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Economy🇸🇦 Saudi ArabiaAug 9, 2026

Saudi Arabia Leads Mideast Tourism Growth, Sector Accounts for 14.1% of GDP

Source: Saudi Gazette Business

Saudi Arabia Leads Mideast Tourism Growth, Sector Accounts for 14.1% of GDP

The story in brief

Saudi Arabia is at the forefront of tourism transformation in the Middle East, with its travel and tourism sector contributing 14.1% to the GDP. According to a World Travel & Tourism Council (WTTC) report, significant growth is anticipated over the next decade, driven by substantial investments and major tourism projects aligned with Saudi Vision 2030. The Kingdom's commitment is evident in its 19.4% growth in travel and tourism investment by 2025, supported by investor-friendly reforms and large-scale projects. The Middle East is projected to be the fastest-growing tourism region between 2026 and 2036, with sector GDP expected to reach $605 billion.

Detailed summary

RIYADH — Saudi Arabia continues to lead the tourism transformation in the Middle East, with strong growth expected in the travel and tourism sector over the next decade. This growth is driven by rising investments, major tourism projects, and the realization of Saudi Vision 2030 objectives.

The World Travel & Tourism Council (WTTC), in its latest report titled “Economic Impact Research: Global Trends Report,” stated that the Kingdom’s travel and tourism sector accounts for approximately 14.1 percent of its GDP. Across Middle Eastern markets, governments are heavily investing in tourism infrastructure, connectivity, visitor experiences, and destination development as part of broader economic diversification strategies. Saudi Arabia stands out as a clear example of this commitment, recording 19.4 percent growth in Travel & Tourism investment in 2025. This is supported by Vision 2030, investor-friendly reforms, and a pipeline of large-scale tourism projects designed to attract both domestic and international capital.

The WTTC report highlighted the Middle East's outlook as a story of short-term disruption and long-term resilience. The region is expected to overcome current challenges and remain one of the world's strongest travel and tourism growth markets. The Middle East is forecast to become the fastest-growing travel and tourism region globally between 2026 and 2036, with sector GDP expected to expand at an annual rate of 6.3 percent, reaching $605 billion by 2036.

The WTTC’s projections indicate that international visitor spending in the Kingdom will more than double over the next decade. This is primarily driven by the continued expansion of the sector and the development of tourist destinations, infrastructure, transportation networks, and enhanced visitor experiences. This growth underscores the increasing role of the tourism sector in supporting the diversification of the Saudi economy and enhancing its contribution to gross domestic product, while further consolidating the Kingdom’s position as a global tourist destination. This progress is being supported by major projects, events, and the development of diverse tourist destinations in line with the objectives of Saudi Vision 2030.

The Council emphasized that the Kingdom’s long-term investments in the travel and tourism sector are strengthening its ability to navigate short-term challenges and sustain growth in the coming years. This positions Saudi Arabia as one of the region’s most prominent engines of tourism growth through 2036. The report pointed out that Saudi Arabia remains a clear example of this commitment, recording 19.4 percent growth in travel and tourism investment in 2025, supported by Vision 2030, investor-friendly reforms, and a pipeline of large-scale tourism projects designed to attract both domestic and international capital.

Background & context

This story sits within Saudi Arabia's broader reform agenda and efforts to grow Tourism & Hospitality as a pillar of non-oil GDP. The region benefits from supportive energy prices, expansionary government budgets, and rising interest from sovereign wealth funds and foreign investors.

Key numbers & facts

  • Saudi Arabia is at the forefront of tourism transformation in the Middle East, with its travel and tourism sector contributing 14.1% to the GDP.
  • The Kingdom's commitment is evident in its 19.4% growth in travel and tourism investment by 2025, supported by investor-friendly reforms and large-scale projects.
  • The Middle East is projected to be the fastest-growing tourism region between 2026 and 2036, with sector GDP expected to reach $605 billion.
  • The Middle East is forecast to become the fastest-growing travel and tourism region globally between 2026 and 2036, with sector GDP expected to expand at an annual rate of 6.3 percent, reaching $605 billion by 2036.

Key points

  • Saudi Arabia is at the forefront of tourism transformation in the Middle East, with its travel and tourism sector contributing 14.1% to the GDP.
  • According to a World Travel & Tourism Council (WTTC) report, significant growth is anticipated over the next decade, driven by substantial investments and major tourism projects aligned with Saudi Vision 2030.
  • The Kingdom's commitment is evident in its 19.4% growth in travel and tourism investment by 2025, supported by investor-friendly reforms and large-scale projects.
  • The Middle East is projected to be the fastest-growing tourism region between 2026 and 2036, with sector GDP expected to reach $605 billion.

Why this matters

This matters because activity in Tourism & Hospitality, Capital Markets, Banking shapes capital flows, hiring and investor sentiment across Saudi Arabia.

Economic & market impact

Potential impact: - Hotels, attractions and inbound travel operators may benefit or face headwinds. - Listed GCC equities and indices may see direct trading reaction. - Banks may see shifts in mortgage, project finance and corporate lending pipelines.

Potentially related sectors
Tourism & HospitalityCapital MarketsBanking

GCC angle

For the rest of the GCC, this is a signal on the pace of activity in Tourism & Hospitality, Capital Markets, Banking. Capital flows and regulatory decisions in one Gulf state typically travel across borders given the similar economic structures and the coordination inside the GCC framework.

Risks & uncertainty

There is uncertainty around the read-through: projections can be moved by swings in oil prices, by US monetary policy tightening that most GCC central banks track via dollar pegs, and by regional geopolitical events. Headline numbers may also be revised when subsequent official data is published.

What happens next?

Watch for upcoming disclosures from listed names in Tourism & Hospitality, Capital Markets, official macro releases for Saudi Arabia, and any commentary from regulators or sovereign wealth funds. Tharwa will refresh this briefing as new public information becomes available.

Sources used

This is an original Tharwa briefing based on the available source material. Read the full article from the publisher.