Makkah hotels see 40% decline due to drop in pilgrims, visitors

Updated 26 February 2016
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Makkah hotels see 40% decline due to drop in pilgrims, visitors

JEDDAH: Occupancy rates at hotels and furnished apartments in Makkah are no more than 60 percent in the central area around the Grand Mosque, and between 15 percent and 30 percent in other areas due to a sharp drop in the number of pilgrims and visitors.
Salem Al-Matrafi, an investor, says the number of hotel rooms in Makkah exceeds 250,000, but occupancy rates do not exceed 15 percent, noting that all hotels and housing for Umrah visitors are licensed by the General Authority for Tourism.
Abdullah Al-Omeiri, also an investor, says occupancy rates of furnished apartments from the start of the Umrah season until about one month ago reached 90 percent at hotels in the central region in Makkah, but this percentage has declined due to lack of issuance of visas from the Ministry of Haj. All units are licensed and provide top safety and security standards, however prices have decreased due to the declining occupancy rates compared to last year, he confirms.
As for problems facing the sector, he says the most notable challenge is the decline in the number of visas issued for Umrah and Haj, in addition to challenges brought on by Haj missions that rely on brokers and special agents, rather than allowing for rent to occur under the umbrella of the Ministry of Haj.
The chairman of the real estate committee at the Makkah Chamber of Commerce, Mansour bin Riyash, says the number of available rooms currently is 8,000 rooms for Haj housing, a number that is more than the number of pilgrims arriving in the Kingdom, especially after the reduction in pilgrims by 20 percent since 1432 AH. Current occupancy rates do not exceed 50 percent of available rooms, he says, noting that the issue does not lie in the certain conditions and controls for Haj housing, but rather in that the number of pilgrims arriving is far less than the size of the market.
As for services for housing of Umrah visitors, he says they are per the requests of Haj missions, and prices are set accordingly, with prices increasing or decreasing as per supply and demand and the proximity to the Grand Mosque and holy sites.
Regarding the increase in the number of rooms for Umrah visitors or pilgrims, he says he does not see any justification for the increase because the available rooms provide housing for about 2.2 million pilgrims, and any increase should be delayed until the number of pilgrims and visitors arriving increases.
He says the General Authority for Tourism and National Heritage, the real estate committee at the Chamber of Commerce and hotel owners are fulfilling their duties, but the numbers are not increasing, he said. As per approved plans at the Higher Committee for the Development of Makkah, the hope was that the number of pilgrims this year would reach around 2.4 million, but the numbers remain fixed at the rates in 1434 AH, he says.
Dr. Faisal Al-Sharif, head of the branch of the General Authority for Tourism and National Heritage, says the total number of licensed and classified accommodation facilities in Makkah amount to 893 facilities, including 491 operating hotels, 308 classified hotels, 72 operating housing units and 22 classified housing units. The total number of licensed hotels in Makkah is 780 hotels, of which 27 are five-star hotels, 104 are four-star hotels, 159 and three-star hotels, 97 are two-star hotels, and 491 are one-star hotels, he says. As for residential units, out of a total of 104 units, four are classified as 2rd grade units, 22 are classified as 3rd grade units, and 72 are classified as grade 1 or lower.

Al-Sharif says the number of hotel rooms is 157,868 rooms, which can absorb 1,894,632 Umrah visitors, while the number of residential units is 13,691 rooms that can absorb 164,328 Umrah visitors monthly. He confirms that the total number of rooms in hotels and residential units is 171,577 rooms, which can absorb a total of 1,058,960 Umrah visitors monthly.


Saudi FM participates in Cairo conference to support humanitarian work in Gaza

Updated 51 min 40 sec ago
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Saudi FM participates in Cairo conference to support humanitarian work in Gaza

  • Prince Faisal says crisis has ‘reached an unbearable limit’
  • Kingdom has provided more than 6,600 tonnes of food, shelter, medical supplies, to Palestinians in Gaza since October 2023

RIYADH: The Kingdom’s Foreign Minister Prince Faisal bin Farhan chaired Saudi Arabia’s delegation at Monday’s Cairo Ministerial Conference to Enhance the Humanitarian Response in Gaza.

