RIYADH: Saudi Arabia’s hospitality sector continued its growth momentum in the first half of 2025, with the average daily rate rising 1.9 percent year on year to reach SR821.8 ($219.06), according to new data.
The findings, published in JLL’s “Q2 2025 Hotels Market Dynamics” report, also showed that revenue per available room edged up 0.2 percent to SR512.3 during the same period, reflecting the Kingdom’s ongoing transformation of its tourism and hospitality industries.
Nationwide occupancy eased by 1.7 percentage points year on year to 62.3 percent in the first half, but the sector remains underpinned by the Saudi Vision 2030 agenda, which aims to raise tourism’s contribution to gross domestic product from 3 percent to 10 percent and generate 1 million new jobs by the end of the decade.
It also aligns with the country’s goal of attracting 150 million visitors annually by 2030, surpassing the initial Vision 2030 target of 100 million.
Taimur Khan, head of research at JLL Middle East and Africa, said: “The evolving market dynamics in Saudi Arabia’s key cities point to significant transformations, driven by ambitious government initiatives and a strategic focus on diversifying the Kingdom’s tourism offerings, in line with the Vision 2030 goals.”
