Tourism Sector’s Role in Boosting Saudi Arabia’s Economic Growth and Job Localization Highlighted by Al-Khateeb.

Riyadh: Minister of Tourism Ahmed Al-Khateeb emphasized the vital role of the tourism sector in supporting economic diversity and sustainability within Saudi Arabia during a recent panel discussion titled 'Future Directions for Local Content Under Saudi Vision' at the Local Content Forum 2024 held in Riyadh. Al-Khateeb outlined the sector's potential to create jobs across the Kingdom, leveraging its wide array of tourist attractions and facilities. According to Saudi Press Agency, Al-Khateeb highlighted that the tourism sector has significantly bolstered its contribution to the country's gross domestic product (GDP), increasing from 3% in 2019 to 5% in 2023. This growth aligns with Saudi Vision 2030's objectives, aiming to elevate the sector's GDP contribution to 10% in the coming years, matching the global average. Moreover, Al-Khateeb noted that tourism has been pivotal in enhancing job localization, achieving a rise from 3% in 2019 to 10%, thereby aligning with international standards. He detailed the Ki ngdom's development of major tourist cities, including NEOM, the Red Sea, Qiddiya, and Diriyah, alongside private-sector projects like The Avenues. These initiatives represent a significant investment of over US$500 billion over the next 15 years. The minister emphasized the necessity of localizing investments throughout design, execution, and operation phases. He revealed that the ministry allocates US$100 million annually to train 100,000 citizens, both male and female, underscoring the commitment to workforce development. Al-Khateeb also pointed out that projects like the Red Sea have achieved a 50% localization rate, demonstrating progress towards the ministry's goals.