Prince Faisal said during his speech that the humanitarian crisis in Palestine had “reached an unbearable limit, and in no way can the deterioration of the situation in the region be allowed any more.”

At least 44,000 Palestinians have lost their lives during Israel’s military campaign in the Gaza Strip since October 2023, and more than 100,000 have been injured.

Prince Faisal said that Israeli actions against children, women and the elderly; the destruction of infrastructure in the Gaza Strip; the forced displacement of 2 million Palestinians and the confiscation of their lands would “perpetuate suffering, fuel extremism in the region … and undermine the chances of coexistence and sustainable peace.”

He said that Israel’s illegal settlements in the occupied West Bank and government policies to affect the legal and historic status of Jerusalem “represent direct attacks on international law and threaten the two-state solution.”

Prince Faisal stressed the importance of an immediate and permanent ceasefire in the Gaza Strip, the Saudi Press Agency reported.

He also warned that the Israeli-approved law to prohibit the UN Relief and Works Agency for Palestine Refugees from working inside Israel “would have catastrophic consequences for the West Bank and the Gaza Strip.”

Saudi Arabia has provided more than 6,600 tonnes of food, shelter equipment and medical supplies, including ambulances, to Palestinians in Gaza since October 2023.

Prince Faisal said that the “brutal genocide in Gaza is the biggest test of the international order,” and called for the recognition of the Palestinian state and the respect of all UN resolutions.

Abdullah Al-Rabeeah, supervisor general of the Saudi aid agency KSrelief, also attended the conference.


Riyadh forum to address inclusivity in social protection

Updated 02 December 2024
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Riyadh forum to address inclusivity in social protection

  • Focus on sustainable insurance systems and strengthening regional cooperation
  • Initiatives proposed at the forum could reshape the future of social security in the region

RIYADH: The Regional Social Security Forum for Asia and the Pacific will be held in Riyadh from Dec. 3 to 5, under the patronage of Saudi Finance Minister and Chairman of the General Organization for Social Insurance Mohammed Al-Jadaan.

Organized by the International Social Security Association every three years, the forum is a key regional gathering on social security and insurance protection.

Saudi Arabia’s hosting reflects its commitment to addressing future challenges and opportunities in social security, the Saudi Press Agency reported.

It also emphasizes the Kingdom’s role as a center for regional and international cooperation, strengthening its leadership in fostering strategic partnerships and knowledge exchange.

The forum will discuss evolving social protection needs, the leadership of social security institutions in developing protection systems, and the impact of economic and demographic changes. It will also discuss the transformation of service management and delivery, and how social security enhances resilience and sustainability.

Representatives from about 30 Asia-Pacific countries, members of the International Social Security Association, will attend. More than 400 participants, including institutional leaders, social protection experts, decision-makers, and representatives from 58 international organizations, will meet to discuss and improve social protection systems.

Marwan Al-Ghamdi, assistant governor for strategy and transformation at the General Organization for Social Insurance, told Arab News that the Kingdom’s hosting of the forum reflects its commitment to strengthening international cooperation to address social insurance challenges and develop innovative policies for inclusivity and sustainability.

“The organization’s mission, focused on achieving social protection for individuals and communities, depends on enhancing sustainable insurance systems, in addition to empowering future generations to build a prosperous future for all,” Al-Ghamdi said.

He added that the Kingdom’s experience in developing social protection systems is as an inspiring model for international institutions and the social insurance sector globally. This experience enriches forum discussions by showing programs that strengthen social protection as part of the UN’s Sustainable Development Goals.

Hosting the forum offers an opportunity to reinforce regional cooperation and exchange best practices, strengthening social insurance systems in Asia-Pacific countries, Al-Ghamdi said.

Discussions may lead to innovative services and products that address challenges such as bridging gaps in cover and protecting workers. Successful experiences also raise awareness of the importance of comprehensive social protection and achieving the SDGs, he added.

Al-Ghamdi said that the forum facilitates the exchange of experiences and the formulation of shared policies to address challenges. Participants can launch innovative initiatives to enhance sustainable, high-quality social protection systems in the region.

The initiatives proposed at the forum could reshape the future of social security in the region, as partnerships help develop effective insurance strategies that meet community needs and strengthen the social insurance sector, he added.


