The Public Investment Fund (PIF) is actively exploring opportunities in Saudi Arabia’s tourism and hospitality sector. This effort follows the launch of several specialized companies and large-scale projects in the field, along with agreements to build local and international partnerships.
The initiatives aim to position Saudi Arabia as a leading global tourist destination, create more business opportunities in the sector, and strengthen the role of the local private sector.
PIF has established several companies focused on tourism and hospitality as part of its strategy to diversify income sources and foster promising sectors in the Kingdom. Key companies include Asfar, Boutique Group, Dan, and the newly launched Adeera which specializes in hotel management and operations.
Moreover, PIF is managing several landmark tourism projects, such as The Red Sea Project, Amaala, Qiddiya, Diriyah, New Murabba, AlUla, Historic Jeddah, Asir, Soudah, The Rig, The Line in NEOM, and many more.
In 2017, the Public Investment Fund established Qiddiya Investment Company to develop the largest entertainment, sports, and arts project in Riyadh, aiming to drive economic diversification and create new development pathways.
In 2019, it launched the Jeddah Development Company to oversee the transformation of Historic Jeddah into a global cultural and economic hub. Similarly, in February 2021, PIF founded the Soudah Development Company in the Asir region, with projected investments exceeding SAR 11 billion (USD 2.9 billion). The goal is to establish a luxurious mountain destination that celebrates the region’s unique heritage, culture, and natural beauty while offering diverse residential and recreational options.
Heritage Palaces
In January 2022, PIF introduced the Boutique Group, tasked with transforming Saudi Arabia’s historic and cultural palaces into ultra-luxury boutique hotels.
In November of the same year, the Fund announced the establishment of the Asir Investment Company as a strategic investment arm for the region, which seeks to attract domestic and international investments and transform Asir into a year-round global tourism destination.
In 2023, PIF launched Asfar, a company focused on enhancing the local tourism sector and investing in various projects across Saudi cities.
PIF also established Dan, a company specializing in rural and environmental tourism, which develops projects in cities rich in natural and agricultural resources, involving local communities in the process.
In January 2023, PIF assumed responsibility for the Diriyah Project, aimed at redeveloping and enhancing Diriyah’s status as a major global cultural destination. At its heart is the historic Turaif District, a UNESCO World Heritage Site.
Hotel Management and Development
On Tuesday, PIF announced the birth of Adeera, a new company specializing in hotel management and operations.
Adeera combines the highest international hospitality standards with Saudi Arabia’s renowned traditions of hospitality, and aims to establish a diverse range of hotel brands, from mid-range to luxury, catering to various visitor demographics.
It will also collaborate with hotel developers to enhance the private sector’s contributions to tourism, aligning with Saudi Vision 2030’s goals.
