Saudi Arabia: Tourism spending in Saudi Arabia saw an annual increase of 27.25 percent in the three months to the end of September, hitting SR25.05 billion ($6.68 billion), according to new figures.

Data released by the Saudi Central Bank, also known as SAMA, also showed that the spending by residents traveling abroad increased by 21.79 percent to reach SR26.33 billion.

The travel balance of payments recorded a deficit of SR1.28 billion, marking a 33.83 percent decrease compared to the same period last year. The balance showed a surplus of SR40.17 billion for the first nine months of the year, reflecting a 4 percent increase from the same period in 2023.

These spending patterns align with the Kingdom’s broader ambition to rank among the top 10 global tourist destinations by the end of the decade, as outlined in its Vision 2030 economic diversification strategy.

Recent cultural advancements, including hosting art exhibitions and high-profile entertainment events, demonstrate Saudi Arabia’s commitment to enhancing its global image.

Landmark initiatives, such as the newly approved “Visiting Investor” visa, further signal the nation’s intent to attract diverse visitors while supporting the tourism sector’s growth.

Inbound tourism spending in Saudi Arabia has shown notable fluctuations throughout the year, shaped by a blend of cultural, religious, and seasonal factors.

Religious tourism, which accounted for 42 percent of all inbound visits in 2023, according to the Ministry of Tourism annual report, plays a pivotal role in this variation.

Pilgrimages during the holy months of Hajj and Ramadan drive significant surges in visitor numbers and spending, underscoring the importance of faith-driven travel to the Kingdom’s tourism sector.

Non-religious inbound tourism, which made up 58 percent of arrivals during 2023, might exhibit different dynamics influenced by factors such as climate.

Leisure tourists and those visiting friends and relatives often plan their trips during months when temperatures are milder.

This seasonal preference explains why tourism spending tends to peak during the second quarter of the year. In 2024, inbound spending reached SR47.6 billion in the second quarter, following a similar trend in 2023, when spending in the same period was SR48.93 billion.

By contrast, expenditures dropped to SR19.68 billion in the third quarter of 2023, coinciding with the peak summer heat.

Makkah remained the most visited destination in 2023, according to the ministry’s report, welcoming 15.4 million tourists, driven primarily by religious purposes.

Madinah, a secondary destination for many pilgrims, attracted 9.6 million visitors. Riyadh also emerged as a major draw, hosting 2.8 million tourists and reinforcing its growing reputation as a cultural and business hub.

Religious tourism generated the majority share of spending, contributing 55 percent of the total or SR77.4 billion, followed by visits to relatives and families at 19 percent or SR26.3 billion.

Leisure tourism, encompassing activities like entertainment and sightseeing, accounted for SR21.6 billion.