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Indian Minister to Asharq Al-Awsat: We Expect Steady Growth in Tourism Between New Delhi and Riyadh

Saudi Minister of Culture Prince Badr bin Abdullah bin Farhan holding talks with India’s Minister of Tourism and Culture Gajendra Singh Shekhawat,X)
Saudi Minister of Culture Prince Badr bin Abdullah bin Farhan holding talks with India’s Minister of Tourism and Culture Gajendra Singh Shekhawat,X)
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Indian Minister to Asharq Al-Awsat: We Expect Steady Growth in Tourism Between New Delhi and Riyadh

Saudi Minister of Culture Prince Badr bin Abdullah bin Farhan holding talks with India’s Minister of Tourism and Culture Gajendra Singh Shekhawat,X)
Saudi Minister of Culture Prince Badr bin Abdullah bin Farhan holding talks with India’s Minister of Tourism and Culture Gajendra Singh Shekhawat,X)

India’s Minister of Tourism and Culture Gajendra Singh Shekhawat said he was optimistic about the future of tourism ties between his country and Saudi Arabia, saying that many young Saudis choose India as a favored tourist destination, while a good number of Indian tourists traveled to Saudi Arabia last year, expecting further steady growth in this movement over the coming years.

Building on this, he affirmed his country’s commitment to establishing broad practical cooperation with Riyadh, covering key sectors including economy, culture, and tourism. He also highlighted a set of challenges facing the global tourism sector, calling for joint governmental efforts to strengthen its resilience and adopt sustainability principles.

Speaking to Asharq Al-Awsat on the sidelines of the UN Tourism 26th General Assembly in Riyadh, the Indian minister said that global tourism is undergoing a major transformation that requires “stronger collaboration between governments and industry to enhance resilience, embrace sustainability, and ensure benefits are shared widely.” He looked forward to launching future joint production projects and initiatives with Saudi Arabia.

On this occasion, he congratulated Saudi Arabia for their successful hosting of the Assembly this year, noting that he had seized the opportunity to interact with his counterpart Ministers in Tourism and Culture during the visit, and to visit some prominent historical and cultural sites in the Kingdom.

Challenges Facing the Sector

The Indian minister acknowledged that the global tourism sector is going under a period of adjustment and facing multiple interconnected challenges, while international travel has rebounded post-pandemic, with many destinations still suffering from staff shortages, limited air connectivity, and uneven business recovery.

He added that climate change continues to pressure the sector to adopt sustainable practices, while geopolitical tensions and safety concerns affect traveler confidence. Tourists increasingly seek meaningful, tech-driven, and eco-conscious experiences, prompting destinations to rethink their travel offerings. Popular destinations face over-tourism, whereas emerging ones often lack the infrastructure for responsible growth. Persistent issues also include skills shortages, slow digital adoption among smaller operators, and the need for more inclusive and accessible tourism.

Tourism’s Economic Contribution

Regarding the size and economic contribution of tourism in India, and the steps taken by the Indian government to attract more foreign tourists, Shekhawat said that India is a prominent tourist destination and has shown consistent growth over the last few years.

He added that tourism contributes about 5% of the total GDP and supports close to 80 million direct and indirect jobs, serving as a principal source of foreign exchange earnings.

Shekhawat noted that his government has launched comprehensive reforms and focused investments to grow the tourism sector, including visa reforms, destination development, emphasis on healthcare and wellness tourism, and international partnerships.

He confirmed that India has opened the e-visa process where Saudi nationals can apply online and receive tourism visa within 72 hours.

India–Saudi Cooperation

Shekhawat emphasized that India and Saudi Arabia share deep-rooted cultural and historical ties based on centuries of exchange, trade, and people-to-people connections, stressing that cultural and tourism cooperation remain key pillars of our strategic partnership.

He said: “To further strengthen this bond, a Ministerial Committee on Tourism and Cultural Cooperation was established under the India–Saudi Arabia Strategic Partnership Council during the State Visit of Hon’ble Prime Minister of India to the Kingdom in April 2025.”

The Minister added: “During my current visit, I had a fruitful meeting with Saudi Minister of Culture, HH Prince Badr bin Abdullah bin Farhan Al-Saud and we also signed an MoU on Cultural Cooperation between our two countries. We discussed ways to enhance our cultural ties, promote exchanges between our cultural institutions, and intensify participation in each other’s cultural events and festival.”

Shekhawat concluded: “Many young Saudis choose India as a favored tourist destination, and a good number of Indian tourists traveled to Saudi Arabia last year. We expect these numbers to grow steadily over the coming years.”

