Thought Leadership Report
Saudi Arabia and the Wellness Tourism Shift
Reimagining luxury and wellness as engines of economic transformation.
Overview
Redefining Tourism under Vision 2030
Saudi Arabia is rapidly emerging as a global hub for luxury and wellness tourism, making the sector a core pillar of its Vision 2030 economic diversification agenda. In 2024, tourism contributed SAR494.62 billion (12.45% of GDP), up from 5.3% in 2022 with an aim to reach 150 million visitors by 2030, signaling a shift toward immersive, high-value experiences. This report examines how giga projects, policy reform, and targeted investments are creating integrated destinations designed for affluent, experience-seeking travelers and how this shift aligns with Vision 2030’s economic diversification goals.
Five Strategic Shifts Reshaping Saudi Tourism
1. Premium Tourism as a National Priority
Tourism’s share of GDP has jumped dramatically, and continued growth is projected as the Kingdom pursues higher-value demand and expanded visitor spending. Saudi Arabia is targeting affluent global travelers with a sharp focus on luxury and wellness. Hotel capacity expanded by nearly 70% year-on-year to 475,970 rooms, with a target of 675,000 by 2030. Leisure travel surged 20% in 2024, reflecting diversification beyond religious tourism.
2. Giga Projects as Catalysts for Wellness and Luxury
Flagship projects such as the Red Sea Project, AMAALA, NEOM, and Soudah Peaks are redefining Saudi Arabia’s tourism landscape. These projects integrate sustainability with luxury, contributing billions to the GDP and generate thousands of jobs by 2030.
- Red Sea Project: Regenerative, nature-rich resorts contributing USD 5.3 billion to GDP and creation of 70,000 jobs by 2030.
- AMAALA Project: Wellness and yachting hub generating GDP of USD 3.2 billion by 2030.
- NEOM: Futuristic city with regions like Sindalah, Trojena, and Magna blending luxury tourism with sustainability.
- Soudah Peaks: Premium Mountain hospitality, expected to add USD 7.8 billion GDP by 2033.
3. Government-Led Enablers
Government initiatives such as the Tourism Investment Enablers Program and expanded e-visa access are unlocking private investment. The Tourism Investment Enablers Program aims to unlock SAR 42 billion, and the Tourism Development Fund has supported roughly SAR 40 billion across ~130 projects. These drivers reduce project risk and accelerate private sector participation. Global marketing campaigns and celebrity endorsements are reshaping perceptions and amplifying Saudi Arabia’s appeal.
4. Safety and Infrastructure as Differentiators
Saudi Arabia ranked 14th globally and highest in the G20 on the Numbeo Safety Index in 2025, making it a secure destination for wellness seekers, solo travelers, and families. Improved safety rankings, combined with investments in transport, digital payments, and healthcare infrastructure, create a compelling value proposition for high‑net‑worth visitors who prioritize privacy and low‑risk environments.
5. Navigating Challenges with Strategic Recalibration
Spending cuts from the Public Investment Fund have slowed some giga project timelines, but the government is prioritizing high-impact initiatives and exploring alternative funding models to sustain momentum.
The Path Forward
Saudi Arabia’s tourism sector is the fastest growing globally, with a 102% surge in international arrivals in early 2025. Strong leadership, bold reforms, and cultural authenticity are redefining the Kingdom’s image, setting it up as a distinctive and resilient competitor in global luxury and wellness tourism. To translate momentum into sustainable market leadership, stakeholders must balance rapid expansion with phased revenue generation, embed sustainability in operations, and continue to invest in digital storytelling and safety messaging to convert interest into bookings.
About the Authors
Mansi Aggarwal
Senior Manager
Ambika Ghol
Lead Analyst
Shashank Toshniwal
Senior Analyst
