Saudi Tourism Revenues Jump 70% in 2021

The Al-Rudaf Park in Taif, western Saudi Arabia. (Asharq Al-Awsat)
The Al-Rudaf Park in Taif, western Saudi Arabia. (Asharq Al-Awsat)
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Saudi Tourism Revenues Jump 70% in 2021

The Al-Rudaf Park in Taif, western Saudi Arabia. (Asharq Al-Awsat)
The Al-Rudaf Park in Taif, western Saudi Arabia. (Asharq Al-Awsat)

Operational revenues of tourism-related activities in Saudi Arabia amounted to $56.8 million in 2021, a 70.8 percent increase compared with 2020, revealed the General Authority for Statistics (GAStat).

The Authority said the increase included all distinctive tourism activities. The revenues from accommodation for visitors accounted for 33.2 percent and food and drink made up 29.9 percent of the total figure.

Operational expenses

Total operating expenses of tourism-related activities reached $29.9 million, an increase of 92.2 percent from 2020.

Operational expenses related to accommodation represented 31.6 percent and food and beverage related operations accounted for 29.7 percent of total operational expenses.

Administrative data from the Ministry of Tourism showed that the annual occupancy rate in hotel rooms reached 42.1 percent in 2021.

During December, the Kingdom witnessed the highest monthly occupancy rate at 53.3 percent. The annual occupancy rate of furnished housing units stood at 49.3 percent in 2021. The highest monthly occupancy rate was 55 percent.

Number of employees

The General Authority revealed that the number of workers in tourism-related activities reached 767,819 during 2021, including 516,382 in the food and beverage sector and 101,861 in accommodation sector.

The sectors employed 81 percent of the workforce in tourism-related activities. Saudi workers accounted for 26.8 percent of the workforce, with males making up 58.1 percent of the total and females 41.9 percent.

During the first quarter of 2023, the Kingdom received about 7.8 million international tourists, the highest historical quarterly performance, and marking a growth of 64 percent compared to the same period in 2019.

Saudi Arabia occupied second place on the list of the most developed countries worldwide, according to the latest data from the UN World Tourism Organization (UNWTO).

The Kingdom advanced 16 places in the International Tourism Revenue Index, reaching 11th place in 2022, compared to 27th place in 2019, according to the World Tourism Barometer report issued by the UNWTO in May 2023.



How Tiny Lesotho Ended up with the Highest US Tariffs in the World

 Workers perfom their duties at Quantum Apparel factory on the outskirts of Maseru, the capital of Lesotho, the tiny Southern African kingdom that US President Donald Trump ridiculed last month, April 4, 2025. (Reuters)
Workers perfom their duties at Quantum Apparel factory on the outskirts of Maseru, the capital of Lesotho, the tiny Southern African kingdom that US President Donald Trump ridiculed last month, April 4, 2025. (Reuters)
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How Tiny Lesotho Ended up with the Highest US Tariffs in the World

 Workers perfom their duties at Quantum Apparel factory on the outskirts of Maseru, the capital of Lesotho, the tiny Southern African kingdom that US President Donald Trump ridiculed last month, April 4, 2025. (Reuters)
Workers perfom their duties at Quantum Apparel factory on the outskirts of Maseru, the capital of Lesotho, the tiny Southern African kingdom that US President Donald Trump ridiculed last month, April 4, 2025. (Reuters)

If you have ever bought a pair of jeans from an American brand like Levi’s or Wrangler, chances are they were manufactured at a factory in the small southern African nation of Lesotho.

Textile manufacturing is one of Lesotho's key industries, exporting some 75% of its output to the United States.

This is expected to change after US President Donald Trump slapped a 50% tariff on imports from Lesotho, the highest among all countries. According to Trump, Lesotho charges a 99% tariff on US goods, but the government said it doesn't know how the US administration calculated that figure. Government officials did not say Thursday what Lesotho's tariffs on US goods are.

Here is what the high tariffs mean for Lesotho:

A country ‘nobody has ever heard of’

Trump made fun of Lesotho in a speech in March, calling it a nation that “nobody has ever heard of.” Lesotho's foreign minister reminded him that the US has a diplomatic mission there.

Last year, the landlocked kingdom bordered on all sides by South Africa with a population of 2.3 million people, celebrated 200 years of the founding of the Basotho nation and 58 years of independence from British rule.

Its picturesque scenery and mountainous views draw visitors from Africa and across the world, and during winter, Lesotho becomes one of the most sought-after skiing destinations.

What are Lesotho's exports and the economy?

Lesotho does not pay tariffs on exports to Botswana, Namibia, South Africa and Swaziland since it is a member of regional economic blocs such as the Southern African Customs Union. Main exports include clothing, diamonds, water, power, wool and mohair.

The new tariffs announced by Trump mean that American consumers will pay more for goods made in Lesotho, making them less competitive in the US market.

According to the Office of the US Trade Representative, in 2024, US-Lesotho bilateral trade stood at $240.1 million. Apart from clothing, Lesotho's exports also include diamonds and other goods.

Classified as a lower-middle income country by the World Bank, nearly half of Lesotho's 2.3 million population live below the poverty line, while a quarter are unemployed.

How has Lesotho reacted to tariffs?

Lesotho’s Trade Minister Mokhethi Shelile said his country will be on the prowl for new markets and use the Africa Continental Free Trade Area to increase exports to favorable destinations in Africa.

The government would also urgently send a delegation to the US to negotiate a workable arrangement. Shelile said he's concerned about the possible closure of textile factories, which employ about 12,000 people in Lesotho.