06 — Sector
Tourism, Hospitality & Entertainment
Visits reached 123 million in 2025 and the 2030 target has been raised to 150 million. Hotels, destinations and events need operators, suppliers and service partners.
Key figures
- Tourist visits in 2025: 29.3m inbound and 93.3m domestic
- 123m1
- Hotel rooms under development in the first quarter of 2026, up 24% year on year
- 105,5982
- Visits targeted by 2030, raised after 100m was reached in 2023
- 150m3
- Ministry of Tourism, 2026
- Lodging Econometrics, via Arab News
- National Tourism Strategy; Ministry of Finance, 2026
What is driving demand
- Red Sea Global, AlUla, Diriyah and Qiddiya destinations opening in phases
- Expo 2030 Riyadh and the FIFA World Cup 2034
- Entertainment seasons such as Riyadh Season
- Training and Saudization of tourism roles
Who buys
- Destination developers and hotel owners
- Hotel operators and management companies
- Event and entertainment organisers
Typical entry route
Operators, suppliers and service firms tend to enter through partnerships with developers or owners: hotel management agreements, often with key money or a performance guarantee; franchise and branded-residence agreements; or a local operating partner.
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- Inbound international visits fell 1.6% in 2025, after temporary visa restrictions around the Hajj season and regional tension; domestic demand carried growth
- The unresolved 2026 regional conflict is a further risk to international arrivals
- Saudization quotas of 50–100% in some tourism roles from April 2026
- Event calendars can shift: the 2026 Saudi Grand Prix was cancelled
FAQ
Common questions
Where is the tourism opportunity beyond hotels?
In operations, food and beverage, experiences, events, training, facilities management and technology for new destinations and venues.
How do international operators usually enter?
Through management or franchise agreements with Saudi owners and developers, or a joint venture with a local operator.
What about alcohol and entertainment licensing?
Alcohol remains prohibited nationally; the only exception is a store in Riyadh for non-Muslim diplomats, and officials have denied reports of wider licensing. Plan food and beverage concepts on that basis. Hotels are licensed and classified by the Ministry of Tourism, and entertainment activities and venues by the General Entertainment Authority.
What do Saudization rules mean for hospitality?
Several tourism roles carry quotas of 50–100% from April 2026, so staffing models need planning from the start.
Sources for this page: Ministry of Tourism (2026); Lodging Econometrics via Arab News; AGBI, international and domestic visitors (November 2025); Arab News, official denial of alcohol licensing reports (May 2025).
Reference guides
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