The Shoura Council has endorsed a study on prospects of establishing a bank to support tourism investment in the Kingdom, a top source at the Saudi Commission for Tourism and Antiquities (SCTA) said.
“The bank project is now in the final stages to be presented to higher authorities for approval,” the source told Al-Eqtisadiah business daily, a sister publication of Arab News.
He said the bank’s executive bylaw would give an idea about its policies and working conditions.
Indicators show that the Kingdom’s domestic tourism rose by 25 percent this year compared to last year with Makkah region receiving the highest number of foreign visitors.
Muhammad Al-Amri, executive director of SCTA in for the Makkah region, said one of the main problems facing tourism investors is the short lease period for land used for implementing tourism projects.
“The Ministry of Agriculture and the Ministry of Municipal and Rural Affairs have been giving land for a lease period of 25 years. The higher authorities have now increased this period to 50 years as a result of SCTA’s efforts,” he added.
Any investor who carries out tourism projects now would get a lease period of 50 years.
He said the SCTA would take punitive action if it finds illegal practices in travel and tourism and hospitality sectors.
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Shoura backs new bank for tourism investment
