Riyadh: The Kingdom of Saudi Arabia (KSA) is gearing up to expand its hospitality sector by developing 320,000 new hotel rooms by 2030, according to global property consultancy Knight Frank.
The move aims to address the anticipated increase in tourism, with 150 million domestic and international tourists expected by 2030.
Of the new hotel room supply, 66 percent of existing hotel supply in the Kingdom falls into the Luxury, Upper Upscale and Upscale category.
By 2030, this market segment is expected to reach 72 percent, encompassing 251,500 hotel rooms.
“With a target of welcoming 150 million visitors by 2030 – a 50 percent increase from its previous goal – the government is actively exploring various strategies to attract international travellers,” Turab Saleem, Partner and Head of Hospitality, Tourism, and Leisure Advisory, MEA, at Knight Frank said in a statement.
Saleem emphasized the expansion of cultural and entertainment offerings nationwide, complementing existing attractions like the Jeddah F1 Grand Prix and various seasons.
“Noteworthy additions include theme parks such as Boulevard World in Riyadh, alongside the licensing of 24 additional theme parks by the Saudi General Entertainment Authority over the past year,” he added.
Religious tourism
Knight Frank’s analysis of hotel supply in Makkah and Madinah reveals 221,000 rooms, with 40,000 in Masar Makkah and 39,000 in Thaker Makkah.
The Holy Cities’ development, accounting for 24.7 percent of the total nationwide development expected by 2030, is speculative and unconfirmed.
30 million religious tourists are expected to visit the Holy Cities by 2025 and the government projects that this figure will rise to 50 million visitors by 2030.
