View from the Gulf

Saudi Arabia has a strong tourism market, but minister holds out hope for Chinese travelers

Key Points
  • The Arab kingdom has a "very strong domestic market" for tourism, Saudi Arabia's Minister of Tourism Ahmed Al Khateeb said.
  • The minister added that he hopes China eases Covid restrictions, which could lead to an influx of Chinese tourists.
Watch CNBC's full interview with Saudi Arabia's Minister of Tourism Ahmed Al Khateeb
VIDEO16:2116:21
Watch CNBC's full interview with Saudi Arabia's minister of tourism

Sprawling mountains in the south, redevelopment of the Red Sea's coastal jewel city Jeddah and a futuristic smart city NEOM by 2030 — these are just some of the highlights that Saudi Arabia's minister of tourism hopes will be the main draws for future tourists.

The Arab kingdom has a "very strong domestic market" for tourism, Saudi Arabia's Minister of Tourism Ahmed Al Khateeb told CNBC's Dan Murphy on Wednesday on the sidelines of the Future Investment Initiative in Riyadh.

The minister added that he hopes China eases Covid restrictions, which could lead to an influx of Chinese tourists.

"We definitely have [a] very strong religious market, people visiting the two holy cities," Al Khateeb said.

The Abraj Al-Bait Towers also known as the Mecca Royal Hotel Clock Tower, is seen from Jabal al-Noor or 'Mountain of Light' overlooking the holy city of Mecca, on July 5, 2022. The kingdom is home to two of Islam's holy sanctuaries, Mecca and Medina. Before the pandemic, Saudi Arabia drew about $12 billion of revenue annually from 2.6 million pilgrims embarking on the week-long haj.
Christina Assi | Afp | Getty Images

The kingdom is home to two of Islam's holy sanctuaries, Mecca and Medina. Before the pandemic, Saudi Arabia drew about $12 billion of revenue annually from 2.6 million pilgrims embarking on the week-long haj.

"China used to be a very important market, but it is still closed. This year, we've seen a great demand from Europe and the U.S.," he said.

"I absolutely would love to see some of these restriction ease because Chinese market is a very big market, not only for Saudi Arabia — for all the other countries."

Al Khateeb also believes the upcoming Qatar World Cup "will definitely generate thousands of jobs."

The FIFA World Cup tournament begins on Nov. 20 and lasts for a month.

Qatar has been scrutinized in recent months for its treatment of migrant workers employed in construction projects ahead of the tournament.