Saudi Arabia Reaches 29th in WEF Rankings: Where Travel and Tourism Development Still Trails for Investors

For investors tracking the travel and tourism development index Saudi Arabia performance, the 2026 edition also provides a few concrete markers of momentum. Khaleej Times reported Saudi Arabia’s overall score at 4.45, described as up 3.4 percent year-on-year and 7.8 percent since 2019, and noted this as the second-largest seven-year improvement of any economy in the index. Gulf Insider also reported that the Ministry of Tourism recorded about 123 million domestic and inbound tourists in 2025, and that Saudi Arabia has raised its ambition to 150 million visitors annually by 2030 after surpassing an earlier target of 100 million tourists.

Where the Kingdom Still Lags: Affordability, Investment, and Skills

The same WEF commentary highlighted constraints that matter for returns and execution risk. Arab News quoted the WEF as saying travel and tourism-related prices have risen faster than inflation in many economies, contributing to a decline in price competitiveness in three-quarters of TTDI-ranked economies between 2024 and 2026. The WEF also said that, despite improvement, tourism investment has lagged behind activity since 2022, while workforce shortages and skills gaps risk constraining service quality and adaptation to digital and AI-driven change. Gulf Insider similarly summarized the report as saying affordability remains one of the biggest constraints, while investment and workforce gaps continue to weigh on the sector.

Workforce indicators show both progress and areas to watch. Khaleej Times said the WEF singled out Saudi Arabia’s tourism workforce strategy as a case study in building sector resilience, and linked a pillar-level improvement to the Vision 2030 push. Tourism employment reached nearly 1.03 million jobs in 2025, and Saudi women accounted for about 47 percent of the tourism workforce, up from 5 percent in 2018, supported by scholarship, certification, and apprenticeship programs run by the Ministry of Tourism. For investors, these figures can signal capacity building, yet WEF’s warning on shortages and skills gaps suggests continued pressure on service quality and on the pace of digital adoption.

Regionally, the 2026 TTDI context also frames competition for capital and travelers. Gulf Insider reported the UAE ranked 22nd, with Qatar and Bahrain at 47th and 55th, respectively. It also listed Japan at the top of the index, followed by the US, Spain, and Australia, with France, Germany, the UK, China, Switzerland, and Italy completing the top 10. The WEF said high-income economies accounted for 19 of the top 20 TTDI performers, combining infrastructure and connectivity with favorable enabling conditions. For Saudi Arabia, the climb to 29th signals traction, but investor diligence still needs to stress-test affordability dynamics, the investment pipeline versus activity, and the depth of tourism-ready skills.