Addas: Work Underway for Regulations Allowing Foreign Investment in Makkah

Work is underway for developing the transportation system in Makkah and the holy sites - CEO of Saudi Arabia’s Royal Commission for Makkah City and Holy Sites Abdulrahman bin Farouk Addas (PHOTO CREDIT: Ghazi Mahdi)
Work is underway for developing the transportation system in Makkah and the holy sites - CEO of Saudi Arabia’s Royal Commission for Makkah City and Holy Sites Abdulrahman bin Farouk Addas (PHOTO CREDIT: Ghazi Mahdi)
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Addas: Work Underway for Regulations Allowing Foreign Investment in Makkah

Work is underway for developing the transportation system in Makkah and the holy sites - CEO of Saudi Arabia’s Royal Commission for Makkah City and Holy Sites Abdulrahman bin Farouk Addas (PHOTO CREDIT: Ghazi Mahdi)
Work is underway for developing the transportation system in Makkah and the holy sites - CEO of Saudi Arabia’s Royal Commission for Makkah City and Holy Sites Abdulrahman bin Farouk Addas (PHOTO CREDIT: Ghazi Mahdi)

CEO of Saudi Arabia’s Royal Commission for Makkah City and Holy Sites Abdulrahman bin Farouk Addas revealed that the authority has entered the phase of expediting achievements and setting up priorities through speeding up transport sector projects, addressing the situation of slums, providing support to residents, as well as taking care of historical sites, improving public services, and increasing the capacity to receive visitors.

According to Addas, measures carried out by the Commission align with the national plan for transformation, Kingdom Vision 2030.

Speaking to Asharq Al-Awsat, Addas pointed to work that is underway with organizations to allow non-Saudi Muslims to invest in one of Islam’s holiest cities, Makkah.

He noted that the Commission’s current strategy, plans and programs have pillars that are inspired by verses from the Quran.

Addas clarified that the Commission is working to create an environment that enriches the experience of visitors while preserving the city’s social, economic, and cultural diversity. He explained that success in the Commission’s current goal would generate multiple and renewable opportunities for leadership and partnerships.

This will be made possible by Commission’s investment center.

“The center will be a unified destination for forming and supporting partnerships in the projects supervised by the authority by presenting opportunities, clear and transparent regulations and mechanisms,” Addas told Asharq Al-Awsat.

“It reduces the impact of the multiplicity of authorities and references so that there is one supervisory and possible authority that facilitates and stimulates the work of the authority’s partners,” he added.

Transport Sector

Addas referred to the regulation and governance of all that is related to the transport sector in Makkah.

One of the priorities of the Commission’s strategic plan and the “Mobility and Transport Infrastructure” program is to activate an integrated system to manage mobility services.

The system will raise the city’s capacity to receive more pilgrims and help achieve financial and environmental sustainability based on a highly efficient infrastructure that encourages the use of public transportation while maintaining the highest of safety standards.

Therefore, the authority launched “Makkah Transport” to assume the role of supervising all the work and activities of the transport sector in the holy city of Makkah and the holy sites.

The center works to unify the planning of various transportation projects to meet the aspirations of Kingdom Vision 2030 while raising the quality of the sector to secure the finest transportation services for residents and visitors of the holy city.

On February 15, the Commission launched the trial phase of the public transport project under the supervision and management Makkah Transport. Upon completion, the project covers 12 traffic lanes serving the main areas of Makkah.

“The trial operation will start with frequency transportation by the Haramain high-speed railway in the Ar Rusayfah area to the Grand Mosque, back and forth,” revealed Addas.

Slums

“The Commission, since its first day, has worked to mobilize a strategy for a comprehensive solution to slums that covers architecture, social , economic and security aspects,” said Addas, noting that the issue of slums has its own history.

Regarding the social aspect, Addas said that the authority has begun working with responsible authorities to correct the conditions of some residents of these slums, especially those belonging to communities that have sought refuge in the country in earlier times.

The Commission seeks to ensure that the residents of slums are actively integrated into the city.

As for the economic side, Addas confirmed that the authority is working with government agencies to provide job support to citizens living in slums. This support will be given through the Ministry of Human Resources and with coordination with the private sector.

“There is also cooperation, on the security side, with the competent authorities to ensure that the means are provided to prevent the re-emergence of slums in other areas in Makkah, and if they return, their removal will be immediate,” added Addas.

Motivating Investors

Addas said that partnerships with investors at home and abroad are among the priorities of the Commission’s strategy because they affect and intersect with all other sectors that the authority is working to develop, such as the land and real estate sector, the transportation and transport infrastructure sector, and the utilities and environment sector.

According to Addas, the Commission launched the Investment and Partnerships Program, which adopts a unified strategy aimed at attracting and stimulating capital, and building partnerships with the private sector and the non-profit sector to participate in development by creating promising investment opportunities.

“The authority is working to establish an investment center,” noted Addas, adding that the center would serve as the authority’s executive arm and help develop the city’s investment sector.

Moreover, the center would work to stimulate investment through regulation and empowerment. It would also help in concluding agreements and partnerships related to projects supervised by the Commission.

