Saudi Arabia Tourism Soars with 2026 Budget Driving Major Infrastructure and Visitor Growth

Published on December 25, 2025

Saudi Arabia’s 2026 national budget outlines a vision for tourism growth, focusing on improving infrastructure and diversifying the economy. With total expenditures reaching SAR 1.31 trillion and a revenue projection of SAR 1.14 trillion, the government aims to drive both economic development and sectoral growth under its ambitious Vision 2030 plan. The budget places a strong emphasis on investment in tourism-related infrastructure, which is expected to significantly boost the Kingdom’s appeal as a global travel destination.

Tourism is now seen as one of the pillars of Saudi Arabia’s economic diversification strategy, reducing reliance on oil revenues. The Saudi government is investing heavily in key tourism sectors, including transport, hospitality, and cultural projects, all designed to position the Kingdom as a top global destination. This will not only create new job opportunities but also generate additional revenue through increased international visitors.

The focus on infrastructure is a significant part of this investment. Capital expenditure is planned at SAR 162 billion, much of which will fund transportation systems such as airport upgrades, public transit, and the expansion of Saudi Arabia’s railway network. The goal is to increase the Kingdom’s capacity to handle millions more tourists every year, while enhancing the overall travel experience for visitors. Major cities like Riyadh, Jeddah, and Mecca are seeing a transformation in their urban landscapes, making them more appealing to both business and leisure travellers.

A critical component of this growth is the expansion of Saudi Arabia’s airports. With Saudi Vision 2030 aiming to attract 100 million visitors annually by 2030, investments in airport infrastructure are expected to enhance capacity, improve passenger experience, and streamline logistics. Several airports across the Kingdom, including King Abdulaziz International Airport in Jeddah and King Khalid International Airport in Riyadh, are set to undergo expansions to accommodate growing air traffic. These improvements will make the country more accessible for international travellers, opening up new pathways for inbound tourism.

Along with transportation improvements, Saudi Arabia’s 2026 budget prioritizes the development of hospitality infrastructure. Significant funds will go towards building new hotels and upgrading existing accommodations. The hospitality sector, which has been experiencing rapid growth, will see an influx of new luxury resorts and mid-range hotels to meet the demand of both religious pilgrims and leisure tourists. Projects such as Qiddiya—a massive entertainment city—and developments in Neom and Al-Ula, are set to transform Saudi Arabia into a multifaceted tourism hub, attracting tourists for both cultural and entertainment experiences.

Saudi Arabia’s focus on religious tourism remains central. The budget includes continued funding for projects that enhance the pilgrimage experience for millions of visitors who travel to Mecca and Medina for Hajj and Umrah. These religious events are not only key to Saudi Arabia’s spiritual heritage but also contribute significantly to its economy. The development of new residential complexes, shopping areas, and transport links around these cities will make the pilgrimage experience smoother and more comfortable.

Additionally, cultural tourism is receiving a much-needed boost. The Red Sea Project and the preservation of UNESCO World Heritage sites like Al-Ula are prime examples of how the Kingdom is investing in its rich history and diverse culture. These initiatives will help Saudi Arabia attract tourists who are interested in exploring the country’s heritage, ancient ruins, and natural wonders. With the government’s renewed focus on promoting its cultural and natural assets, tourism in Saudi Arabia is expected to diversify beyond religious and business tourism.

The budget also recognizes the potential of eco-tourism and adventure tourism. With the vast deserts, mountains, and coastlines, Saudi Arabia offers a unique environment for adventure tourism. The expansion of tourist facilities in places like the Red Sea coast and the Asir Mountains will make the Kingdom an attractive destination for adventure seekers and nature lovers.

Despite the promising outlook, the tourism sector faces challenges. The Kingdom must continue to navigate global economic uncertainties and potential setbacks in the hospitality and aviation industries. Yet, with a strong emphasis on public-private partnerships, Saudi Arabia aims to harness both domestic and international investment. These efforts will help ensure the Kingdom’s tourism sector continues its growth trajectory well into the next decade.

In conclusion, Saudi Arabia’s 2026 budget marks a pivotal step in transforming the Kingdom into a global tourism powerhouse. The comprehensive infrastructure improvements, combined with a robust strategy for expanding hospitality, cultural, and religious tourism, are set to boost the sector and attract millions of international visitors. As the government pushes forward with its vision of economic diversification and global tourism growth, the 2026 budget reflects the Kingdom’s commitment to creating a world-class tourism experience.

For those looking to explore Saudi Arabia, this is an exciting time. From the glistening skyscrapers of Riyadh to the awe-inspiring heritage sites of Mecca and the natural wonders of Al-Ula, Saudi Arabia is positioning itself to become a top destination for travellers from around the world.