RIYADH: Saudi Arabia’s licensed tourism hospitality facilities increased by 22.7 percent year on year to 6,122 in the first quarter of 2026, reflecting the continued expansion of accommodation capacity to support the Kingdom’s growing tourism industry.
Data released by the General Authority for Statistics (GASTAT) showed that serviced apartments and other hospitality facilities accounted for 3,159 licensed establishments, representing 51.6 percent of the total, while hotels numbered 2,963, making up the remaining 48.4 percent.
The expansion of the hospitality sector forms a central part of Saudi Arabia’s Vision 2030 strategy, which aims to diversify the economy and establish the Kingdom as a global tourism destination.
Having already exceeded its initial target of attracting 100 million visitors, Saudi Arabia’s National Tourism Strategy now seeks to welcome 150 million visitors annually by 2030.
Tourism Employment Grows
According to GASTAT, the number of tourism establishments employing staff reached approximately 177,031 during the first quarter, up 9 percent from 162,473 in the same period last year.
Employment in tourism-related activities also rose by 6.5 percent to around 1.05 million workers, compared with 983,253 a year earlier.
Saudi nationals accounted for 250,094 employees, while non-Saudi workers numbered 797,219.
Mixed Occupancy Trends
The report showed hotel guests stayed an average of 4.2 nights during the first quarter, slightly higher than the 4.1-night average recorded a year earlier.
Guests staying in serviced apartments and other hospitality facilities spent an average of 2.2 nights, marking a 1.2 percent increase from the corresponding period in 2025.
Hotel room occupancy, however, declined to 60.8 percent from 63 percent a year earlier.
In contrast, occupancy at serviced apartments and other hospitality facilities improved to 51.6 percent, up from 50.7 percent in the first quarter of 2025.
Average daily hotel room rates fell by 11.4 percent year on year to approximately SR423 (about $113), while serviced apartments and other hospitality facilities recorded a modest 1.2 percent decline to an average of SR206 per night.
