https://arab.news/nek5p
RIYADH: Saudi Arabia’s tourism sector has witnessed a strong recovery, with tourist arrivals reaching nearly pre-pandemic levels in the first quarter of 2023, according to a recent report by HSBC Global Research.
The study revealed that the Middle East’s tourism industry has experienced a robust recovery from the pandemic’s impact. Notably, the region witnessed a total recovery in tourist arrivals during the first half of the year, marking a 15 percent increase compared to 2019 figures.
Europe followed closely, reaching 90 percent of its pre-pandemic visitor numbers.
The report underscored the Middle East’s prominence in tourism, contributing the highest share of gross domestic product at 5 percent, indicating potential rewards for the region in the forthcoming year amid the ongoing recovery.
Alongside Saudi Arabia, Turkiye also registered substantial tourist arrivals in the same quarter. The study also indicated Asia Pacific’s noteworthy performance, with tourism contributing over 4 percent to the region’s gross domestic product.
Maitreyi Das, the report's author and economist at HSBC Securities and Capital Markets, noted that the Middle East saw the strongest recovery in terms of tourism performance, becoming the world’s first region to surpass pre-pandemic numbers.
“Globally, Qatar and Saudi Arabia are the best-performing destinations in terms of tourist arrival in the first quarter of 2023. In terms of tourism receipts, Turkiye stands at fourth ranking (+104 percent) globally,” Das said.
Talking about perceptions, Das added that 40 percent of respondents believe that tourism recovery in the Middle East has already been achieved, while 20 percent anticipate a recovery by the end of 2023.
The report also predicts a sharp rise in outbound tourist spending from Asian economies, driven by the rapid expansion of the middle-class consumer base in the coming decade. Mainland China’s tourism expenditure is estimated to grow from $100 billion in 2022-2030 to $175 billion by 2030-2040.
Moreover, the report highlights a substantial increase in the number of domestic and international flights from Mainland China, coupled with the growing deployment of wide-bodied aircraft during the past quarter.