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Business

Yanbu Commercial Port Boosts Operational Efficiency by Serving 11 Vessels Simultaneously

The accomplishment builds on the vital role of Yanbu Commercial Port in strengthening Saudi Arabia's maritime transport system. (SPA)
The accomplishment builds on the vital role of Yanbu Commercial Port in strengthening Saudi Arabia's maritime transport system. (SPA)
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Yanbu Commercial Port Boosts Operational Efficiency by Serving 11 Vessels Simultaneously

The accomplishment builds on the vital role of Yanbu Commercial Port in strengthening Saudi Arabia's maritime transport system. (SPA)
The accomplishment builds on the vital role of Yanbu Commercial Port in strengthening Saudi Arabia's maritime transport system. (SPA)

Saudi Arabia’s Yanbu Commercial Port achieved a new operational milestone by successfully serving 11 vessels simultaneously of various sizes and cargo capacities, reflecting the port's high level of operational readiness, reported the Saudi Press Agency on Monday.

The achievement underscores the efficiency of the port's operations and its ability to manage maritime and commercial traffic with a high degree of effectiveness.

It contributes to smoother import and export activities and supports the continuity of supply chains in accordance with the highest operational and logistical standards.

The accomplishment builds on the vital role of Yanbu Commercial Port in strengthening Saudi Arabia's maritime transport system and reinforcing its position as a key logistics hub on the Red Sea coast.

It also supports economic growth and enhances the competitiveness of the maritime and commercial sectors.

Business

IMF Ready to Help Africa Weather Middle East Shock, Says Zeidane

Workers sort avocados for export to Chinese markets, at the Sunripe fresh fruits exporters factory in Limuru district of Kiambu County near Nairobi, Kenya June 4, 2026. (Reuters)
Workers sort avocados for export to Chinese markets, at the Sunripe fresh fruits exporters factory in Limuru district of Kiambu County near Nairobi, Kenya June 4, 2026. (Reuters)
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IMF Ready to Help Africa Weather Middle East Shock, Says Zeidane

Workers sort avocados for export to Chinese markets, at the Sunripe fresh fruits exporters factory in Limuru district of Kiambu County near Nairobi, Kenya June 4, 2026. (Reuters)
Workers sort avocados for export to Chinese markets, at the Sunripe fresh fruits exporters factory in Limuru district of Kiambu County near Nairobi, Kenya June 4, 2026. (Reuters)

The International Monetary Fund's new Africa chief, Zeine Zeidane, said that conflict in the Middle East has created difficulties for sub-Saharan Africa but reaffirmed the fund's commitment to aiding nations under economic strain.

Zeidane, who assumed his role as Director of the IMF's African Department on May 1, oversees operations and engagement with 45 countries across the region.

"My immediate priority is really to help countries in ‌the region to weather ‌this shock," Zeidane said at ‌a ⁠media briefing.

The IMF ⁠has already reached staff-level agreements to provide augmented financing in response to the conflict's effects for Burkina Faso, The Gambia and São Tomé and Príncipe.

For Ethiopia, which has a large IMF program in place, Zeidane said the fund accelerated about $200 million ⁠in financing.

Zeidane warned that disruptions linked to ‌the Middle East conflict could ‌take months to resolve, noting that a ceasefire was already ‌in place but that Gulf nations had ‌indicated it typically takes six to seven months for production and exports to resume fully.

He added that the Middle East's role as a significant exporter of fertilizers would have ‌far-reaching implications for Africa's food security and production costs.

Despite immediate challenges, Zeidane expressed ⁠optimism over ⁠sub-Saharan Africa's long-term prospects, noting that prior to the current crisis, the region was among the fastest-growing globally and had made strides in fiscal consolidation.

"The future, the next growth engine for the world, will be Africa," he said. "We need to support Africa to unlock its potential."

Zeidane, who began his IMF career in 2012, previously served as Mauritania's prime minister, central bank governor and economic adviser to the president. He succeeded Abebe Aemro Selassie, who retired from the IMF in May.

Business

The High Cost of Hormuz: $37 Billion Shock Exposes Iraq’s Economic Vulnerability

A drone view shows oil trucks arriving from Iraq on their way to the Baniyas oil terminal, Syria, May 14, 2026. (Reuters)
A drone view shows oil trucks arriving from Iraq on their way to the Baniyas oil terminal, Syria, May 14, 2026. (Reuters)
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The High Cost of Hormuz: $37 Billion Shock Exposes Iraq’s Economic Vulnerability

A drone view shows oil trucks arriving from Iraq on their way to the Baniyas oil terminal, Syria, May 14, 2026. (Reuters)
A drone view shows oil trucks arriving from Iraq on their way to the Baniyas oil terminal, Syria, May 14, 2026. (Reuters)

The recent regional war and the closure of the Strait of Hormuz have pushed Iraq’s economy into one of its most serious crises in decades. The massive financial losses are more than just another consequence of regional conflict; they have exposed Iraq’s near-total dependence on a single maritime export route.