Jeddah to host Hajj forum and expo in January

Updated 02 December 2024
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Jeddah to host Hajj forum and expo in January

  • Event aims to enhance pilgrim services, promote innovation, and foster transparency and competitiveness in Hajj-related industries
  • Conference will bring together ministers, diplomats, academics, Hajj service providers, and representatives from 250 entities across 87 countries

RIYADH: Under the patronage of King Salman, the fourth Hajj Conference and Exhibition will be held from Jan. 13-16 in Jeddah, the Saudi Press Agency reported.

Organized by the Ministry of Hajj and Umrah in partnership with the Pilgrim Experience Program, the event aims to enhance pilgrim services, promote innovation, and foster transparency and competitiveness in Hajj-related industries.

The conference will bring together ministers, diplomats, academics, Hajj service providers, and representatives from 250 entities across 87 countries.

It will feature 47 panel discussions, 50 workshops, and a specialized exhibition with 280 exhibitors showcasing the latest Hajj technologies and services.

The ministry invites global experts and participants to join the event. Registration details are available at hajjconfex.com.


Water Partnership Forum explores opportunities for public and private sectors

Updated 02 December 2024
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Water Partnership Forum explores opportunities for public and private sectors

  • ‘By bringing together key players we are building a stronger foundation for sustainable water management’ — CEO of SWPC

RIYADH: The Saudi Water Partnership Company hosted a forum and award ceremony in Riyadh, bringing together key stakeholders, government officials and industry leaders for a day of dialogue, innovative workshops and strategic networking aimed at advancing the sustainability and resilience of Saudi Arabia’s water sector.

The forum was a platform for discussing advances in water management and sustainability and exploring opportunities for collaboration in the public and private sectors.

Subjects discussed included water sustainability, government collaboration, and public private partnership legislation. These sessions provided actionable insights and set the stage for future partnerships that will shape the water sector in Saudi Arabia and the broader MENA region.

Khaled AlQureshi, CEO of SWPC, said: “The SWPC Forum and award ceremony is a testament to the power of collaboration and innovation. By bringing together key players from across the water sector, we are building a stronger foundation for sustainable water management and aligning with the Kingdom’s strategic goals for the future.”

The workshops provided participants with in-depth insights into key topics such as optimizing tendering processes, building robust water infrastructure, financing water projects, and exploring long-term off-take partnerships.

Industry experts shared case studies and best practices, fostering knowledge exchange and equipping participants with actionable strategies to address complex challenges in water management.

Panel discussions delved into the nuances of stakeholder engagement, sustainable development, and the integration of advanced technologies.

The exhibition area displayed cutting-edge innovations and solutions, giving attendees a firsthand look at advances shaping the water sector.

These elements collectively positioned the forum as a pivotal event for driving innovation, sustainability and strategic collaboration.

The forum concluded with the SWPC Awards Ceremony inaugurated by Abdulrahman bin Abdulmohsen Al-Fadhli, the minister of environment, water and agriculture.

The ceremony celebrated excellence in water management, with awards recognizing innovation, operational excellence, and strategic partnerships.

Notable winners included projects in desalination, sewage treatment, and strategic water storage, all of which underscore Saudi Arabia’s commitment to water sustainability and infrastructure development.

The awards recognized innovation, operational excellence, and strategic partnerships that are advancing the Kingdom’s water sustainability initiatives.


Ramsar chief visits Farasan Islands for wetland talks

Updated 02 December 2024
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Ramsar chief visits Farasan Islands for wetland talks

  • The islands play a vital role in sustainable development and conserving biodiversity

RIYADH: The secretary-general of the Ramsar Convention on Wetlands, Musonda Mumba, visited the Farasan Islands Protected Area as part of advancing global cooperation on wetland protection.

The islands, one of the convention’s most prominent sites in the Kingdom, play a vital role in sustainable development and conserving biodiversity.

The visit included field tours and a presentation by the National Center for Wildlife on the national wetland conservation roadmap, highlighting the islands’ support for migratory birds and endangered species.

Located in the southern Red Sea, the Farasan Islands comprise over 170 ecologically diverse islands of significant heritage value.

Saudi Arabia’s membership of the Ramsar Convention on Wetlands reflects its commitment to addressing environmental challenges, including climate change.