Addas explained that investors need opportunities.

“We have opportunities and we are working on them,” he affirmed, adding that the Commission has launched some opportunities through its Kidana Development Company.

Kidana Development Company

Fully owned by the Commission, Kidana was founded to serve as the executive in laying out a comprehensive project for developing Makkah’s holy sites.

Kidana is aiming for long-term sustainability when reconstructing and renovating the holy sites. It seeks to increase the number of pilgrims that the holy sites can hold, in line with the country’s Vision 2030 reform plan, and allowing more pilgrims to perform Hajj and Umrah each year.

According to Addas, Kidana is supervising several quality projects worth more than one billion riyals ($266 million). Most of these projects will be completed by the start of this year’s Hajj season.

Foreign Investment

Regarding foreign investment, Addas confirmed that foreign investors have always been very interested in Makkah and Madinah. In the past, there were regulations that limited progress in this aspect, but things are starting to change.

Addas pointed out that work is underway to put in place certain regulations that allow non-Saudi Muslim investors to invest in Makkah, especially in the field of real estate.

SMEs

Addas pointed out that one of the most prominent difficulties facing SMEs in Makkah is the seasonal nature of its markets, which is why the Commission is working to reduce the impact of “seasonality” on the work and growth of institutions and Hajj and Umrah services.

Arrangements are being made for opening the way for tourism from all over the world. This will encourage Muslims to take advantage of the new regulations and help create a permanent market in Makkah, even outside the main Hajj seasons.

Having economic movement throughout the year will reduce the impact on SMEs based in Makkah.

Commission Cadres

Addas notes that one of the most pressing challenges facing any newly formed agency, especially those involved in transformation, is finding passionate and ambitious cadres.

“The Commission has embraced 200 innovators so far since its establishment in June 2018,” noted Addas, adding that they are carrying out their duties to the fullest in a work environment that helps the spirit of creativity, innovation, coordination and alignment with the Commission’s partners wherever they are.



Moody’s Establishes Regional HQ in Riyadh, Deepening Presence in Region

(FILES) Signage for Moody's Corporation is displayed at their headquarters at 7 World Trade Center on March 18, 2025 in New York City. (Photo by ANGELA WEISS / AFP)
(FILES) Signage for Moody's Corporation is displayed at their headquarters at 7 World Trade Center on March 18, 2025 in New York City. (Photo by ANGELA WEISS / AFP)
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Moody’s Establishes Regional HQ in Riyadh, Deepening Presence in Region

(FILES) Signage for Moody's Corporation is displayed at their headquarters at 7 World Trade Center on March 18, 2025 in New York City. (Photo by ANGELA WEISS / AFP)
(FILES) Signage for Moody's Corporation is displayed at their headquarters at 7 World Trade Center on March 18, 2025 in New York City. (Photo by ANGELA WEISS / AFP)

Moody’s Corporation announced that it has established its regional headquarters in Riyadh, reflecting ongoing commitment to support the development of the Kingdom’s capital markets and economy.

“This investment aligns to the Kingdom's Vision 2030 initiative and underscores its dynamism and growth,” Moody’s said in a statement this week.

The new regional headquarters marks an expansion of Moody’s presence in Saudi Arabia, where the company first opened an office in 2018, and reflects its longstanding commitment to the Middle East.

“The headquarters will strengthen Moody’s engagement with Saudi institutions and enable broader access to Moody’s decision grade data, analytics and insights,” said the statement.

“Our decision to establish a regional headquarters in Riyadh reflects our confidence in Saudi Arabia’s strong economic momentum, as well as our commitment to helping domestic and international investors unlock opportunities with our expertise and insights,” said President and Chief Executive Officer of Moody’s Rob Fauber.

“We are well positioned to provide the analytical capabilities and market intelligence that investors and institutions need to navigate evolving markets across the Middle East,” the statement quoted him as saying.

Mahmoud Totonji will lead the regional headquarters as General Manager.


Saudi Arabia Launches First Endowment Fund for Environmental, Water and Agricultural Sustainability

The launch of the Namaa Endowment Fund (Asharq Al-Awsat)
The launch of the Namaa Endowment Fund (Asharq Al-Awsat)
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Saudi Arabia Launches First Endowment Fund for Environmental, Water and Agricultural Sustainability

The launch of the Namaa Endowment Fund (Asharq Al-Awsat)
The launch of the Namaa Endowment Fund (Asharq Al-Awsat)

Saudi Arabia has launched its first endowment fund dedicated to advancing environmental, water and agricultural sustainability, reinforcing efforts to strengthen the Kingdom’s non-profit sector and long-term development.

Minister of Environment, Water and Agriculture Eng. Abdulrahman Al-Fadhli on Tuesday inaugurated the Namaa Endowment Fund at the ministry’s headquarters, in the presence of senior officials and stakeholders.

The fund is designed to support economic and social development goals, address community needs, increase the non-profit sector’s contribution to GDP, and promote sustainable management of environmental, water and agricultural resources.

Al-Fadhli said the fund represents a new model of institutional endowment work and a practical mechanism to expand developmental impact while ensuring the sustainability of non-profit initiatives.

