Saudi tourism sector booming, IHG currently builds 39 hotels: CEO

Haitham Mattar, CEO of IHG Hotels & Resorts in the India, Middle East, and Africa region

The Saudi tourism sector is seeing continuous growth. The Ministry of Tourism has managed to surpass the target number of visitors, in addition to the rise in occupancy rates and increased demand from tourists and businessmen to the Kingdom, Haitham Mattar, CEO of IHG Hotels & Resorts in the India, Middle East, and Africa region. 

Speaking to Argaam on the sidelines of the Future Hospitality Summit (FSH) in Riyadh, he highlighted that IHG is the largest operator in the Kingdom. It boasts the highest growth rate in the region, estimated at around 50%.

Mattar also stated that his company has 39 hotels under construction in the Kingdom over the next three to five years. He added that IHG’s investments are directed as per the directives of the Ministry of Tourism to renovate, restore or rehabilitate the company’s hotels, especially in the two holy cities of Makkah and Madinah, which are witnessing strong demand.

The CEO also pointed out that IHG has begun a project to develop and rehabilitate hotels in Makkah and Madinah. More than SAR 2.5 billion worth of investments are earmarked for renovating and rehabilitating these hotels by hotel owners.

The company currently owns 43 hotels, with about 21,000 keys, in addition to the new hotels that will be established with new brands to be first introduced to the Kingdom. This includes the Regent luxury brand in Jeddah, the Compton brand, which will be in King Abdullah Financial District (KAFD), and the Al-Vidia Group, which is considered a luxury brand as well, according to Mattar.

He indicated that 60% of IHG’s hotel projects are in the luxury category. Meanwhile, the InterContinental Red Sea project will be inaugurated by mid-2025 and will consist of 220 rooms and villas overlooking the sea, poised to be among the most beautifully designed in the region.