Saudi Arabia’s Travel and Tourism Sector Booms in 2023, Contributing Record $118.4 Billion to GDP
In a groundbreaking report, Saudi Arabia’s travel and tourism sector showed a remarkable growth of over 32 percent in 2023, making a historic contribution of SR444.3 billion ($118.4 billion) to the nation’s gross domestic product.
Unprecedented Achievements in GDP Contribution, Employment, and Visitor Spending
The World Travel and Tourism Council’s 2024 Economic Impact Research highlighted the Kingdom’s extraordinary achievements in GDP contribution, employment, and visitor spending. The Kingdom welcomed 100 million tourists in 2023, surpassing its Vision 2030 target seven years ahead of schedule.
WTTC President Hails Saudi Arabia’s Tourism Sector as a Global Leader
Julia Simpson, President and CEO of WTTC, praised Saudi Arabia’s travel and tourism sector for its remarkable achievements, stating that it is on the path to becoming a global tourism leader. She emphasized the sector’s crucial role in the nation’s diversified economic future and global travel and tourism development.
Explosive Growth in Employment and Visitor Spending
The sector’s expansion by over 32 percent last year represented 11.5 percent of the total economy, highlighting its critical role in Saudi Arabia’s economic landscape. Employment in the sector saw a significant rise, adding 436,000 jobs to exceed 2.5 million, accounting for almost one in five jobs in the country.
Anticipated Growth in 2024 and Beyond
WTTC projected that the sector will continue its rapid growth in 2024, with GDP contributions expected to reach SR498 billion. Employment is forecasted to grow by more than 158,000 jobs, bringing the total to nearly 2.7 million. Looking ahead to 2034, WTTC forecasted that the sector in Saudi Arabia will contribute SR836.1 billion to the GDP, comprising almost 16 percent of the economy.
Regional Perspective: Middle East Tourism Sector on the Rise
In the Middle East, the travel and tourism sector also experienced substantial growth in 2023, increasing by over 25 percent to nearly $460 billion. Employment reached almost 7.75 million, while international spending rose by 50 percent to $179.8 billion and domestic spending grew by 16.5 percent to over $205 billion. WTTC projected continued growth in 2024, with GDP contributions reaching $507 billion, jobs increasing to 8.3 million, international visitor spending hitting $198 billion, and domestic visitor spending surpassing $224 billion.