million indirect roles in hospitality, aviation, retail.

SR150 billion tax revenues funded infrastructure, cutting unemployment to 7.1%. Events like Riyadh Season (20 million attendees) spurred SR25 billion local commerce.

Sustainability and Global Leadership

Regenerative tourism advances: AlUla restores heritage, Diriyah hosts festivals. Saudi chairs UN Tourism, fostering resilient partnerships amid volatility.

Quality-of-life sectors contribute US$20.5 billion GDP, attracting SR110 billion (US$29.3 billion) investments. Religious tourism hit 18.5 million pilgrims in 2024, targeting 30 million Umrah by 2030.

Forbes Platform Significance

The HUB convenes leaders on sustainability, AI governance, energy transitions. Saudi leverages this to affirm non-oil prosperity, positioning tourism as multiplier connecting AlUla to wellness retreats.

With 29.7 million inbound (up 8%) and 86.2 million domestic trips (up 5%), momentum solidifies 10% GDP trajectory through 2030.

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