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Demand for tourism services up by 105% in first half of 2022

Demand for tourism services up by 105% in first half of 2022

The value of demand for tourism sector services jumped 105 percent to SR4.1 billion during the first half of 2022, compared to the same period in 2021 when it stood at SR2 billion.
A recent report showed that the demand for services across the domestic, foreign and local tourism sectors has led to the growth of the total value of reservations to SR2.5 billion in the second quarter of 2022, an increase of 108 percent compared to SR1.2 billion in the second quarter of 2021, Al-Watan newspaper reported.

The report pointed out that the travel sector of individuals has witnessed the strongest quarterly growth ever, as it soared 175 percent, reaching its value SR1.1 billion against SR400 million during the same period in 2021. The individual travel sector is heading towards achieving SR4 billion by the end of 2022.

It also indicated a growth of 89 percent in the total value of reservations to reach SR1.7 billion in the second quarter of 2022, compared to SR900 million in the second quarter of 2021.

The corporate and government travel sector also recorded a growth of 27 percent in terms of the total value of reservations, rising from SR473 million in the second quarter of 2021 to SR600 million in the second quarter of 2022, according to the Business Traveler report.

In the car rental sector, the reservations for individuals and companies continued to witness positive growth and increase. Individual bookings through the Lumi car rental mobile application and retail outlets at airports and major locations across the Kingdom have maintained a steady increase, with an increase of 40 percent in revenues from SR122 million in the second quarter of 2021 to SR171 million in the second quarter of 2022.

Hajj and Umrah trips have recorded revenues of SR10 million for the second quarter of 2022, which is a significant increase from the second quarter of 2021. This increase was attributed to the resumption of Umrah service following the lifting of travel restrictions imposed due to the outbreak of the coronavirus pandemic.

The Saudi destination management company titled ‘Discover Saudi’ recorded a growth in the total value of reservations amounting to SR24 million in the second quarter of 2022, an increase of 50 percent compared to the same period in 2021. The demand for inbound tourism to Saudi Arabia witnessed an unprecedented growth after the opening of the visa on arrival program, which allows holders of valid visas from the United States, the United Kingdom and the Schengen area to enter the Kingdom. This is in addition to the overall promotion of Saudi Arabia as a leading tourist destination.

The hospitality business unit generated revenues, amounting to SR 27 million, an increase of 93 percent in the second quarter of 2022 compared to the same quarter of 2021, the report pointed out.
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