As Baghdad struggles to finance public-sector salaries through domestic borrowing and the use of foreign-exchange reserves, the crisis has renewed scrutiny of years of poor planning, corruption, and political obstruction of strategic projects, such as the Basra-Aqaba oil pipeline, initiatives that could have provided alternative export routes and a safety net for the country’s most important source of income.

Financial and energy analysts estimate Iraq’s losses at more than $37 billion, a severe blow to an economy that relies overwhelmingly on oil revenues.

The disruption has forced authorities to draw on domestic debt and accumulated reserves to cover monthly salary and pension obligations estimated at roughly $6.5 billion.

Slow recovery

Although the conflict appears to be winding down and the Oil Ministry has expressed optimism about resuming production, energy experts caution that Iraqi oil fields may require months to return to their prewar output levels.

Before the crisis, Iraq produced more than 4.2 million barrels per day, including approximately 3.5 million barrels exported to international markets.

Observers said the consequences extend beyond the immediate financial shock caused by the freezing of oil revenues. The conflict revealed a “dangerous strategic vulnerability”: Iraq’s overwhelming reliance on southern Gulf export terminals and the Strait of Hormuz as the sole outlet for its most valuable resource.

The crisis has also revived debate over decades of mismanagement and inadequate planning in one of the country’s most vital economic sectors.

Oil trucks arrive from Iraq, on their way to the Baniyas oil terminal, in Qamishli, Syria, May 11, 2026. (Reuters)

A single export gateway

Over previous decades, Iraq possessed several overland export routes, including the Kirkuk–Ceyhan pipeline to Türkiye, the Iraq-Saudi pipeline, and the historic Kirkuk-Haifa and Kirkuk-Baniyas lines. Most have been out of service for years because of wars, political instability, and security challenges.

Successive governments sought to revive export diversification. Among the most significant proposals was the Basra-Aqaba pipeline, championed during the administration of former Prime Minister Mustafa Al-Kadhimi. The project would transport crude oil from southern Iraq to Jordan’s Red Sea port of Aqaba.

Energy specialists regard it as a strategic asset that could have reduced Iraq’s dependence on Gulf shipping routes. Political disputes and regional pressures, however, prevented its implementation.

Limited alternatives

As the crisis intensified and oil revenues dwindled, Iraq attempted to expand exports through Türkiye, Syria, and Jordan. Energy experts said those efforts achieved only marginal results.

Contrary to reports that Iraq was exporting oil through 700 tanker trucks through Syria, former Oil Ministry spokesman Asim Jihad said exports through Syrian territory amount to no more than 200 tankers per day.

He told Asharq Al-Awsat that Iraq is exporting fuel oil rather than crude oil through Syria to avoid bottlenecks at producing fields.

Such shipments, he added, are operationally complex and generate only limited revenue compared with normal export volumes.

On the northern route, Jihad noted that Iraq exports between 150,000 and 200,000 barrels per day through the Kurdistan Region’s pipeline to the port of Ceyhan in Türkiye.

Meanwhile, the older federal pipeline linking Kirkuk to Ceyhan remains out of service because of extensive damage that has yet to be repaired.

A drone view shows the Rumaila oil field in Basra, Iraq, June 8, 2026. (Reuters)

Jihad expressed little optimism that Iraq can establish major alternative export corridors outside the Gulf in the near future, citing time constraints, high costs, and political complications.

He also voiced uncertainty about negotiations with Ankara over future export agreements through Ceyhan, particularly as existing arrangements are set to expire at the end of July.

“The only option left for Iraq is to hope that no new conflict erupts in the Gulf that would once again close the Strait of Hormuz and deprive the country of its primary source of income,” he added.

Cost of the blockade

The Eco Iraq Observatory estimated that Iraq has lost roughly 350 million barrels of oil exports since the Strait of Hormuz was closed on February 28, representing missed sales worth approximately $37.7 billion at average market prices during the period.

According to the organization, Iraq had been exporting between 103 million and 107 million barrels of crude oil per month before the closure. Export losses reached 84.4 million barrels in March, 93.1 million in April, 92.8 million in May, and 79.6 million in June.

Eco Iraq argued that the “New Levant” initiative — a regional economic integration project involving Iraq, Jordan, and Egypt — has become a strategic necessity.

The plan envisions deeper economic cooperation, infrastructure links, and alternative export routes, including the shipment of Iraqi oil through Jordan to Egyptian ports, reducing dependence on geopolitically vulnerable maritime corridors.