Developed in partnership with the General Authority for Awqaf, the fund aims to build assets commensurate with its ambitions, enabling higher returns and a wider impact over the long term.

It will pursue carefully structured investments that balance financial performance with developmental outcomes, with the potential to own or benefit from real estate assets that can be used by non-profit organizations.

Encouraging Private-Sector Participation

Al-Fadhli added that the ministry, in cooperation with the General Authority for Awqaf, the Capital Market Authority and AlAhli Capital, will support the fund and encourage contributions from the private sector, business leaders and the wider public.

Contributions will be made through a licensed digital platform under strict financial governance. He called on all segments of society to contribute in support of sustainable development across the environment, water and agriculture sectors.

Namaa will finance endowment initiatives within the ministry’s ecosystem, including the non-profit institutions Reef, Morooj and Saqaya. Its focus areas include water provision and conservation, afforestation, biodiversity protection, vegetation cover, the circular economy, sustainable agriculture and irrigation, and reducing food loss and waste.

Emad Alkharashi, Governor of the General Authority for Awqaf, announced an initial contribution of SAR100 million, describing it as a foundation for a sustainable endowment model.

He said the fund combines the legacy of endowments with modern investment practices to protect natural resources, strengthen food security and ensure lasting developmental impact.

Alkharashi added that the partnership with the ministry maximizes results and positions the fund as a model for directing endowments toward high-impact, long-term priorities through a transparent, well-governed institutional framework.


Makkah Gears Up for Ramadan with Tourism Drive, Record Hospitality Growth  

Tourism Minister Ahmed Al-Khateeb and other officials during his inspection tour on Tuesday. (Asharq Al-Awsat)
Tourism Minister Ahmed Al-Khateeb and other officials during his inspection tour on Tuesday. (Asharq Al-Awsat)
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Makkah Gears Up for Ramadan with Tourism Drive, Record Hospitality Growth  

Tourism Minister Ahmed Al-Khateeb and other officials during his inspection tour on Tuesday. (Asharq Al-Awsat)
Tourism Minister Ahmed Al-Khateeb and other officials during his inspection tour on Tuesday. (Asharq Al-Awsat)

Saudi Arabia’s Ministry of Tourism has raised the readiness of Makkah’s hospitality sector to its highest level ahead of the holy month of Ramadan, stressing that serving pilgrims and visitors remains a top national priority.

Makkah is preparing to receive worshippers and visitors amid a marked expansion in hospitality capacity. The city now has more than 2,200 licensed accommodation facilities, reflecting growth of 35 percent over the past year. The number of licensed hotel rooms has exceeded 380,000, up 25 percent, while total domestic and inbound tourism spending is projected to surpass SAR 143 billion ($38.1 billion) in 2025.

The wider Makkah region recorded unprecedented performance indicators last year, both in visitor numbers and tourism spending, underscoring sustained growth and operational readiness.

Total domestic and international visitors exceeded 50 million, marking a 14 percent increase compared with 2024.

Tourism Minister Ahmed Al-Khateeb announced the figures during an annual inspection tour on Tuesday, stressing that the indicators reflect a major expansion in accommodation capacity and record growth in visitor numbers.

The tour included inspections of temporary lodging facilities designated for pilgrims, part of a proactive plan to increase capacity during peak seasons, alongside early preparations for the upcoming Hajj.

Vision 2030 targets surpassed

Official data has shown that Saudi Arabia has exceeded its Vision 2030 targets for the Umrah. The number of pilgrims arriving from abroad rose from 8.5 million in 2019 to more than 18 million in 2025, surpassing the original goal of 15 million by 2030.

A number of hotels surrounding the Grand Mosque in Makkah. (General Authority for Awqaf)

Service quality indicators improved as well, with pilgrim satisfaction reaching 94 percent, exceeding Vision 2030 benchmarks.

Workforce development kept pace with demand, as the number of licensed tour guides rose to more than 980, a 23 percent increase.

Masar Mall project

Al-Khateeb announced a joint financing agreement between the Tourism Development Fund and the Arab National Bank with Hamat Holding to support the Masar Mall project. The development carries a total cost of SAR 936 million (about $250 million).

The project is expected to become the largest shopping center in Makkah with the capacity to accommodate around 20 million visitors annually.

Its location near the Haramain High-Speed Railway station and a direct pedestrian link to the Grand Mosque are expected to strengthen the city’s commercial and tourism infrastructure.

Jeddah: Gateway to pilgrims

Meanwhile, Jeddah continues to consolidate its position as a complementary destination to Makkah and a primary gateway for pilgrims, while also expanding its role as a coastal tourism hub.

The city welcomed more than 13 million domestic and international visitors in 2025, a 10 percent increase from 2024. Tourism spending reached SAR 28 billion ($7.47 billion), up 6 percent year on year.

Jeddah’s hospitality sector also expanded, with more than 500 licensed facilities and over 33,000 licensed rooms.

The city is currently developing 46 tourism projects valued at SAR 21 billion ($5.6 billion) and expected to add more than 11,000 hotel rooms and further strengthen its tourism infrastructure and economic value.