RIYADH: Tourism spending in Saudi Arabia saw an annual increase of 23 percent in the first three months of the year, hitting SR45 billion ($12 billion), according to new figures.

Data released by the Saudi Central Bank showed that the balance of payments for travel – encompassing expenditures by foreign tourists visiting the country and spending by residents traveling abroad – posted a surplus of SR24 billion. This is a 46 percent increase on the first quarter of 2023.

The increase in visitor spending aligns with the Kingdom’s ambition to rank among the top 10 global tourist destinations in 2024 as Saudi Arabia pushes ahead with its Vision 2030 economic diversification strategy.

According to a World Economic Forum study released in May, international tourist arrivals and the worldwide travel sector’s contribution to global gross domestic product are projected to rebound to pre-pandemic levels this year.

In terms of recovery rates for international tourist arrivals, the Middle East leads, with Saudi Arabia showing the most improvement in its ranking from 50th place in 2019 to 41st in 2024, according to the WEF’s Travel & Tourism Development Index 2024.

This recovery is driven by increased travel demand, bolstered by investments in tourism and cultural attractions, as well as improved flight availability worldwide.

Recent cultural advancements, such as art exhibitions and a burgeoning entertainment sector, underscore Saudi Arabia’s expanding ambitions internationally.

The Kingdom’s submissions to prestigious events like the Oscars and Cannes Film Festival further highlight its growing influence and participation in global cultural arenas.

In February, the UN World Tourism Organization recognized the Kingdom’s tourism sector as a trailblazer in innovation, achieving its Vision 2030 goal of attracting 100 million visitors seven years ahead of schedule.

This milestone follows Saudi Minister of Tourism Ahmed Al-Khateeb’s announcement at last year’s Future Investment Initiative in Riyadh, where he unveiled Saudi Arabia’s decision to revise its initial target to 150 million visitors by the end of the decade.

Regulative enhancements, including the introduction of the Kingdom’s new “Visiting Investor” visa approved by the Ministry of Investment and Foreign Affairs, have also facilitated the industry’s expansion.