We'll meet again • Chapter summary
Of all the sectors most heavily impacted by the pandemic, tourism has perhaps suffered the most. The coronavirus’ impact on international travel has completely upended air travel, which had been the backbone to tourism up until now. Necessary restrictions at the border and the rigmarole of testing or requiring double vaccinations have all contributed to a significant downturn in the tourism industry. Last year, it was an estimated that there was a 45% decrease in tourism in the Kingdom.
As part of Vision 2030, tourism, along with hospitality and travel, was highlighted as a sector that would need to grow and contribute 11% of total GDP over this decade. In the face of unprecedented challenges, this chapter offers insights that are reflective by nature and offer an account of how the sector has grappled with resiliency.
It is not all doom and gloom, however. While international tourism has seen a downturn, the other side of the coin, domestic tourism, has seen an upturn. The Kingdom has natural advantages in this arena with its huge size and diverse topography, as well as of course being the home of Mecca and Medina. Beaches, mountains, valleys, and holy sites have been the order of the day since it was apparent that international travel would be limited both into and out from the country. The government has been active in making tourism and hospitality more accessible for its citizens, privatizing certain tourist services and preserving important historic and cultural locations.
In 2020, the Ministry of Tourism launched its Saudi Summer campaign to encourage domestic tourism during the pandemic. This led to USD1.6 billion in consumer spending, which was up by over 25% from the previous summer in 2019. Domestic tourism presented a significant opportunity for the business and economic landscape in the country.
As Saudi Arabia turbo charges its vaccination campaign and international travel becomes more readily available once again, the country can feel hopeful that international tourism can catch up to the gains made on the domestic front. This chapter provides insights into how the industry has consolidated its strengths and survived the unprecedented challenge presented whilst looking to a future that will deliver more in the future.