According to the latest data from hotel industry monitoring firm STR, Saudi Arabia leads the Middle East and Africa's hotel construction activity with over 40,000 rooms under construction as of March 2023.
The Kingdom accounts for 35.1 percent of the total keys under construction in the region.
This places Saudi Arabia as one of the biggest hotel construction markets in the world despite a global slowdown. The report indicates that the Middle East and Africa is the only region to have an increase in total rooms under contract by 6.4 percent to 249,150 in March 2023 compared to the same period last year.
The UAE also played a role in the region's hotel sector growth, with 22,325 rooms under construction, accounting for 18.6 percent of the total number. Under Vision 2030, the Kingdom's market is expected to have 310,000 hotel rooms by 2030 with an investment size of $110 billion, and Saudi Arabia's hotel segment is projected to generate $2.51 billion in revenue this year and is expected to reach $3.02 billion by 2027, according to Statista.
