Hajj and Umrah are one of the sources of income for small businesses in Saudi Arabia. These businesses include accommodation, food, transportation and gift sales. In addition, families are being encouraged to travel to Saudi Arabia. A project has been taken to make the country's tourist attractions tourist-friendly, and all transportation facilities are being arranged.
Initiatives have been taken to increase the number of hotel rooms in Makkah and Medina in Saudi Arabia. In the future, Makkah will have the largest number of hotel rooms in the Middle East. The country's goal is to create opportunities for 3 crore people to perform Hajj and Umrah by 2030.
To this end, Saudi Arabia announced 'Vision-2030' several years ago. Under this, the country is trying to diversify its economy. As part of that, the Saudi authorities have focused on the tourism industry for the past few years and have been successful. Umrah is being linked to the tourism industry in various ways.
In 2024, 18 lakh 33 thousand people performed Hajj. And in 2023, more than 13 crore 55 lakh people performed Umrah. The number of Umrah performers in 2024 will increase further. The vast majority of Hajj and Umrah performers come from outside Saudi Arabia.
The business and commerce that has developed in Makkah and Medina due to the increase in Hajj and Umrah pilgrims is increasing every year. Saudi Arabia is earning a large amount of money from financial transactions centered on Hajj and Umrah.
According to a report by Arab News, Saudi Arabia earns an estimated 15 billion dollars from the Hajj and Umrah sector every year. Although experts believe that the actual income is much higher.
Again, the economic activity of Hajj provides about 15 percent of Saudi Arabia's gross domestic product. The economies of four cities in the western part of the country, Makkah, Medina, Jeddah and Taif, are based on Hajj and Umrah.
An analysis by Gulf News says that the amount of financial transactions centered on Hajj is at least 5 thousand crore dollars. According to a study by Business Monitor International, the amount of gifts and souvenirs sold during the Hajj is at least 170 crore dollars. These items include caps, tasbeehs, prayer beads, scarves, burqas, hijabs, etc.
The US Progressive Policy Institute's 'Trade Fact of the Week' publication in 2019 said that the Hajj is the world's largest single event. It said that millions more people can join if they want. But the number of pilgrims is limited for security reasons.
On the other hand, the Guardian newspaper has called the Hajj a recession-proof economic activity. The number of flights that take off and land at King Abdulaziz Airport in Jeddah during the Hajj season alone is not seen at any other global event. The capacity of this airport is also being expanded greatly so that it can handle 8 crore passengers a year by 2035. Of course, half of these will be for Hajj and Umrah throughout the year.
The number of residential hotels of various standards has also increased in Makkah and Medina for Hajj and Umrah. Some luxury hotels in Mecca have such expensive royal suites with state-of-the-art facilities, for which rents of up to five thousand dollars per night are charged.
Many pilgrims from countries such as Morocco, Tunisia, Turkey, Algeria, South Africa, the United Kingdom, etc. stay in expensive and luxurious hotels. On the other hand, most of those who go for Hajj from the subcontinent, including Bangladesh, stay in ordinary and medium-quality hotels.
With the spread of information technology, pilgrims from different countries now take mobile phone SIM cards from their countries. Many also go to Makkah and Medina to collect SIM cards. Good business is also done from here.
Again, the use of electronic methods or cards instead of cash for transactions is increasing. Many pilgrims from Bangladesh also take Visa or Master Debit and Credit Cards. Some commercial banks have introduced Hajj prepaid cards.
Another report by Arab News shows that on average, more than 1 crore Hajj and Umrah pilgrims visit Saudi Arabia every year. Due to the increase in the number of Umrah pilgrims after Hajj, the commercial centers of Mecca and Medina also remain lively throughout the year. Shopping malls, commercial centers and shops around the Grand Mosque are always crowded.
In addition, there are a large number of foreign travelers in the areas of Misfala, Ajyad, Al Gaza, Al Jinn, Azizia, Kaqiya and Naqassa. There are also many shops in the hotels and malls located in the Clock Tower in the Grand Mosque area.
Visitors are seen everywhere in Azizia. In addition to the GCC countries, travelers from many Arab countries come to perform Umrah in large numbers.
Farid Muhammad, in-charge of a commercial center in Misfala, said that foreigners buy gifts, carpets, artificial ornaments and necessary items for their loved ones. Many are also interested in buying clothes and jewelry.
Farid Muhammad said that the owners of the commercial centers are happy with the arrival of visitors.
Usually, the Umrah season lasts for 9 months. During this time, commercial and economic activities in Makkah are at their peak. During the Hajj season, a large part of the country's financial sector comes from the Hajj pilgrims. In addition, the revenue received from the Umrah pilgrims throughout the year is also one of the largest sectors of the country's economy.
According to information from various international media, the Hajj brings in more money than the revenue that Saudi Arabia receives from selling crude oil. However, the exact amount of the actual income is not known. The total income from the Hajj is estimated based on estimates and statistics.
According to economists, a large part of this money comes mainly from taxes, permit fees and tariffs. In addition, the country also earns income from services such as hotels, resorts, transportation and food.
Currently, Saudi Arabia Commercial facilities have been expanded in the travel agencies, airlines and tourism sectors in the Rabat and Gulf regions.
The number of tourists to Saudi Arabia is expected to increase next year, along with Umrah and Hajj pilgrims. And the Saudi authorities have undertaken extensive plans to address the challenges of providing security and other services to this large number of visitors.
