Makkah hotel occupancy rate hits 80%, the highest in 3 years

Monday, April 3, 2023

MAKKAH — The hotel and accommodation sector in Makkah witnessed a huge surge during the Ramadan season of 2023, as the hotel occupancy rate reached 80%, the highest in three years. This is in accordance with data released by the Hajj and Umrah Committee at Makkah Chamber.

The prices of hotels during the current holy month have also witnessed an increase due to the high demand, especially in the last 10 days of Ramadan.

A survey conducted by Al-Eqtisadiah business daily regarding hotel room booking in the central area of Makkah during the last 10 days of Ramadan, the prices ranged between SR3,000 and SR9,000 per day provided that the booking is for the entire last 10 days.

The Chairman of the Hajj and Umrah Committee at the Makkah Chamber, Abdullah Al-Qadi, said that the pricing of hotel rooms in Makkah is subject to certain criteria, topped by supply and demand, in addition to its proximity to the Grand Mosque, as well as the provided services.

He said what distinguishes the hotel room prices in Makkah is the fact that it is more like travel tickets, especially the hotels located in the central area, where the prices record a gradual increase when Ramadan season approaches, and are doubled in the last 10 days of the holy month.

The Ministry of Tourism has worked with full transparency and clarity with the investors in the accommodation sector in Makkah, with the aim of restoring and reactivating the sector after the COVID-19 pandemic, he said.

Al-Qadi said the ministry has harnessed and addressed the challenges that face the investors. It organized several virtual meetings to address the problems that hinder the industry, which helped the sector quickly recover.

On the other hand, several workers in the sector have confirmed the huge increase in prices after the COVID-19 pandemic, noting that the room price in the central area of Makkah was between SR35,000-SR55,000, but now it reached SR45,000-SR90,000 for the last 10 days of Ramadan.

The high increase in prices is due to the jump in operating expenses, in addition to a surge in food prices, as well as the high demand.

The workers said that the current Ramadan season witnessed a great turnout, especially after the easing of visas and the facilitations provided by Saudi Arabia to the pilgrims from abroad, which resulted in the high demand for rooms in the central area of Makkah.