The Hotelier website estimated the investments of giant projects in the Gulf hotel sector at about $27 billion, noting that new hotel projects worth $3.5 billion have been awarded in the region since Beginning of 2020.
The site quoted Ed James, director of content and analysis at MEED magazine, as saying: Despite the challenges posed by the Corona pandemic, the expectations for the Gulf hotel sector are still positive on the medium range.
James said: The awarding of contracts to build hotels worth $3.5 billion in the Gulf countries since the beginning of 2020 and during the height of the pandemic indicates that investors expect the hotel market to return to normal in the coming months. The next two or three years when activities return to normal.
Hôtellier explained that the relatively new term "giga projects" is intended for the most ambitious and costly tourism projects in the world, many of which are located in the Gulf countries, pointing out that Tourism projects fall within the Gulf plans for economic diversification, as the countries of the region plan to reduce dependence on oil revenues and move towards new economic sectors such as travel and tourism.
He said that Saudi Arabia is taking the lead in the tourism sector in the region through "Vision 2030", which has begun to bear fruit in giant projects such as "NEOM", the Red Sea Project and the Gateway. Diriyah, Al Mualla, Al Ula and all of these mega projects will include hotels and tourist resorts.
