The International Monetary Fund (IMF) has highlighted Saudi Arabia’s booming tourism sector as a major force behind the country’s economic diversification

According to the 2024 Article IV Consultation report, Saudi Arabia exceeded its Vision 2030 goal of attracting 100 million visitors annually by 2023 — a full seven years ahead of schedule.

Tourism revenues reached $36 billion in 2023, contributing 11.5% to the country’s GDP, with expectations to grow to 16% by 2034

This growth has been driven by a combination of strong local interest and a boost in international tourism. Events like Formula One, the 2027 Asian Cup, and the 2030 World Expo have helped position Saudi Arabia as a new hotspot for cultural and leisure activities.

The report also noted a shift in Saudi Arabia’s economy

Recommended

Get Ready For Luxe Escapes And Unforgettable Moments At Saudi’s Red Sea!Turki Al Sheikh Offers 6 Luxury Cars For Best Photos Of Saudi Planes Heading To RiyadhSaudi Ranks Among Top Countries For Child Welfare And Education Opportunities

With the country now earning more from inbound tourism than it spends on outbound tourism. This positive change started in 2022 and continued in 2023, thanks to increased earnings from transport and service exports.

The IMF also found that while Saudi nationals are spending less on international travel, expatriates living in the Kingdom are spending more on local leisure activities. This shift is strengthening various sectors like food, culture, and travel, helping reduce Saudi Arabia’s reliance on oil.